LONDON, UK / ACCESSWIRE / August 23, 2016 / Active Wall St. announces its post-earnings coverage on Analog Devices, Inc. (NASDAQ: ADI). The company announced its third quarter fiscal 2016 result on August 17, 2016. The chip maker delivered better-than-expected results, exceeding Wall Street's top- and the bottom-line estimates, driven by stronger sales in its communications and automotive division which offset weakness in its industrial and communications segment. Register with us now for your free membership at: http://www.activewallst.com/register/.

Today, AWS is promoting its earnings coverage on ADI, touching on Linear Technology Corp. (NASDAQ: LLTC). Get our free coverage by signing up to:

http://www.activewallst.com/registration-3/?symbol=ADI

http://www.activewallst.com/registration-3/?symbol=LLTC

Earnings Reviewed

For the quarter ended on July 30, 2016, Analog Devices reported net income of $230.4 million, or $0.74 per diluted share, compared to net income of $216.5 million, or $0.68 per diluted share, in the year ago period. Excluding acquisition and restructuring-related charges and other items, earnings rose 6% to $0.82 per share from $0.77 per share in the year earlier quarter, topping analysts' estimate of earnings of $0.76 per share. The Norwood, Massachusetts based company generated revenues of $869.6 million, up 11.7% sequentially and 0.7% on y-o-y basis. Additionally, revenues exceeded the company's guidance range of $800 million to $840 million and topped analysts' projection of revenue of $851.7 million.

"We executed well in the third quarter and delivered revenue and diluted earnings per share results that exceeded our revised guidance," said Vincent Roche, President and CEO.

Segment Overview

During Q3 FY16, Analog Devices' consumer segment surged 131% sequentially to $186.10 million, however the segment which accounts for 21% of total revenue, declined 10.0% on y-o-y basis.

The company's Industrial segment, which generated 43% of total sales, reported a 3% decline in revenue on sequential and y-o-y basis. Analog's communications division generated $174.14 million, or 20% of total revenue, down 0.7% sequentially, however was up 23% on y-o-y basis.

The Automotive segment produced revenue of $134.62 million, representing 15% of Analog Devices' third quarter revenues, down 2.5% sequentially, but up 3.5% on y-o-y basis.

Linear Move

On July 26, 2016, Analog Devices announced its plan to acquire chipmaker Linear Technology Corp. in a cash and stock deal worth $14.8 billion. The purchase of Linear will give Analog devices access to the market for chips that manage power in handsets. The deal will help it to grow significantly in industrial, automotive, and communications infrastructure markets. Analog device expects the transaction to be immediately accretive to its non-GAAP EPS and free cash flow. Analog Devices expects to achieve $150 million of annualized run-rate cost synergies within 18 months post transaction close.

Dividend

Analog Devices announced that its Board of Directors has declared a cash dividend of $0.42 per outstanding share of common stock. The dividend will be paid on September 7, 2016 to all shareholders of record at the close of business on August 26, 2016.

Outlook

For Q4 FY16, Analog Devices is forecasting adjusted earnings of $0.84 to $0.94 per share and revenue in the range of $910 million to $970 million. Analysts were projecting adjusted earnings of $0.89 per share on revenue of $935 million.

Stock Performance

At the close of trading session on August 22, 2016, Analog Devices' stock dipped slightly by 0.47% to close at $63.84 with a total volume of 1.94 million shares changing hands. The company's stock price has advanced 17.20% since the beginning of the year compared to the S&P 500 which is up 8.30% during the same time frame. Moreover, in the last six months, the stock has gained 25.99%.

Active Wall Street:

Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

AWS has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email info@activewallst.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@activewallst.com
Phone number: 1-858-257-3144

Office Address: 3rd floor, 207 Regent Street, London, W1B 3HH, United Kingdom

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active Wall Street