Analog Fair Value
AD
The fair market value of ADI stock is 120.14 USD. Relative to the market price of 214.6 USD Analog is overvalued by 44%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Analog Valuation
Current ADI share ticker price is 214.6 USD.
The fair value level of 120.14 USD can be considered as an effective entry point for long-term investors to start investing in ADI stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 44% higher its fair value
Current price is 60% higher its minimum value
Current price is 13% higher its maximum value
Market price:
ADI stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Analog Devices Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
55.76
2
Median P/E over 5 years
36.04
3
Minimum P/E over 5 years
25.88
4
Earning per share (last 12 months)
3.33 USD
Maximum value
1
x
4
=
185.87 USD
Fair value
2
x
4
=
120.14 USD
Minimum value
3
x
4
=
86.26 USD
Analog Devices Inc price metrics
13.02
Annual return (geometric mean)
35.48
Risk (standard deviation) of returns
β
1.06
Beta (volatility compared to market)