BN · rank #19 · 2026-10-26
ADI
NASDAQ · $189.50B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.15 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +21.6% |
| Forward net margin Consensus forward net margin. | +31.4% |
| Net margin TTM Trailing twelve month net margin. | +29.8% |
| Margin expansion Forward minus trailing net margin (percentage points). | +1.6% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 0.54 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 1.85× |
| Analyst upside Spread between the consensus 12m target and the current price. | +20.8% |
| Last EPS surprise Most recent reported EPS versus consensus. | +4% |
| Market cap (USD) | $189.50B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
ADI is a high-end analog and mixed-signal chipmaker serving industrial, automotive, communications and emerging AI data-center power needs, with growth currently led by industrial and data-center demand.
Rationale
The signal fits a bottleneck-solver thesis because ADI monetizes hard-to-replace physical-domain functions—sensing, power conversion, protection and control—while the Alif deal adds edge AI capability and the stock screens cheaply versus growth with strong margins and cash generation.
Material risks
- 1The biggest thesis risk is customer and platform substitution, especially if Chinese competitors or in-house designs displace ADI in new industrial and automotive wins, eroding the design-in moat.
- 2AI-data-center and industrial demand may prove cyclical and competitive, with no sole-source position or long-term backlog to guarantee durable bottleneck pricing power.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 1 of 3 voted to proceed.