Analog Devices Shares Gain Momentum as Morningstar Hikes Fair Value to $445

Key Facts

Amid growing optimism surrounding AI infrastructure, Morningstar has significantly raised its fair value estimate for Analog Devices from $380 to $445 per share. This valuation hike follows the company's recent earnings report, which posted quarterly profits of $3.45 per share against a $3.33 estimate, bolstered by robust demand for power-management chips and upbeat management guidance.

Analysts attribute this positive outlook to a cyclical recovery within industrial markets and surging growth in data center chips and AI applications.

Traders are now watching for the stock to trend toward the new $445 fair value target, keeping a close eye on the immediate resistance level of $385.90 (close August 18, 2026). With U.S. inflation holding at 3.4%, the market remains focused on whether the industrial recovery can sustain the momentum required to meet these elevated valuation expectations.