Analog Devices Inc (ADI)vsWestern Digital Corporation (WDC)
ADI
Analog Devices Inc
$307.44
-1.91%
TECHNOLOGY · Cap: $157.12B
WDC
Western Digital Corporation
$275.34
+0.73%
TECHNOLOGY · Cap: $102.93B
Smart Verdict
WallStSmart Research — data-driven comparison
Analog Devices Inc generates 10% more annual revenue ($11.76B vs $10.73B). WDC leads profitability with a 35.6% profit margin vs 23.0%. WDC appears more attractively valued with a PEG of 0.69. ADI earns a higher WallStSmart Score of 75/100 (B).
ADI
Strong Buy75
out of 100
Grade: B
WDC
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-20.1%
Fair Value
$256.00
Current Price
$307.44
$51.44 premium
Margin of Safety
-280.8%
Fair Value
$71.88
Current Price
$275.34
$203.46 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 33.1%
Revenue surging 30.4% year-over-year
Earnings expanding 116.7% YoY
Large-cap with strong market position
Keeps 23 of every $100 in revenue as profit
Growing faster than its price suggests
Every $100 of equity generates 41 in profit
Keeps 36 of every $100 in revenue as profit
Large-cap with strong market position
Growing faster than its price suggests
Areas to Watch
ROE of 7.9% — below average capital efficiency
Premium valuation, high expectations priced in
Moderate valuation
Trading at 13.2x book value
Revenue declined 41.0%
Earnings declined 95.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : ADI
The strongest argument for ADI centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 23.0% and operating margin at 33.1%. Revenue growth of 30.4% demonstrates continued momentum.
Bull Case : WDC
The strongest argument for WDC centers on Return on Equity, Profit Margin, Market Cap. Profitability is solid with margins at 35.6% and operating margin at 15.4%. PEG of 0.69 suggests the stock is reasonably priced for its growth.
Bear Case : ADI
The primary concerns for ADI are Return on Equity, P/E Ratio. A P/E of 58.8x leaves little room for execution misses.
Bear Case : WDC
The primary concerns for WDC are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
ADI profiles as a growth stock while WDC is a declining play — different risk/reward profiles.
WDC carries more volatility with a beta of 1.85 — expect wider price swings.
ADI is growing revenue faster at 30.4% — sustainability is the question.
ADI generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
ADI scores higher overall (75/100 vs 55/100), backed by strong 23.0% margins and 30.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Analog Devices Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Analog Devices, Inc. (ADI), also known simply as Analog, is an American multinational semiconductor company specializing in data conversion, signal processing and power management technology, headquartered in Wilmington, Massachusetts.
Western Digital Corporation
TECHNOLOGY · COMPUTER HARDWARE · USA
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.
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