Analog Devices (LIM:ADI) Operating Income: $4,192 Mil (TTM As of Apr. 2026)

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LIM:ADI Analog Devices Inc LIM:ADI
95 GF Score
Price $277.20
GF Value $224.12
! 6 Warning Signs
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What is Analog Devices Operating Income?

Analog Devices LIM:ADI 95 Operating Income is $4,192 Mil as of Apr. 2026. GuruFocus rates LIM:ADI with a GF Score™ of 95/100 and a GF Value™ of $224.12. The stock has 6 warning signs investors should review.

Analog Devices's Operating Income for the three months ended in Apr. 2026 was $1,380 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was $4,192 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Analog Devices's Operating Income for the three months ended in Apr. 2026 was $1,380 Mil. Analog Devices's Revenue for the three months ended in Apr. 2026 was $3,623 Mil. Therefore, Analog Devices's Operating Margin % for the quarter that ended in Apr. 2026 was 38.08%.

Analog Devices's 5-Year average Growth Rate for Operating Margin % was -0.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Analog Devices's annualized ROC % for the quarter that ended in Apr. 2026 was 11.75%. Analog Devices's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 131.86%.


Analog Devices  (LIM:ADI) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Analog Devices's annualized ROC % for the quarter that ended in Apr. 2026 is calculated as:

ROC % (Q: Apr. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jan. 2026 ) + Invested Capital (Q: Apr. 2026 ))/ count )
=5518.72 * ( 1 - 11.21% )/( (41830.606 + 41588.747)/ 2 )
=4900.071488/41709.6765
=11.75 %

where

Invested Capital(Q: Jan. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=47991.19 - 2888.681 - ( 4048.847 - max(0, 4330.623 - 7602.526+4048.847))
=41830.606

Invested Capital(Q: Apr. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=47949.095 - 3007.482 - ( 3439.308 - max(0, 4456.907 - 7809.773+3439.308))
=41588.747

Note: The Operating Income data used here is four times the quarterly (Apr. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Analog Devices's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Apr. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jan. 2026  Q: Apr. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=5649.788/( ( (3248.983 + max(664.998, 0)) + (3292.288 + max(1362.983, 0)) )/ 2 )
=5649.788/( ( 3913.981 + 4655.271 )/ 2 )
=5649.788/4284.626
=131.86 %

where Working Capital is:

Working Capital(Q: Jan. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1360.184 + 1767.104 + 426.391) - (2888.681 + 0 + 0)
=664.998

Working Capital(Q: Apr. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2051.733 + 1848.405 + 470.327) - (3007.482 + 0 + 0)
=1362.983

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Apr. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Analog Devices's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Apr. 2026 )/Revenue (Q: Apr. 2026 )
=1379.68/3623.465
=38.08 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Analog Devices Operating Income Related Terms


Analog Devices Operating Income Historical Data

* Premium members only.

The historical data trend for Analog Devices's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Analog Devices Operating Income Chart

Analog Devices Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,776.66 3,553.21 3,983.82 2,070.06 3,002.48

Analog Devices Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 679.69 822.38 945.21 1,045.01 1,379.68
LIM:ADI
95GF Score
Analog Devices Inc LIM:ADI
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Analog Devices Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,192 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of $4,192 Mil mean?
Analog Devices (LIM:ADI) has a Operating Income of $4,192 Mil as of Apr. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Analog Devices and its competitors.
Is Analog Devices' Operating Income too high?
Analog Devices' current Operating Income is $4,192 Mil. Overall, Analog Devices has a GF Score™ of 95/100, reflecting its overall financial health beyond just this single metric.
How does Analog Devices' Operating Income compare to QCOM and MRVL?
Analog Devices' Operating Income of $4,192 Mil can be compared against companies in the Semiconductors industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Semiconductors company?
A good Operating Income depends on the Semiconductors industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Analog Devices and its competitors. Analog Devices's current Operating Income is $4,192 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Analog Devices stock overvalued right now?
Analog Devices (LIM:ADI) has a current Operating Income of $4,192 Mil. The stock's GF Value™ is $224.12, compared to a current price of $277.20 — trading 23.7% above its estimated fair value. The current Operating Income is $4,192 Mil. Analog Devices' overall GF Score™ is 95/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Analog Devices (LIM:ADI), the current Operating Income is $4,192 Mil as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Analog Devices (LIM:ADI) Overvalued in 2026?

Based on GuruFocus' analysis, Analog Devices stock appears to be overvalued. The current stock price of $277.20 is trading 23.7% above its estimated GF Value™ of $224.12.

Key valuation signals for LIM:ADI:

  • Operating Income: $4,192 Mil
  • GF Value™: $224.12 vs. price of $277.20 (23.7% above fair value)
  • GF Score™: 95/100 with 6 warning signs

No single metric tells the full story. See the LIM:ADI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Analog Devices Business Description

Address One Analog Way, Wilmington, MA, USA, 01887
Analog Devices is a leading analog, mixed-signal, and digital-signal processing chipmaker. The firm has a significant market share lead in converter chips, which are used to translate analog signals to digital and vice versa. The company serves tens of thousands of customers; more than half of its chip sales are to industrial and automotive end markets. ADI's chips are also incorporated into wireless infrastructure equipment.
95GF Score

Get the complete analysis for LIM:ADI

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$277.20
Price
$224.12
GF Value