EV/EBITDA

Analog Devices' current EV/EBITDA of 24.2x means that for every dollar of its earnings before interest, taxes, depreciation, and amortization (EBITDA), the market values the entire company (including debt) at $24.20 — a common way to assess whether a stock is expensive relative to its operating profits.

This ratio sits slightly above the Technology sector median of 23.9x, placing ADI in the 52nd percentile among its peers, so it is priced near the middle of the sector. The metric has been perfectly stable over the past eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%, indicating no movement in valuation multiple over time. A stable EV/EBITDA at a level almost identical to the sector median suggests a neutral risk-opportunity profile: investors are neither paying a premium nor getting a discount relative to peers, and the lack of trend removes both upward momentum and downside vulnerability from valuation changes. This metric directly supports the overall NEUTRAL verdict, as the combination of an average multiple and flat trajectory offers no clear bullish or bearish signal.

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