Morgan Stanley analyst Craig Hettenbach sees a tactical buying opportunity in Analog Devices with shares down 8% since the Linear deal closed on March 10. Sentiment has turned bearish from uncertainties related to the CFO departure and potential iPhone content loss, but he said Linear adds over $1 of earnings power that is not reflected in valuation and recommends investors use the recent weakness to buy Analog ahead of the May 31 earnings report. He also expects the CFO departure and long-term earnings outlook to be addressed at the company's analyst day on June 20. Hettenbach rates Analog an Overweight with a $93 price target and a sees the shares at $112 in a "bull case."

BofA raised the firm's price target on Texas Instruments (TXN) to $190 from $175 and keeps a Neutral rating on the shares. TI's small Q1 beat and inline but sequentially rising Q2 sales guidance, "while modest, potentially marks a recovery inflection in industrial chip demand," with positive read-across for U.S. peers such as Analog Devices (ADI), Microchip (MCHP), NXP Semiconductors (NXPI) and On Semiconductor (ON), the analyst tells investors. However, despite an expected recovery, TI's sustained high capex intensity could keep reported calendar year 2024-26 pro-forma EPS below $6 per share, the analyst added.