Analog Devices (ADI) Aids Agriculture Development Project
Zacks Investment Research | Aug 25, 2017 04:50AM ET
Analog Devices, Inc. (NASDAQ:ADI) is collaborating with The Cornucopia Project and ripe.io to aid crop quality, yield and profitability enhancement initiatives.
The Cornucopia Project is a Peterborough, NH-based nonprofit organization that conducts agricultural and garden projects for students from elementary to high school.
San Francisco, CA-based ripe.io focuses on integrating Blockchain consisting of a framework of distributed ledgers, application program interface (API), Internet of Things (IoT) and sensors, and connected food supply chain workflow with the food system.
We observe that Analog Devices shares have rallied 9.2% year to date, underperforming the industry ’s gain of 15.2%.
Deal Details
The collaboration aims to train students and farmers on how to monitor crop quality as they move from “Farm to Fork,” thus facilitating improved decision making. While financing will be done by all three, Analog Devices and ripe.io are in charge of technical training.
Most importantly, Analog Devices will make available a prototype version of its crop monitoring solution for use in the project. It is a sensor-to-cloud, IoT solution that boosts farmers with improved decision making on the basis of collected knowledge from near-real-time monitoring.
ripe.io, on the other hand, is providing its block chain technology aiming to develop a fresh produce supply chain with farmers, suppliers, distributors, retailers, food service and end consumers.
Kevin Carlin, Vice President, Automation, Energy and Sensors at Analog Devices stated that the project is an expansion of the company’s ‘Internet of Tomatoes’ program that aims at improving farmers’ decision making on farming cycle and quality of produce.
Analog Devices, Inc. Revenue (TTM)
Our Take
We believe the move is intended to increase the popularity of Analog Devices’ crop monitoring solution offering.
Funding training projects does initially act as a drain on cash balance and weighs on margins but can be fruitful in the long term if used tactfully. Given that Analog Devices has a strong market position across industrial, communications infrastructure and consumer markets, moves like this could help it attract new customers and keep the existing ones hooked on its services.
Get The News You Want
The company has been strengthening its balance sheet, expanding margins and improving cash generation capacity through continued focus on product innovation. This is required especially when it’s increasingly facing tough competition from the likes of Texas Instruments (NASDAQ:TXN) , Maxim Integrated Products (NASDAQ:MXIM) and Broadcom Limited (NASDAQ:AVGO) .
Analog Devices has a Zacks Rank #3 (Hold). You can see
4 Surprising Tech Stocks to Keep an Eye On
Tech stocks have been a major force behind the market’s record highs, but picking the best ones to buy can be tough. There’s a simple way to invest in the success of the entire sector. Zacks has just released a Special Report revealing one thing tech companies literally cannot function without.
More importantly, it reveals 4 top stocks set to skyrocket on increasing demand for these devices. I encourage you to get the report now – before the next wave of innovations really takes off.
Zacks Investment Research
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.