Fresh Round of Industry Checks Screen Incrementally Positive for the Analog Sector

Research evidence excerpt

Fresh Round of Industry Checks Screen Incrementally Positive for the Analog Sector

June 9, 2026

Fresh Round of Analog Checks Screen Positive for the Space

Last week we conducted an updated round of Analog industry checks following a busy conference season. Overall,

bookings continue to increase at a strong clip, B2B is coming in well above 1.0, pricing continues to push higher, lead

times continue to increase, and visibility us extending into CY27. There is a balancing act at this point in the cycle,

with customers still feeling the relatively fresh wounds of the post-COVID inventory digestion and thus trying to be

cautious around overbuilds, but at the same time watching lead times extend and pricing increase which is driving a

desire to build the generally normalized/lean inventory levels today. True end-demand strength remains centered

around AI, AI-derivatives and A&D, while end-demand elsewhere remains subdued.

Top Takeaways from Industry Checks:

 From an order / cyclical KPI perspective, we highlight; 1) inventory correction largely done, 2) replenishment

cycle starting in spots, 3) COVID lessons learned, driving caution in orders, 4) pricing increases likely to continue,

5) lead time extensions broadening, 6) areas of mismatch arising between quoted lead times and delivery

capabilities, 7) visibility increasing as customers look to secure supply, and 8) China competition potentially

heating up.

 From an end-market perspective, we highlight; 1) Industrial is leading the recovery, 2) Auto improving but still

largely subdued, 3) Data Center demand remains as strong as ever, and 4) Consumer remains soft.

Taking these dynamics together, the setup would appear positive for continued Analog strength into the back half of