Texas Instruments Incorporated (NASDAQ:TXN) Plans Dividend Increase – $1.52 Per Share

Texas Instruments Incorporated (NASDAQ:TXN) declared a quarterly dividend on Thursday, September 17th. Stockholders of record on Friday, October 30th will be given a dividend of 1.52 per share by the semiconductor company on Tuesday, November 10th. This represents a c) dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend is Friday, October 30th. This is a 7.0% increase from Texas Instruments’s previous quarterly dividend of $1.42.

Texas Instruments has increased its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 21 years. Texas Instruments has a dividend payout ratio of 85.2% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Research analysts expect Texas Instruments to earn $9.87 per share next year, which means the company should continue to be able to cover its $5.68 annual dividend with an expected future payout ratio of 57.5%.

Texas Instruments Stock Performance

Shares of TXN opened at $258.14 on Friday. The company has a quick ratio of 3.44, a current ratio of 4.86 and a debt-to-equity ratio of 0.72. Texas Instruments has a 52-week low of $152.73 and a 52-week high of $334.03. The company has a 50-day simple moving average of $273.73 and a 200-day simple moving average of $264.24. The company has a market capitalization of $235.75 billion, a PE ratio of 39.29, a P/E/G ratio of 1.46 and a beta of 1.33.

Texas Instruments (NASDAQ:TXN) last released its quarterly earnings data on Wednesday, July 22nd. The semiconductor company reported $2.14 EPS for the quarter, topping analysts’ consensus estimates of $1.91 by $0.23. Texas Instruments had a net margin of 31.11% and a return on equity of 35.77%. The firm had revenue of $5.46 billion for the quarter, compared to the consensus estimate of $5.26 billion. During the same quarter in the previous year, the firm earned $1.41 earnings per share. The firm’s revenue was up 22.8% on a year-over-year basis. Texas Instruments has set its Q3 2026 guidance at 2.230-2.570 EPS. Equities research analysts predict that Texas Instruments will post 8.45 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several equities research analysts have recently commented on TXN shares. Morgan Stanley boosted their price target on Texas Instruments from $230.00 to $255.00 and gave the stock an “underweight” rating in a research note on Thursday, July 23rd. Arete Research set a $405.00 price objective on Texas Instruments and gave the company a “buy” rating in a research note on Wednesday, July 29th. Cantor Fitzgerald reaffirmed a “neutral” rating on shares of Texas Instruments in a report on Wednesday, September 9th. Rosenblatt Securities boosted their target price on Texas Instruments from $330.00 to $350.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Finally, Evercore reissued an “outperform” rating and issued a $330.00 target price on shares of Texas Instruments in a report on Thursday, July 23rd. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, eight have given a Hold rating and four have given a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $312.12.

Texas Instruments Company Profile

Texas Instruments Incorporated (NASDAQ:TXN) designs and manufactures semiconductors used in industrial, automotive, personal electronics, communications equipment and enterprise systems. The company’s portfolio is led by analog chips, which manage power, sensing and signal processing, and embedded processing products, including microcontrollers and processors that control electronic systems.

Texas Instruments also develops products such as data converters, amplifiers, interface and connectivity devices, motor drivers, power-management semiconductors and calculators.