Texas Instruments (NASDAQ:TXN) Announces Earnings Results

Texas Instruments (NASDAQ:TXN) issued its earnings results on Wednesday. The semiconductor company reported $2.62 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.43 by $0.19, Zacks reports. Texas Instruments had a net margin of 31.11% and a return on equity of 35.77%.

Texas Instruments Price Performance

Shares of NASDAQ:TXN traded up $6.87 during trading on Wednesday, reaching $284.65. The company had a trading volume of 9,742,932 shares, compared to its average volume of 7,555,938. The firm’s fifty day moving average is $271.60 and its 200 day moving average is $278.20. The firm has a market capitalization of $259.96 billion, a PE ratio of 43.33, a price-to-earnings-growth ratio of 1.54 and a beta of 1.35. Texas Instruments has a twelve month low of $152.73 and a twelve month high of $334.03. The company has a debt-to-equity ratio of 0.72, a quick ratio of 3.44 and a current ratio of 4.86.

Texas Instruments Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, November 10th. Stockholders of record on Friday, October 30th will be paid a $1.52 dividend. The ex-dividend date of this dividend is Friday, October 30th. This represents a $6.08 dividend on an annualized basis and a dividend yield of 2.1%. This is an increase from Texas Instruments’s previous quarterly dividend of $1.42. Texas Instruments’s dividend payout ratio (DPR) is currently 92.54%.

Analyst Ratings Changes

A number of analysts have recently weighed in on the company. Susquehanna increased their price target on Texas Instruments from $300.00 to $340.00 and gave the stock a “positive” rating in a research report on Tuesday, July 21st. Benchmark boosted their price objective on Texas Instruments from $315.00 to $360.00 and gave the company a “buy” rating in a research report on Thursday, July 23rd. Robert W. Baird boosted their price objective on Texas Instruments from $300.00 to $385.00 and gave the company an “outperform” rating in a research report on Thursday, July 23rd. Truist Financial upped their price objective on Texas Instruments from $278.00 to $300.00 and gave the stock a “hold” rating in a research note on Thursday, July 23rd. Finally, TD Cowen dropped their target price on Texas Instruments from $340.00 to $330.00 and set a “buy” rating on the stock in a research report on Monday. Sixteen equities research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $302.88.

Texas Instruments News Roundup

Here are the key news stories impacting Texas Instruments this week:

• Positive Sentiment: Investors are positioning ahead of the earnings release, with expectations for approximately $2.42 in third-quarter EPS and $5.92 billion in revenue. Texas Instruments previously guided to revenue of $5.65 billion to $6.15 billion and EPS of $2.23 to $2.57. A strong result or upbeat fourth-quarter outlook could provide another catalyst. Texas Instruments rises as investors position ahead of Q3 results
• Positive Sentiment: Recovering chip demand and moderating factory spending are improving the company’s profit outlook. Analysts and investors are watching whether recently added capacity can support longer-term growth rather than merely amplify a cyclical rebound. Texas Instruments sees profits recover, but is the stock still expensive?
• Positive Sentiment: Texas Instruments raised its quarterly dividend by 7% to $1.52 per share, supporting its shareholder-return narrative and potentially helping sentiment among income-focused investors. Is Texas Instruments’ cash recovery real?

Insider Activity at Texas Instruments

In related news, VP Tsedeniya Abraham sold 7,000 shares of the business’s stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $264.63, for a total transaction of $1,852,410.00. Following the sale, the vice president owned 23,181 shares of the company’s stock, valued at $6,134,388.03. The trade was a 23.19% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.60% of the stock is owned by corporate insiders.

Texas Instruments Company Profile

Texas Instruments Incorporated (NASDAQ:TXN) designs and manufactures analog and embedded semiconductor products used in industrial, automotive, personal electronics, communications equipment, and enterprise systems. Its analog products help manage power, sense and measure real-world signals, and support signal processing, while its embedded processing products provide computing and control functions within electronic systems.

The company offers a broad portfolio of semiconductors, including power-management devices, amplifiers, data converters, microcontrollers, processors, and connectivity products.