Key Points
- Director Ronald Kirk sold 6,065 Texas Instruments shares at an average price of $310.39, generating approximately $1.88 million and reducing his ownership by 28.17%.
- Texas Instruments reported strong quarterly results, with revenue rising 27.7% year over year to $6.05 billion and EPS of $2.62 exceeding analyst expectations of $2.40.
- The company raised its quarterly dividend to $1.52 per share, or $6.08 annually, while analysts maintain a “Moderate Buy” consensus and a $315.37 average price target.
Texas Instruments Incorporated (NASDAQ:TXN - Get Free Report) Director Ronald Kirk sold 6,065 shares of the firm's stock in a transaction that occurred on Thursday, October 29th. The shares were sold at an average price of $310.39, for a total transaction of $1,882,515.35. Following the completion of the sale, the director owned 15,462 shares in the company, valued at approximately $4,799,250.18. The trade was a 28.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link.
Texas Instruments Stock Down 3.9%
Shares of NASDAQ:TXN opened at $300.84 on Friday. The company has a debt-to-equity ratio of 0.67, a quick ratio of 4.05 and a current ratio of 5.59. Texas Instruments Incorporated has a 52-week low of $152.73 and a 52-week high of $334.03. The company has a market capitalization of $274.90 billion, a PE ratio of 39.02, a price-to-earnings-growth ratio of 1.55 and a beta of 1.35. The company has a fifty day moving average of $275.66 and a 200-day moving average of $258.76.
Texas Instruments (NASDAQ:TXN - Get Free Report) last issued its earnings results on Wednesday, October 21st. The semiconductor company reported $2.62 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.40 by $0.22. Texas Instruments had a return on equity of 40.51% and a net margin of 34.25%. The business had revenue of $6.05 billion during the quarter, compared to analysts' expectations of $5.94 billion. During the same quarter in the prior year, the firm earned $1.48 EPS. The business's revenue for the quarter was up 27.7% compared to the same quarter last year. On average, equities analysts predict that Texas Instruments Incorporated will post 8.89 EPS for the current fiscal year.
Texas Instruments Increases Dividend
The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, November 10th. Investors of record on Friday, October 30th will be issued a $1.52 dividend. The ex-dividend date is Friday, October 30th. This is a positive change from Texas Instruments's previous quarterly dividend of $1.42. This represents a $6.08 dividend on an annualized basis and a yield of 2.0%. Texas Instruments's dividend payout ratio (DPR) is currently 73.67%.
Institutional Trading of Texas Instruments
Several large investors have recently modified their holdings of TXN. Caldwell Trust Co boosted its position in shares of Texas Instruments by 13.3% during the 3rd quarter. Caldwell Trust Co now owns 12,239 shares of the semiconductor company's stock worth $3,428,000 after purchasing an additional 1,441 shares in the last quarter. 3Chopt Investment Partners LLC grew its stake in shares of Texas Instruments by 16.4% in the 3rd quarter. 3Chopt Investment Partners LLC now owns 4,785 shares of the semiconductor company's stock valued at $1,340,000 after buying an additional 675 shares during the period. Rakuten Investment Management Inc. increased its position in Texas Instruments by 11.8% in the 3rd quarter. Rakuten Investment Management Inc. now owns 294,859 shares of the semiconductor company's stock valued at $83,059,000 after buying an additional 31,122 shares in the last quarter. AIA Group Ltd increased its position in Texas Instruments by 17.0% in the 3rd quarter. AIA Group Ltd now owns 267,691 shares of the semiconductor company's stock valued at $74,978,000 after buying an additional 38,843 shares in the last quarter. Finally, Third View Private Wealth LLC raised its stake in Texas Instruments by 1.1% during the 3rd quarter. Third View Private Wealth LLC now owns 17,260 shares of the semiconductor company's stock worth $4,834,000 after buying an additional 195 shares during the period. Institutional investors and hedge funds own 84.99% of the company's stock.
Key Texas Instruments News
Here are the key news stories impacting Texas Instruments this week:
- Positive Sentiment: Strong quarterly performance supports the investment case. Texas Instruments reported approximately $6.06 billion in revenue, up 27.7% year over year, while EPS of $2.62 exceeded the $2.40 consensus estimate. The company also guided for fourth-quarter revenue of $5.80 billion to $6.30 billion and EPS of $2.45 to $2.79. Texas Instruments Reports Revenue Growth
- Positive Sentiment: Dividend growth and ETF buying provide support. TXN raised its quarterly dividend to $1.52 from $1.42, equivalent to $6.08 annually and a yield of roughly 1.9%. Reports also indicated that ETFs bought about $37 million of shares on October 26, while 41 ETFs added TXN on October 27. Texas Instruments Dividend Comparison
- Neutral Sentiment: Analyst views are constructive but cautious. DZ Bank raised TXN to “Hold,” with a $300 price target. The broader analyst consensus remains “Moderate Buy,” although several firms maintain neutral, underweight or sell ratings and valuation targets vary widely. DZ Bank Raises Texas Instruments to Hold
- Negative Sentiment: Valuation is making investors question further upside. Articles from Trefis and Yahoo Finance focus on whether TXN’s elevated earnings multiple can be justified by future free cash flow, particularly as the company continues investing heavily in manufacturing capacity. Should You Buy Texas Instruments Stock Now or Wait?
- Negative Sentiment: Multiple directors sold shares. Directors Janet Clark, Robert Sanchez and Pamela Patsley sold a combined 14,903 shares near $302 per share, reducing their individual holdings by approximately 12% to 28%. Although these transactions may reflect personal financial decisions, they add a cautionary signal while TXN trades near its highs. Texas Instruments Insider Selling
Wall Street Analyst Weigh In
A number of research analysts have recently issued reports on the stock. Arete Research dropped their price target on shares of Texas Instruments from $405.00 to $381.00 and set a "buy" rating on the stock in a research report on Thursday, August 20th. UBS Group decreased their price objective on shares of Texas Instruments from $380.00 to $360.00 and set a "buy" rating for the company in a research report on Thursday, October 22nd. TD Cowen lowered their target price on shares of Texas Instruments from $340.00 to $330.00 and set a "buy" rating for the company in a research note on Monday, October 19th. Barclays lifted their target price on shares of Texas Instruments from $250.00 to $280.00 and gave the stock an "equal weight" rating in a research note on Thursday, October 22nd. Finally, Evercore restated an "outperform" rating and issued a $330.00 target price (up from $316.00) on shares of Texas Instruments in a report on Thursday, July 23rd. One research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, twelve have issued a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $315.37.
Check Out Our Latest Report on TXN
Texas Instruments Company Profile
(
Get Free Report)
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.
Featured Stories
This instant news alert was generated by narrative science technology and financial data from InsiderTrades.com in order to provide readers with the fastest and most accurate reporting. Please send any questions or comments about this story to [email protected].
