Texas Instruments
Market Cap
US$158.6b
Last Updated
2021/01/24 00:41 UTC
Data Sources
Company Financials +
Executive Summary
Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers worldwide. More Details
Snowflake Analysis
Established dividend payer with proven track record.
Similar Companies
Share Price & News
How has Texas Instruments's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TXN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: TXN's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
2.1%
TXN
3.2%
US Semiconductor
2.3%
US Market
1 Year Return
32.4%
TXN
52.9%
US Semiconductor
23.8%
US Market
Return vs Industry: TXN underperformed the US Semiconductor industry which returned 52.9% over the past year.
Return vs Market: TXN exceeded the US Market which returned 23.8% over the past year.
Shareholder returns
| TXN | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.1% | 3.2% | 2.3% |
| 30 Day | 6.9% | 10.9% | 4.8% |
| 90 Day | 15.2% | 24.8% | 14.5% |
| 1 Year | 36.3%32.4% | 55.6%52.9% | 26.6%23.8% |
| 3 Year | 65.0%52.0% | 106.8%96.1% | 45.0%35.4% |
| 5 Year | 270.4%226.5% | 358.1%314.1% | 126.2%101.0% |
Long-Term Price Volatility Vs. Market
How volatile is Texas Instruments's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Could The Texas Instruments Incorporated (NASDAQ:TXN) Ownership Structure Tell Us Something Useful?2 weeks ago | Simply Wall St
Should You Review Recent Insider Transactions At Texas Instruments Incorporated (NASDAQ:TXN)?Valuation
Is Texas Instruments undervalued compared to its fair value and its price relative to the market?
32.25x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: TXN ($172.81) is trading above our estimate of fair value ($151.52)
Significantly Below Fair Value: TXN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: TXN is good value based on its PE Ratio (32.3x) compared to the US Semiconductor industry average (46.1x).
PE vs Market: TXN is poor value based on its PE Ratio (32.3x) compared to the US market (21.3x).
Price to Earnings Growth Ratio
PEG Ratio: TXN is poor value based on its PEG Ratio (4.1x)
Price to Book Ratio
PB vs Industry: TXN is overvalued based on its PB Ratio (19x) compared to the US Semiconductor industry average (4.6x).
Next Steps
Future Growth
How is Texas Instruments forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?
7.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TXN's forecast earnings growth (7.9% per year) is above the savings rate (2%).
Earnings vs Market: TXN's earnings (7.9% per year) are forecast to grow slower than the US market (21.6% per year).
High Growth Earnings: TXN's earnings are forecast to grow, but not significantly.
Revenue vs Market: TXN's revenue (6.9% per year) is forecast to grow slower than the US market (10.6% per year).
High Growth Revenue: TXN's revenue (6.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TXN's Return on Equity is forecast to be very high in 3 years time (128.9%).
Next Steps
Past Performance
How has Texas Instruments performed over the past 5 years?
12.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TXN has high quality earnings.
Growing Profit Margin: TXN's current net profit margins (36%) are higher than last year (34.9%).
Past Earnings Growth Analysis
Earnings Trend: TXN's earnings have grown by 12.1% per year over the past 5 years.
Accelerating Growth: TXN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: TXN had negative earnings growth (-3.9%) over the past year, making it difficult to compare to the Semiconductor industry average (20.8%).
Return on Equity
High ROE: TXN's Return on Equity (59.8%) is considered outstanding.
Next Steps
Financial Health
How is Texas Instruments's financial position?
Financial Position Analysis
Short Term Liabilities: TXN's short term assets ($9.3B) exceed its short term liabilities ($2.2B).
Long Term Liabilities: TXN's short term assets ($9.3B) exceed its long term liabilities ($7.7B).
Debt to Equity History and Analysis
Debt Level: TXN's debt to equity ratio (77.7%) is considered high.
Reducing Debt: TXN's debt to equity ratio has increased from 41.4% to 77.7% over the past 5 years.
Debt Coverage: TXN's debt is well covered by operating cash flow (89.2%).
Interest Coverage: TXN's interest payments on its debt are well covered by EBIT (28.6x coverage).
Balance Sheet
Next Steps
Dividend
What is Texas Instruments's current dividend yield, its reliability and sustainability?
2.36%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: TXN's dividend (2.36%) is higher than the bottom 25% of dividend payers in the US market (1.38%).
High Dividend: TXN's dividend (2.36%) is low compared to the top 25% of dividend payers in the US market (3.86%).
Stability and Growth of Payments
Stable Dividend: TXN's dividends per share have been stable in the past 10 years.
Growing Dividend: TXN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (67.2%), TXN's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: TXN's dividends in 3 years are forecast to be covered by earnings (67.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.0yrs
Average management tenure
CEO
Rich Templeton (61 yo)
2.5yrs
Tenure
US$18,633,807
Compensation
Mr. Richard K. Templeton, also known as Rich, serves as the Chief Executive Officer and President of Texas Instruments Inc. since July 17, 2018. Mr. Templeton joined Texas Instruments Inc. in 1980 in the S...
CEO Compensation Analysis
Compensation vs Market: Rich's total compensation ($USD18.63M) is above average for companies of similar size in the US market ($USD10.57M).
Compensation vs Earnings: Rich's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 2.5yrs | US$18.63m | 0.066% $ 103.9m | |
| Senior VP of Finance & Operations | 3.92yrs | US$4.86m | 0.0020% $ 3.2m | |
| Executive VP & COO | 0.42yr | US$5.86m | no data | |
| Senior Vice President of Analog Power Products | 4yrs | US$5.90m | 0.00047% $ 745.6k | |
| Senior VP & CTO | 3yrs | no data | 0.0026% $ 4.2m | |
| Senior VP of Information Technology (IT) Services & Chief Information Officer | no data | no data | no data | |
| Head of Investor Relations & VP | 6.42yrs | no data | no data | |
| Senior VP of Legal | 5.42yrs | no data | 0.0051% $ 8.1m | |
| Senior Vice President of Communications & Investor Relations | 4yrs | no data | 0.0023% $ 3.6m | |
| Senior Vice President of Sales & Applications | no data | no data | no data | |
| Senior Vice President of Human Resources | 15yrs | no data | 0.0054% $ 8.6m | |
| Senior Vice President of Technology & Manufacturing Group | 3yrs | no data | 0.0058% $ 9.2m |
4.0yrs
Average Tenure
51yo
Average Age
Experienced Management: TXN's management team is considered experienced (4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 2.5yrs | US$18.63m | 0.066% $ 103.9m | |
| Independent Director | 16.33yrs | US$309.97k | 0.0034% $ 5.3m | |
| Independent Director | 5.5yrs | US$314.94k | 0.00085% $ 1.3m | |
| Independent Director | 17yrs | US$351.61k | 0.0034% $ 5.3m | |
| Lead Independent Director | 0.75yr | US$314.99k | 0.00087% $ 1.4m | |
| Independent Director | 9.83yrs | US$304.94k | 0.0011% $ 1.8m | |
| Independent Director | 3.83yrs | US$284.94k | 0% $ 0 | |
| Independent Director | 7.92yrs | US$323.28k | 0.0016% $ 2.6m | |
| Independent Director | 2.5yrs | US$312.44k | 0.0012% $ 1.9m | |
| Independent Director | 0.75yr | no data | 0.000030% $ 47.6k | |
| Independent Director | 4.5yrs | US$284.94k | 0% $ 0 |
5.5yrs
Average Tenure
60yo
Average Age
Experienced Board: TXN's board of directors are considered experienced (5.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Texas Instruments Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Texas Instruments Incorporated
- Ticker: TXN
- Exchange: NasdaqGS
- Founded: 1930
- Industry: Semiconductors
- Sector: Semiconductors
- Market Cap: US$158.630b
- Shares outstanding: 917.94m
- Website: https://www.ti.com
Number of Employees
Location
- Texas Instruments Incorporated
- 12500 TI Boulevard
- Dallas
- Texas
- 75243
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| TXN | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jan 1968 |
| TXN | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
| TII | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| TXN * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| TII | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| TXN | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Jan 1968 |
| TXN-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| 0R2H | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| TXN | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| TXN | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 5 REP 1 ORD USD1 | AR | ARS | Sep 2000 | |
| TEXA34 | BOVESPA (Bolsa de Valores de Sao Paulo) | EACH BDR REPR 1 COM USD1 | BR | BRL | Aug 2015 |
Biography
Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers worldwide. It operates in two segments, Analog and Embedded Processing. The Analog ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/24 00:41 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.