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Texas Instruments NasdaqGS:TXN Stock Report

Last Price


Market Cap







05 Oct, 2022


Company Financials +
TXN fundamental analysis
Snowflake Score
Future Growth1/6
Past Performance4/6
Financial Health5/6

TXN Stock Overview

Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers worldwide.

Texas Instruments Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Texas Instruments
Historical stock prices
Current Share PriceUS$167.80
52 Week HighUS$202.26
52 Week LowUS$144.46
1 Month Change2.95%
3 Month Change8.48%
1 Year Change-13.68%
3 Year Change31.67%
5 Year Change80.68%
Change since IPO6,988.58%

Recent News & Updates

Sep 29

Texas Instruments Can Continue To Outperform Semiconductor Industry

Summary TXN has dramatically outperformed the semiconductor industry (as well as the S&P 500) so far in 2022. Expected earnings growth is muted, but supports solid price appreciation from current levels. The Wall Street consensus rating is somewhat mixed, but the consensus price target implies 18% total return over the next year. The market-implied outlook (calculated from options prices) continues to be bullish. Texas Instruments (TXN) has performed much better than the chip industry so far in 2022. TXN has a total return of -11.8% for the YTD vs. -40.4% for the semiconductor industry as a whole (as calculated by Morningstar) and -37.7% for the iShares Semiconductor ETF (SOXX). TXN is the largest holding in SOXX, making TXN’s relative performance even more notable. For context, the S&P 500 (SPY) has returned a total of -21.1% for the YTD. TXN is currently trading $157.73, 21.6% below the 12-month high closing price of $201.29 on October 21, 2021. Seeking Alpha 12-Month price history and basic statistics for TXN (Source: Seeking Alpha) TXN has grown earnings at a steady clip over the past 3 years, consistently beating analyst expectations. In the most recent earnings report on July 26th, for Q2 of 2022, quarterly EPS exceeded the consensus expected value by 15.7%. The rate of earnings growth has slowed over the past year, and the outlook is for 2023 earnings to fall below the 2022 results. The consensus expectation for EPS growth over the next 3 to 5 years is a modest 6.1% per year. ETrade Historical (3 years) and estimated future quarterly earnings per share ('EPS') for TXN. Green values are amounts by which the quarterly EPS beat the consensus expected value (Source: ETrade) With TXN’s price decline, the shares look reasonably valued relative to current and expected earnings. The forward and TTM P/E are 17.3 and 17.0, respectively, on the low end of TXN’s P/E range over the past 4+ years. This makes sense given the low expected growth rate, however. Income investors should note that the rapid dividend growth in recent years is higher than the expected earnings growth in the next several years. The trailing 3-, 5-, and 10-year dividend growth rates are 14.3%, 18.1%, and 21.1% per year, respectively. With expected EPS growth of 6.1% per year, maintaining anything close to historical dividend growth rates will push up the payout ratio (currently at 47.6%). The current payout ratio is somewhat below TXN’s 5-year averages, 57.2% (GAAP) and 54.6% (non-GAAP), so there is some room for an increase. That said, in difficult economic periods, companies may prefer to build up some cash reserves and strengthen their balance sheets rather than raising the payout ratio. TXN’s board recently approved an additional $15B in buybacks, which will constrain dividend growth rates. For income investors, buybacks tend to increase the relative attractiveness of selling covered calls relative to dividends. I last wrote about TXN on July 27, 2021, about 14 months ago, at which time I assigned a buy rating on the shares. Since the close on July 27th, TXN has returned a total of -12.5% vs. -16% for the S&P 500 and -25.2% for the iShares Semiconductor ETF. I calculated these results using dividend-adjusted closing prices from Yahoo! Finance and current trading prices TXN, SPY, and SOXX. Seeking Alpha Previous analysts of TXN and subsequent performance vs. the S&P 500 (Source: Seeking Alpha) For my July 27, 2021 analysis, TXN’s valuation was a concern, but the strong earnings growth track record and EPS growth consistently above expectations helped to offset this issue. The Wall Street consensus rating for TXN was a buy, and the consensus 12-month price target was 9.2% (Seeking Alpha) to 12.7% (ETrade) above the share price at that time. I also rely on a probabilistic outlook derived from the prices of call and put options on a stock, the market-implied outlook, which represents the consensus view among buyers and sellers of options. The market-implied outlook to early 2022 was bullish, with expected volatility of 27% (annualized). As a rule of thumb for a buy rating, I want to see an expected total return that is at least ½ the expected volatility. Taking the Wall Street consensus price targets and adding the dividend (for a total return range of 11.4% to 14.9%), TXN reached that threshold at the higher end of the consensus range. Considering the company’s robust earnings track record and the bullish views from the Wall Street consensus and the market-implied outlook, I assigned an overall buy rating. For readers who are unfamiliar with the market-implied outlook, a brief explanation is needed. The price of an option on a stock is largely determined by the market’s consensus estimate of the probability that the stock price will rise above (call option) or fall below (put option) a specific level (the option strike price) between now and when the option expires. By analyzing the prices of call and put options at a range of strike prices, all with the same expiration date, it is possible to calculate a probabilistic price forecast that reconciles the options prices. This is the market-implied outlook. For a deeper explanation and background, I recommend this monograph published by the CFA Institute. I have calculated updated market-implied outlooks for TXN and compared these with the current Wall Street consensus outlooks in revisiting my rating. Wall Street Consensus Outlook for TXN ETrade calculates the Wall Street consensus outlook for TXN using ratings and price targets from 19 analysts who have published their views over the past 3 months. The consensus rating is a buy, as it has been for almost all of the past year. The consensus 12-month price target is 14.7% above the current share price. There is a high dispersion among the individual analyst price targets, reducing confidence in the predictive value of the consensus. ETrade Wall Street analyst consensus rating and 12-month price target for TXN (Source: ETrade) Seeking Alpha’s version of the Wall Street consensus outlook combines the views of 31 analysts who have published price targets and ratings over the past 90 days. The consensus rating is a hold, having shifted from a buy in early 2022. The consensus 12-month price target is 15.3% above the current share price. Seeking Alpha Wall Street analyst consensus rating and 12-month price target for TXN (Source: Seeking Alpha) Even though ETrade and Seeking Alpha calculate different consensus ratings for TXN, the consensus 12-month price targets are very close. With a consensus price target that is 15% above the current share price and the 3% forward dividend yield, the expected 12-month total return is 18%. Market-Implied Outlook for TXN I have calculated the market-implied outlook for TXN for the 3.7-month period from now until January 20, 2023 and for the 8.5-month period from now until June 16, 2023, using the prices of call and put options that expire on these dates. I selected these two dates to provide a view to the start and middle of 2023, as well as because the options expiring in January and June tend to be among the most liquid. The trading volume for the June options is much lower than for the January options, reducing the relative weight that I give to the 8.5-month outlook. The standard presentation of the market-implied outlook is a probability distribution of price return, with probability on the vertical axis and return on the horizontal. Geoff Considine Market-implied price return probabilities for TXN for the 3.7-month period from now until January 20, 2023 (Source: Author’s calculations using options quotes from ETrade) The market-implied outlook for the next 3.7 months is generally symmetric, with comparable probabilities of positive and negative returns. The expected volatility calculated from this distribution is 36.5% (annualized) as compared to 27% in my last analysis. Most, if not all, of the increase in expected volatility is due to broader market conditions, with the VIX increasing substantially over the past year. To make it easier to compare the relative probabilities of positive and negative returns, I rotate the negative return side of the distribution about the vertical axis (see chart below). Geoff Considine Market-implied price return probabilities for TXN for the 3.7-month period from now until January 20, 2023. The negative return side of the distribution has been rotated about the vertical axis (Source: Author’s calculations using options quotes from ETrade) This view shows that the probabilities of positive returns are consistently higher than the probabilities of negative returns of the same size (the solid blue line is above the dashed red line over almost all of the chart above). This is a bullish tilt in the market-implied outlook.

Sep 22
Texas Instruments' (NASDAQ:TXN) Shareholders Will Receive A Bigger Dividend Than Last Year

Texas Instruments' (NASDAQ:TXN) Shareholders Will Receive A Bigger Dividend Than Last Year

Texas Instruments Incorporated ( NASDAQ:TXN ) has announced that it will be increasing its dividend from last year's...

Sep 15

Texas Instruments raised dividend by 8% to $1.24 and authorized $15B buyback

Texas Instruments (NASDAQ:TXN) declares $1.24/share quarterly dividend, 7.8% increase from prior dividend of $1.15. Forward yield 3.05% Payable Nov. 15; for shareholders of record Oct. 31; ex-div Oct. 28. Board of directors also authorized to repurchase an additional $15B stock over time. This is in addition to ~$8.2B of previously authorized repurchases that remained at the end of June 2022. See TXN Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

TXNUS SemiconductorUS Market

Return vs Industry: TXN exceeded the US Semiconductor industry which returned -22.4% over the past year.

Return vs Market: TXN exceeded the US Market which returned -18.2% over the past year.

Price Volatility

Is TXN's price volatile compared to industry and market?
TXN volatility
TXN Average Weekly Movement4.5%
Semiconductor Industry Average Movement8.0%
Market Average Movement7.0%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.9%

Stable Share Price: TXN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: TXN's weekly volatility (5%) has been stable over the past year.

About the Company

193031,000Rich Templeton

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 segment offers power products to manage power requirements in various levels using battery-management solutions, DC/DC switching regulators, AC/DC and isolated controllers and converters, power switches, linear regulators, voltage supervisors, voltage references, and lighting products.

Texas Instruments Fundamentals Summary

How do Texas Instruments's earnings and revenue compare to its market cap?
TXN fundamental statistics
Market CapUS$153.32b
Earnings (TTM)US$8.54b
Revenue (TTM)US$19.59b


P/E Ratio


P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TXN income statement (TTM)
Cost of RevenueUS$6.02b
Gross ProfitUS$13.57b
Other ExpensesUS$5.03b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date


Earnings per share (EPS)9.35
Gross Margin69.26%
Net Profit Margin43.59%
Debt/Equity Ratio51.4%

How did TXN perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio

Does TXN pay a reliable dividends?

See TXN dividend history and benchmarks
When do you need to buy TXN by to receive an upcoming dividend?
Texas Instruments dividend dates
Ex Dividend DateOct 28 2022
Dividend Pay DateNov 15 2022
Days until Ex dividend22 days
Days until Dividend pay date40 days

Does TXN pay a reliable dividends?

See TXN dividend history and benchmarks
We’ve recently updated our valuation analysis.


Is TXN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score


Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TXN?

Other financial metrics that can be useful for relative valuation.

TXN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue7.8x
Enterprise Value/EBITDA13.5x
PEG Ratio-5.4x

Price to Earnings Ratio vs Peers

How does TXN's PE Ratio compare to its peers?

TXN PE Ratio vs Peers
The above table shows the PE ratio for TXN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.6x
AVGO Broadcom
INTC Intel
ADI Analog Devices
TXN Texas Instruments

Price-To-Earnings vs Peers: TXN is good value based on its Price-To-Earnings Ratio (18x) compared to the peer average (19.6x).

Price to Earnings Ratio vs Industry

How does TXN's PE Ratio compare vs other companies in the US Semiconductor Industry?

Price-To-Earnings vs Industry: TXN is expensive based on its Price-To-Earnings Ratio (18x) compared to the US Semiconductor industry average (16.1x)

Price to Earnings Ratio vs Fair Ratio

What is TXN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TXN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18x
Fair PE Ratio20.8x

Price-To-Earnings vs Fair Ratio: TXN is good value based on its Price-To-Earnings Ratio (18x) compared to the estimated Fair Price-To-Earnings Ratio (20.8x).

Share Price vs Fair Value

What is the Fair Price of TXN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TXN ($167.8) is trading above our estimate of fair value ($140.05)

Significantly Below Fair Value: TXN is trading above our estimate of fair value.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Future Growth

How is Texas Instruments forecast to perform in the next 1 to 3 years based on estimates from 27 analysts?

Future Growth Score


Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: TXN's earnings are forecast to decline over the next 3 years (-3.3% per year).

Earnings vs Market: TXN's earnings are forecast to decline over the next 3 years (-3.3% per year).

High Growth Earnings: TXN's earnings are forecast to decline over the next 3 years.

Revenue vs Market: TXN's revenue (1.7% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: TXN's revenue (1.7% 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 (41.7%).

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Past Performance

How has Texas Instruments performed over the past 5 years?

Past Performance Score


Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TXN has a high level of non-cash earnings.

Growing Profit Margin: TXN's current net profit margins (43.6%) are higher than last year (39.9%).

Past Earnings Growth Analysis

Earnings Trend: TXN's earnings have grown by 14.5% per year over the past 5 years.

Accelerating Growth: TXN's earnings growth over the past year (27.5%) exceeds its 5-year average (14.5% per year).

Earnings vs Industry: TXN earnings growth over the past year (27.5%) underperformed the Semiconductor industry 49.2%.

Return on Equity

High ROE: TXN's Return on Equity (60.9%) is considered outstanding.

Discover strong past performing companies

Financial Health

How is Texas Instruments's financial position?

Financial Health Score


Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TXN's short term assets ($13.0B) exceed its short term liabilities ($2.6B).

Long Term Liabilities: TXN's short term assets ($13.0B) exceed its long term liabilities ($8.1B).

Debt to Equity History and Analysis

Debt Level: TXN has more cash than its total debt.

Reducing Debt: TXN's debt to equity ratio has increased from 33.5% to 51.4% over the past 5 years.

Debt Coverage: TXN's debt is well covered by operating cash flow (120.1%).

Interest Coverage: TXN's interest payments on its debt are well covered by EBIT (52.7x coverage).

Balance Sheet

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What is Texas Instruments's current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


Current Dividend Yield

Upcoming Dividend Payment

TodayOct 06 2022Ex Dividend DateOct 28 2022Dividend Pay DateNov 15 202218 days from Ex DividendBuy in the next 22 days to receive the upcoming dividend

Dividend Yield vs Market

Texas Instruments Dividend Yield vs Market
How does Texas Instruments dividend yield compare to the market?
SegmentDividend Yield
Company (Texas Instruments)3.0%
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.5%
Industry Average (Semiconductor)2.0%
Analyst forecast in 3 Years (Texas Instruments)3.0%

Notable Dividend: TXN's dividend (2.96%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: TXN's dividend (2.96%) is low compared to the top 25% of dividend payers in the US market (4.53%).

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.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (48.3%), TXN's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: At its current cash payout ratio (77%), TXN's dividend payments are covered by cash flows.

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How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Rich Templeton (63 yo)





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

Rich Templeton's Compensation vs Texas Instruments Earnings
How has Rich Templeton's remuneration changed compared to Texas Instruments's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a


Mar 31 2022n/an/a


Dec 31 2021US$19mUS$1m


Sep 30 2021n/an/a


Jun 30 2021n/an/a


Mar 31 2021n/an/a


Dec 31 2020US$19mUS$1m


Sep 30 2020n/an/a


Jun 30 2020n/an/a


Mar 31 2020n/an/a


Dec 31 2019US$19mUS$1m


Sep 30 2019n/an/a


Jun 30 2019n/an/a


Mar 31 2019n/an/a


Dec 31 2018US$18mUS$1m


Sep 30 2018n/an/a


Jun 30 2018n/an/a


Mar 31 2018n/an/a


Dec 31 2017US$17mUS$1m


Sep 30 2017n/an/a


Jun 30 2017n/an/a


Mar 31 2017n/an/a


Dec 31 2016US$15mUS$1m


Sep 30 2016n/an/a


Jun 30 2016n/an/a


Mar 31 2016n/an/a


Dec 31 2015US$15mUS$1m


Compensation vs Market: Rich's total compensation ($USD19.20M) is above average for companies of similar size in the US market ($USD13.00M).

Compensation vs Earnings: Rich's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: TXN's management team is considered experienced (4.8 years average tenure).

Board Members

Experienced Board: TXN's board of directors are considered experienced (8.2 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: TXN insiders have only sold shares in the past 3 months.

Recent Insider Transactions

NasdaqGS:TXN Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
01 Aug 22SellUS$363,527Mark RobertsIndividual2,048US$177.50
13 May 22SellUS$1,005,067Hagop KozanianIndividual5,904US$170.23
13 May 22SellUS$347,147Mark GaryIndividual2,043US$169.92
09 Feb 22SellUS$600,223Hagop KozanianIndividual3,427US$175.15
08 Feb 22SellUS$350,280Amichai RonIndividual2,037US$171.96
04 Feb 22SellUS$155,923Mark BlinnIndividual907US$172.32
31 Jan 22SellUS$5,938,659Richard TempletonIndividual33,469US$178.45

Ownership Breakdown

What is the ownership structure of TXN?
Owner TypeNumber of SharesOwnership Percentage
State or Government408,7430.04%
Individual Insiders1,004,7070.1%
General Public128,615,29814.1%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Top 25 shareholders own 52.99% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
The Vanguard Group, Inc.
BlackRock, Inc.
State Street Global Advisors, Inc.
Wellington Management Group LLP
T. Rowe Price Group, Inc.
Geode Capital Management, LLC
J.P. Morgan Asset Management, Inc.
Massachusetts Financial Services Company
PRIMECAP Management Company
Charles Schwab Investment Management, Inc.
Managed Account Advisors LLC
Capital Research and Management Company
Franklin Resources, Inc.
BNY Mellon Asset Management
Northern Trust Global Investments
UBS Asset Management
Columbia Management Investment Advisers, LLC
Norges Bank Investment Management
Janus Henderson Group plc
Eaton Vance Management
Legal & General Investment Management Limited
Goldman Sachs Asset Management, L.P.
Schroder Investment Management Limited
Walter Scott & Partners Limited
Deutsche Asset & Wealth Management

Company Information

Texas Instruments Incorporated's employee growth, exchange listings and data sources

Key Information

  • Name: Texas Instruments Incorporated
  • Ticker: TXN
  • Exchange: NasdaqGS
  • Founded: 1930
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Implied Market Cap: US$153.320b
  • Shares outstanding: 913.71m
  • Website:

Number of Employees


  • Texas Instruments Incorporated
  • 12500 TI Boulevard
  • Dallas
  • Texas
  • 75243
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TXNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1968
TIIDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
TXN *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
TIIXTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1968
TXNSNSE (Santiago Stock Exchange)YesCommon StockCLUSDJan 1968
TXN-UETLX (Eurotlx)YesCommon StockITEURJan 1968
0R2HLSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
TXNWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1968
TXNBASE (Buenos Aires Stock Exchange)CEDEAR EA 5 RE 1 USD1(USD)ARARSSep 2000
TEXA34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 15 REPR 1 COMBRBRLAug 2015

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/05 00:00
End of Day Share Price2022/10/05 00:00
Annual Earnings2021/12/31

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.