Texas Instruments (NASDAQ:TXN) Shares Gap Up After Better-Than-Expected Earnings

Texas Instruments Incorporated (NASDAQ:TXN)’s stock price gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $165.47, but opened at $178.23. Texas Instruments shares last traded at $176.19, with a volume of 3,663,140 shares.

The semiconductor company reported $1.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.07 by $0.13. Texas Instruments had a return on equity of 39.96% and a net margin of 37.16%. The company had revenue of $3.66 billion during the quarter, compared to the consensus estimate of $3.61 billion. During the same period in the prior year, the company earned $1.85 earnings per share. The company’s revenue for the quarter was down 16.4% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on the company. Truist Financial increased their price objective on Texas Instruments from $165.00 to $167.00 and gave the stock a “hold” rating in a report on Wednesday. Evercore ISI began coverage on Texas Instruments in a report on Tuesday, April 16th. They set an “outperform” rating and a $213.00 price objective for the company. Oppenheimer restated a “market perform” rating on shares of Texas Instruments in a research note on Wednesday. TD Cowen raised their price objective on Texas Instruments from $160.00 to $175.00 and gave the company a “hold” rating in a research report on Wednesday. Finally, Cantor Fitzgerald raised their price objective on Texas Instruments from $170.00 to $180.00 and gave the company a “neutral” rating in a research report on Monday, April 8th. Three analysts have rated the stock with a sell rating, ten have issued a hold rating and seven have issued a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $178.79.

Insider Activity

In related news, Director Mark A. Blinn sold 1,744 shares of the business’s stock in a transaction on Wednesday, January 31st. The stock was sold at an average price of $159.85, for a total transaction of $278,778.40. Following the sale, the director now owns 11,693 shares in the company, valued at approximately $1,869,126.05. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Corporate insiders own 0.68% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Chemistry Wealth Management LLC lifted its stake in shares of Texas Instruments by 5.2% in the 1st quarter. Chemistry Wealth Management LLC now owns 1,254 shares of the semiconductor company’s stock valued at $218,000 after purchasing an additional 62 shares during the period. Field & Main Bank raised its stake in Texas Instruments by 10.4% during the 4th quarter. Field & Main Bank now owns 693 shares of the semiconductor company’s stock worth $118,000 after buying an additional 65 shares during the period. Guardian Wealth Management Inc. raised its stake in Texas Instruments by 0.6% during the 4th quarter. Guardian Wealth Management Inc. now owns 10,986 shares of the semiconductor company’s stock worth $1,873,000 after buying an additional 65 shares during the period. Buckley Wealth Management LLC raised its stake in Texas Instruments by 1.1% during the 1st quarter. Buckley Wealth Management LLC now owns 5,900 shares of the semiconductor company’s stock worth $1,028,000 after buying an additional 65 shares during the period. Finally, Riverview Trust Co raised its stake in Texas Instruments by 57.4% during the 3rd quarter. Riverview Trust Co now owns 181 shares of the semiconductor company’s stock worth $29,000 after buying an additional 66 shares during the period. 84.99% of the stock is owned by institutional investors and hedge funds.

Texas Instruments Trading Up 6.0 %

The business has a 50 day moving average of $168.32 and a two-hundred day moving average of $161.90. The company has a debt-to-equity ratio of 0.63, a quick ratio of 3.35 and a current ratio of 4.55. The firm has a market capitalization of $159.67 billion, a price-to-earnings ratio of 24.89, a P/E/G ratio of 3.52 and a beta of 1.04.

About Texas Instruments

Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers in the United States and internationally. The company operates through Analog and Embedded Processing segments. The Analog segment offers power products to manage power requirements across various voltage levels, including battery-management solutions, DC/DC switching regulators, AC/DC and isolated controllers and converters, power switches, linear regulators, voltage references, and lighting products.