Texas Instruments (NASDAQ:TXN) Stock Price Target Cut by TD Cowen

Key Points

• TD Cowen lowered Texas Instruments’ price target from $340 to $330 but maintained a “buy” rating, implying approximately 19.5% upside from the current price.
• Analyst sentiment is mixed: 16 analysts rate the stock a Buy, 10 a Hold and 4 a Sell, producing an overall “Hold” rating and average target price of $303.23.
• Texas Instruments exceeded quarterly expectations, reporting $2.14 in EPS versus the $1.91 consensus and $5.46 billion in revenue, up 22.8% year over year; third-quarter guidance is $2.23–$2.57 EPS.

Texas Instruments (NASDAQ:TXN - Get Free Report) had its target price dropped by analysts at TD Cowen from $340.00 to $330.00 in a research note issued to investors on Monday, Benzinga reports. The firm presently has a "buy" rating on the semiconductor company's stock. TD Cowen's price objective points to a potential upside of 19.50% from the stock's current price.

Several other analysts also recently issued reports on the stock. Wall Street Zen raised shares of Texas Instruments from a "hold" rating to a "buy" rating in a report on Saturday, July 18th. Evercore reissued an "outperform" rating and set a $330.00 price objective (up from $316.00) on shares of Texas Instruments in a research note on Thursday, July 23rd. Arete Research dropped their price objective on shares of Texas Instruments from $405.00 to $381.00 and set a "buy" rating for the company in a research note on Thursday, August 20th. Sanford C. Bernstein lifted their price objective on Texas Instruments from $250.00 to $290.00 and gave the stock a "market perform" rating in a research report on Thursday, July 23rd. Finally, Stifel Nicolaus lifted their price objective on Texas Instruments from $340.00 to $360.00 and gave the stock a "buy" rating in a research report on Wednesday, June 24th. Sixteen investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average target price of $303.23.

Texas Instruments Trading Down 0.1%

NASDAQ:TXN opened at $276.15 on Monday. Texas Instruments has a 52-week low of $152.73 and a 52-week high of $334.03. The company has a quick ratio of 3.44, a current ratio of 4.86 and a debt-to-equity ratio of 0.72. The stock has a fifty day simple moving average of $271.67 and a 200-day simple moving average of $277.63. The company has a market capitalization of $252.19 billion, a PE ratio of 42.03, a price-to-earnings-growth ratio of 1.54 and a beta of 1.35.

Texas Instruments (NASDAQ:TXN - Get Free Report) last issued its quarterly earnings data on Wednesday, July 22nd. The semiconductor company reported $2.14 EPS for the quarter, beating analysts' consensus estimates of $1.91 by $0.23. Texas Instruments had a net margin of 31.11% and a return on equity of 35.77%. The firm had revenue of $5.46 billion for the quarter, compared to analysts' expectations of $5.26 billion. During the same period in the prior year, the company earned $1.41 EPS. The firm's revenue was up 22.8% on a year-over-year basis. Texas Instruments has set its Q3 2026 guidance at 2.230-2.570 EPS. On average, equities research analysts expect that Texas Instruments will post 8.48 earnings per share for the current fiscal year.

Insider Transactions at Texas Instruments

In other Texas Instruments news, VP Tsedeniya Abraham sold 7,000 shares of the company's stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $264.63, for a total value of $1,852,410.00. Following the transaction, the vice president directly owned 23,181 shares in the company, valued at approximately $6,134,388.03. This represents a 23.19% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.60% of the company's stock.

Institutional Investors Weigh In On Texas Instruments

A number of hedge funds and other institutional investors have recently modified their holdings of the company. BlackRock Inc. acquired a new position in Texas Instruments during the second quarter valued at $24,607,313,000. Bank of New York Mellon Corp lifted its stake in Texas Instruments by 33.6% in the 1st quarter. Bank of New York Mellon Corp now owns 16,402,834 shares of the semiconductor company's stock worth $3,184,446,000 after acquiring an additional 4,129,601 shares in the last quarter. Bank of America Corp DE acquired a new stake in Texas Instruments during the 2nd quarter worth about $3,700,842,000. Van ECK Associates Corp boosted its position in Texas Instruments by 1.5% during the 2nd quarter. Van ECK Associates Corp now owns 12,149,167 shares of the semiconductor company's stock worth $3,621,302,000 after acquiring an additional 177,511 shares during the period. Finally, Amundi grew its stake in Texas Instruments by 9.0% during the 1st quarter. Amundi now owns 9,064,214 shares of the semiconductor company's stock valued at $1,759,727,000 after acquiring an additional 752,139 shares in the last quarter. 84.99% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Texas Instruments

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

• Positive Sentiment: UBS named TXN a top pick amid an expected upswing in the analog semiconductor cycle, a potential catalyst for revenue, margins and investor sentiment. UBS Identifies TXN as Top Pick Amid Upswing in Analog Chip Cycle
• Positive Sentiment: KeyCorp raised its forecast for TXN’s third-quarter earnings, suggesting confidence that near-term results could exceed prior expectations. Texas Instruments’ latest reported quarter also showed strong year-over-year revenue and earnings growth, supporting the earnings-recovery narrative. Texas Instruments Q3 Earnings Forecast Raised by KeyCorp
• Positive Sentiment: Coverage continues to emphasize TXN’s durable analog and embedded-chip franchises, recurring industrial and automotive demand, and appeal to long-term dividend investors. Its dividend profile and cash-generation potential remain important support factors. Texas Instruments: 3 Things to Watch Before Buying the Dividend Stock
• Neutral Sentiment: Comparisons with Sandisk and Broadcom frame TXN as a higher-quality, dividend-oriented semiconductor investment, but also highlight the trade-off between TXN’s dividend yield, valuation and the strength of competitors’ cash-flow coverage. Broadcom vs. Texas Instruments
• Negative Sentiment: TXN’s shares face valuation sensitivity after a substantial rally, with comparisons noting that its premium valuation requires sustained earnings and cash-flow improvement. ETF net selling on October 15 also represents a modest near-term technical headwind. ETFs Are Net Sellers of Texas Instruments

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.

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