TXN Stock Gets Stronger EPS Forecast from Zacks Research

Key Points

• Zacks Research raised its Q1 2027 EPS forecast for Texas Instruments to $2.28 from $2.03 and projects Q2 EPS of $2.43; it rates the stock “Strong Buy.”
• Texas Instruments beat quarterly expectations, reporting EPS of $2.62 versus $2.40 and revenue of $6.05 billion versus $5.94 billion. Revenue increased 27.7% year over year.
• The company raised its quarterly dividend to $1.52 per share from $1.42, equivalent to an annualized $6.08 and a 2.0% yield.

Texas Instruments Incorporated (NASDAQ:TXN - Free Report) - Stock analysts at Zacks Research increased their Q1 2027 earnings estimates for Texas Instruments in a research note issued to investors on Wednesday, November 4th. Zacks Research analyst Team now forecasts that the semiconductor company will post earnings of $2.28 per share for the quarter, up from their prior forecast of $2.03. Zacks Research currently has a "Strong-Buy" rating on the stock. The consensus estimate for Texas Instruments' current full-year earnings is $8.89 per share. Zacks Research also issued estimates for Texas Instruments' Q2 2027 earnings at $2.43 EPS.

Several other brokerages have also recently weighed in on TXN. Sanford C. Bernstein raised their price objective on Texas Instruments from $250.00 to $290.00 and gave the company a "market perform" rating in a report on Thursday, July 23rd. Citigroup reaffirmed a "buy" rating on shares of Texas Instruments in a research report on Thursday, October 22nd. Robert W. Baird increased their price target on Texas Instruments from $300.00 to $385.00 and gave the company an "outperform" rating in a research report on Thursday, July 23rd. Cantor Fitzgerald restated a "neutral" rating on shares of Texas Instruments in a research note on Tuesday, October 20th. Finally, Jefferies Financial Group raised their price target on Texas Instruments from $260.00 to $300.00 and gave the company a "hold" rating in a research note on Thursday, October 22nd. One investment 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 issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $315.37.

Texas Instruments Trading Down 0.3%

Shares of NASDAQ:TXN opened at $311.49 on Thursday. The company's 50-day moving average price is $278.51 and its two-hundred day moving average price is $260.54. The company has a debt-to-equity ratio of 0.67, a current ratio of 5.59 and a quick ratio of 4.05. Texas Instruments has a one year low of $152.73 and a one year high of $334.03. The stock has a market capitalization of $284.63 billion, a PE ratio of 40.40, a price-to-earnings-growth ratio of 1.55 and a beta of 1.39.

Texas Instruments (NASDAQ:TXN - Get Free Report) last released its earnings results on Wednesday, October 21st. The semiconductor company reported $2.62 earnings per share for the quarter, beating analysts' consensus estimates of $2.40 by $0.22. Texas Instruments had a net margin of 34.25% and a return on equity of 40.51%. The business had revenue of $6.05 billion during the quarter, compared to the consensus estimate of $5.94 billion. During the same quarter last year, the firm earned $1.48 earnings per share. The firm's revenue for the quarter was up 27.7% compared to the same quarter last year.

Hedge Funds Weigh In On Texas Instruments

A number of institutional investors have recently bought and sold shares of TXN. Putney Financial Group LLC acquired a new stake in shares of Texas Instruments in the 3rd quarter valued at approximately $28,000. Scarborough Advisors LLC acquired a new position in Texas Instruments during the 1st quarter worth approximately $29,000. Creative Capital Management Investments LLC increased its position in Texas Instruments by 167.5% during the 3rd quarter. Creative Capital Management Investments LLC now owns 107 shares of the semiconductor company's stock worth $30,000 after purchasing an additional 67 shares in the last quarter. Kilter Group LLC acquired a new position in Texas Instruments during the 2nd quarter worth approximately $31,000. Finally, Main Street Group LTD bought a new position in Texas Instruments in the 1st quarter valued at approximately $32,000. Institutional investors and hedge funds own 84.99% of the company's stock.

Insider Buying and Selling

In other news, Director Robert Sanchez sold 6,065 shares of the business's stock in a transaction dated Tuesday, October 27th. The shares were sold at an average price of $302.21, for a total transaction of $1,832,903.65. Following the transaction, the director directly owned 21,600 shares in the company, valued at $6,527,736. The trade was a 21.92% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Pamela Patsley sold 4,532 shares of the company's stock in a transaction dated Tuesday, October 27th. The shares were sold at an average price of $301.56, for a total transaction of $1,366,669.92. Following the completion of the sale, the director directly owned 34,487 shares in the company, valued at approximately $10,399,899.72. The trade was a 11.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 27,968 shares of company stock worth $8,236,892. Corporate insiders own 0.60% of the company's stock.

Texas Instruments Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, November 10th. Stockholders of record on Friday, October 30th will be given a $1.52 dividend. This is a boost from Texas Instruments's previous quarterly dividend of $1.42. The ex-dividend date of this dividend is Friday, October 30th. This represents a $6.08 dividend on an annualized basis and a dividend yield of 2.0%. Texas Instruments's payout ratio is 78.86%.

Trending Headlines about Texas Instruments

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

• Positive Sentiment: Tesla plans to scale Optimus production, and Texas Instruments could supply analog chips used in each robot. The article estimates the opportunity could add as much as $500 million in annual revenue if production targets are reached. Tesla Optimus supplier article
• Positive Sentiment: Commentary points to a recovery in analog semiconductor demand and says TXN has outperformed Nvidia. That outlook is supported by the company’s recent quarterly beat: earnings and revenue topped expectations, while revenue rose 27.7% year over year. Bull of the Day article
• Positive Sentiment: ETF purchases offered a demand signal: funds bought $146.7 million of TXN shares on Nov. 2, following $114.8 million in net purchases reported for Oct. 30. Fund flows can support sentiment but do not guarantee future performance. ETF purchases article
• Positive Sentiment: Analyst coverage also includes TXN among semiconductor stocks that could benefit from rising chip sales, AI demand and investment in AI infrastructure. Semiconductor stocks article
• Neutral Sentiment: TI marked 70 years of operations in Europe and highlighted work with customers including ABB Robotics, Porsche and Schneider Electric. The milestone reinforces its established customer relationships, but the announcement does not indicate a near-term financial change. TI Europe anniversary announcement
• Negative Sentiment: A company director reportedly sold 28.2% of the shares he held after exercising options. Insider sales can weigh on sentiment, although the report alone does not establish the director’s reason for selling. Director share sale report

About Texas Instruments

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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