Morningstar Investment Management LLC Cuts Position in Texas Instruments Incorporated $TXN

Key Points

• Morningstar Investment Management cut its Texas Instruments stake by 49.1% in the fourth quarter, selling 27,094 shares and leaving it with 28,051 shares valued at about $4.87 million.
• Despite that trim, Texas Instruments remains heavily owned by institutions, with hedge funds and other institutional investors holding about 84.99% of the stock. Several firms added to positions during the quarter.
• Analyst sentiment has been mixed but increasingly bullish on AI-related demand: recent upgrades and higher price targets cite strong AI server and data center demand, while the stock still carries a consensus rating of Hold with an average target of $263.65.

Morningstar Investment Management LLC cut its stake in Texas Instruments Incorporated (NASDAQ:TXN - Free Report) by 49.1% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 28,051 shares of the semiconductor company's stock after selling 27,094 shares during the quarter. Morningstar Investment Management LLC's holdings in Texas Instruments were worth $4,867,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also made changes to their positions in TXN. Glenview Trust Co grew its stake in Texas Instruments by 5.2% during the 4th quarter. Glenview Trust Co now owns 5,566 shares of the semiconductor company's stock worth $966,000 after buying an additional 276 shares during the last quarter. HBK Sorce Advisory LLC grew its stake in Texas Instruments by 7.3% during the 4th quarter. HBK Sorce Advisory LLC now owns 3,654 shares of the semiconductor company's stock worth $634,000 after buying an additional 250 shares during the last quarter. Allen Capital Group LLC purchased a new position in Texas Instruments during the 4th quarter worth $613,000. Hantz Financial Services Inc. grew its stake in Texas Instruments by 42.3% during the 4th quarter. Hantz Financial Services Inc. now owns 75,692 shares of the semiconductor company's stock worth $13,132,000 after buying an additional 22,492 shares during the last quarter. Finally, Wealthquest Corp purchased a new position in Texas Instruments during the 4th quarter worth $255,000. 84.99% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

TXN has been the topic of several research analyst reports. JPMorgan Chase & Co. boosted their target price on Texas Instruments from $227.00 to $280.00 and gave the stock an "overweight" rating in a research note on Thursday, April 23rd. Bank of America upgraded Texas Instruments from a "neutral" rating to a "buy" rating and boosted their target price for the stock from $235.00 to $320.00 in a research note on Thursday, April 23rd. HC Wainwright downgraded Texas Instruments to a "neutral" rating in a research note on Friday. The Goldman Sachs Group boosted their price target on Texas Instruments from $175.00 to $200.00 and gave the company a "sell" rating in a research note on Thursday, April 23rd. Finally, Cantor Fitzgerald boosted their price target on Texas Instruments from $280.00 to $300.00 and gave the company a "neutral" rating in a research note on Wednesday, May 13th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, eleven have issued a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $263.65.

More Texas Instruments News

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

• Positive Sentiment: Mizuho raised its price target on Texas Instruments after citing strong AI server demand, reinforcing the view that AI infrastructure is creating a new growth driver for the company. Mizuho Raises Texas Instruments (TXN) Price Target on Strong AI Server Demand
• Positive Sentiment: Seaport Research Partners upgraded TXN to Buy from Neutral and set a $400 target, signaling growing confidence that Texas Instruments can benefit from AI power-chip demand. Texas Instruments Has the Power Chips AI Needs. Buy the Stock, Says This Analyst.
• Positive Sentiment: Zacks highlighted TXN as a Strong Buy income stock, which may be adding to broader demand for the shares from income-oriented investors. Best Income Stocks to Buy for May 22nd
• Positive Sentiment: Analysts and recent commentary point to TXN’s AI infrastructure push and nearly 90% year-over-year growth in its data center business, suggesting the company could see further revenue upside. TXN's AI Infrastructure Push Grows: Can It Boost Revenues Further?

Texas Instruments Price Performance

Texas Instruments stock opened at $309.21 on Monday. The company has a debt-to-equity ratio of 0.77, a quick ratio of 2.94 and a current ratio of 4.46. The business's 50-day simple moving average is $238.50 and its two-hundred day simple moving average is $206.53. The company has a market cap of $281.41 billion, a PE ratio of 52.95, a PEG ratio of 1.55 and a beta of 1.31. Texas Instruments Incorporated has a fifty-two week low of $152.73 and a fifty-two week high of $315.57.

Texas Instruments (NASDAQ:TXN - Get Free Report) last posted its quarterly earnings results on Wednesday, April 22nd. The semiconductor company reported $1.68 earnings per share for the quarter, beating the consensus estimate of $1.37 by $0.31. The business had revenue of $4.83 billion for the quarter, compared to the consensus estimate of $4.85 billion. Texas Instruments had a return on equity of 32.49% and a net margin of 29.11%.The company's quarterly revenue was up 18.6% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.23 EPS. Texas Instruments has set its Q2 2026 guidance at 1.770-2.050 EPS. Equities analysts anticipate that Texas Instruments Incorporated will post 7.69 EPS for the current year.

Texas Instruments Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, May 19th. Stockholders of record on Tuesday, May 5th were issued a $1.42 dividend. This represents a $5.68 annualized dividend and a dividend yield of 1.8%. The ex-dividend date of this dividend was Tuesday, May 5th. Texas Instruments's payout ratio is 97.26%.

Insiders Place Their Bets

In other news, VP Mark T. Roberts sold 28,080 shares of the business's stock in a transaction dated Thursday, April 30th. The stock was sold at an average price of $280.34, for a total value of $7,871,947.20. Following the completion of the transaction, the vice president owned 53,809 shares of the company's stock, valued at $15,084,815.06. The trade was a 34.29% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Haviv Ilan sold 20,000 shares of the business's stock in a transaction dated Monday, May 4th. The shares were sold at an average price of $280.32, for a total value of $5,606,400.00. Following the completion of the transaction, the chief executive officer directly owned 204,339 shares of the company's stock, valued at approximately $57,280,308.48. This trade represents a 8.92% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 303,475 shares of company stock worth $85,666,638. 0.60% of the stock is currently owned by company insiders.

Texas Instruments Profile

Texas Instruments Inc NASDAQ: TXN is a global semiconductor company headquartered in Dallas, Texas, that designs and manufactures analog and embedded processing chips. The company's products are used across a wide range of end markets, including industrial, automotive, personal electronics, communications and enterprise equipment. TI's business emphasizes components that condition, convert, manage and move electrical signals—capabilities that are foundational to modern electronic systems.

TI's product portfolio includes a broad array of analog integrated circuits—such as power management, amplifiers, data converters and interface devices—as well as embedded processors and microcontrollers used to control systems and run real-time applications.

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