Texas Instruments Incorporated $TXN Shares Bought by Red Cedar Investment Management LLC

Key Points

• Red Cedar Investment Management increased its Texas Instruments stake by 220.3% in the third quarter, to 12,532 shares valued at $3.51 million. Institutional investors collectively own about 85% of the stock.
• Texas Instruments beat quarterly earnings and revenue estimates, reporting EPS of $2.62 and revenue of $6.05 billion; revenue rose 27.7% year over year. The company also raised its quarterly dividend to $1.52 per share.
• Company insiders sold 27,968 shares worth about $8.24 million over the past three months. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $315.37.

Red Cedar Investment Management LLC lifted its holdings in shares of Texas Instruments Incorporated (NASDAQ:TXN - Free Report) by 220.3% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 12,532 shares of the semiconductor company's stock after acquiring an additional 8,620 shares during the quarter. Red Cedar Investment Management LLC's holdings in Texas Instruments were worth $3,510,000 at the end of the most recent quarter.

Other hedge funds have also bought and sold shares of the company. Texas Bank & Trust Co boosted its position in Texas Instruments by 0.4% in the third quarter. Texas Bank & Trust Co now owns 14,492 shares of the semiconductor company's stock worth $4,059,000 after purchasing an additional 60 shares during the last quarter. Gryphon Financial Partners LLC grew its stake in Texas Instruments by 2.2% in the 3rd quarter. Gryphon Financial Partners LLC now owns 7,906 shares of the semiconductor company's stock valued at $2,214,000 after purchasing an additional 173 shares during the period. Creekside Partners grew its stake in Texas Instruments by 122.3% in the 3rd quarter. Creekside Partners now owns 4,362 shares of the semiconductor company's stock valued at $1,222,000 after purchasing an additional 2,400 shares during the period. Kestra Investment Management LLC increased its position in shares of Texas Instruments by 151.2% during the 3rd quarter. Kestra Investment Management LLC now owns 11,395 shares of the semiconductor company's stock valued at $3,192,000 after purchasing an additional 6,858 shares during the last quarter. Finally, AlphaCore Capital LLC increased its position in shares of Texas Instruments by 315.8% during the 3rd quarter. AlphaCore Capital LLC now owns 41,955 shares of the semiconductor company's stock valued at $11,751,000 after purchasing an additional 31,864 shares during the last quarter. 84.99% of the stock is currently owned by institutional investors.

Insider Activity at Texas Instruments

In related news, Director Ronald Kirk sold 6,065 shares of the business's stock in a transaction dated Thursday, October 29th. The stock was sold at an average price of $310.39, for a total value of $1,882,515.35. Following the sale, the director directly owned 15,462 shares in the company, valued at approximately $4,799,250.18. The trade was a 28.17% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Janet F. Clark sold 4,306 shares of the company's stock in a transaction dated Tuesday, October 27th. The shares were sold at an average price of $302.46, for a total transaction of $1,302,392.76. Following the sale, the director directly owned 11,341 shares in the company, valued at approximately $3,430,198.86. This trade represents a 27.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 27,968 shares of company stock worth $8,236,892 in the last three months. Corporate insiders own 0.60% of the company's stock.

Texas Instruments Price Performance

Shares of NASDAQ TXN opened at $295.73 on Tuesday. The stock has a fifty day simple moving average of $279.80 and a two-hundred day simple moving average of $261.92. Texas Instruments Incorporated has a 1-year low of $152.73 and a 1-year high of $334.03. The firm has a market cap of $270.23 billion, a price-to-earnings ratio of 38.36, a price-to-earnings-growth ratio of 1.54 and a beta of 1.39. The company has a current ratio of 5.59, a quick ratio of 4.05 and a debt-to-equity ratio of 0.67.

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 (EPS) for the quarter, topping analysts' consensus estimates of $2.40 by $0.22. The business had revenue of $6.05 billion during the quarter, compared to the consensus estimate of $5.94 billion. Texas Instruments had a return on equity of 40.51% and a net margin of 34.25%. The business's revenue for the quarter was up 27.7% on a year-over-year basis. During the same period last year, the business posted $1.48 earnings per share. Analysts anticipate that Texas Instruments Incorporated will post 8.97 earnings per share for the current year.

Texas Instruments Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, November 10th. Stockholders of record on Friday, October 30th will be paid a dividend of $1.52 per share. This represents a $6.08 annualized dividend and a dividend yield of 2.1%. The ex-dividend date is Friday, October 30th. This is a positive change from Texas Instruments's previous quarterly dividend of $1.42. Texas Instruments's dividend payout ratio is currently 78.86%.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on the company. Barclays lifted their target price on Texas Instruments from $250.00 to $280.00 and gave the stock an "equal weight" rating in a research note on Thursday, October 22nd. JPMorgan Chase & Co. increased their price target on shares of Texas Instruments from $340.00 to $365.00 and gave the company an "overweight" rating in a research report on Thursday, October 22nd. UBS Group decreased their price objective on shares of Texas Instruments from $380.00 to $360.00 and set a "buy" rating for the company in a report on Thursday, October 22nd. Susquehanna restated a "positive" rating on shares of Texas Instruments in a report on Thursday, October 22nd. Finally, Weiss Ratings raised shares of Texas Instruments from a "buy (b-)" rating to a "buy (b)" rating in a research report on Wednesday, November 4th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, twelve have given a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $315.37.

Texas Instruments 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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