Mizuho Downgrades Texas Instruments (NASDAQ:TXN) to Underperform

Key Points

• Mizuho has downgraded Texas Instruments from a "neutral" rating to an "underperform" rating with a new price target of $150.00, indicating a potential downside of 15.05%.
• Analysts have mixed views on Texas Instruments with two Strong Buy, twelve Buy, twelve Hold, and six Sell ratings, resulting in a consensus rating of "Hold" and an average target price of $209.47.
• Texas Instruments reported earnings of $1.41 EPS, which surpassed analysts' expectations, and the company posted a year-over-year revenue increase of 16.4% to $4.45 billion.

Texas Instruments (NASDAQ:TXN - Get Free Report) was downgraded by equities researchers at Mizuho from a "neutral" rating to an "underperform" rating in a report released on Monday,Finviz reports. They currently have a $150.00 price target on the semiconductor company's stock. Mizuho's price objective points to a potential downside of 15.05% from the stock's previous close.

TXN has been the subject of several other reports. Weiss Ratings reiterated a "hold (c+)" rating on shares of Texas Instruments in a report on Wednesday, October 8th. BNP Paribas upgraded Texas Instruments to a "strong sell" rating in a report on Wednesday, July 23rd. Cowen reiterated a "hold" rating on shares of Texas Instruments in a report on Wednesday, June 25th. TD Cowen reduced their price target on Texas Instruments from $245.00 to $230.00 and set a "buy" rating for the company in a report on Wednesday, July 23rd. Finally, The Goldman Sachs Group began coverage on Texas Instruments in a report on Thursday, July 10th. They set a "buy" rating and a $255.00 price target for the company. Two investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, twelve have given a Hold rating and six have given a Sell rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average target price of $209.47.

Texas Instruments Trading Up 0.6%

Shares of NASDAQ TXN opened at $176.58 on Monday. Texas Instruments has a one year low of $139.95 and a one year high of $221.69. The firm has a market capitalization of $160.54 billion, a PE ratio of 32.34, a PEG ratio of 2.99 and a beta of 1.01. The company has a current ratio of 5.81, a quick ratio of 3.88 and a debt-to-equity ratio of 0.86. The business has a 50-day moving average price of $187.25 and a two-hundred day moving average price of $185.76.

Texas Instruments (NASDAQ:TXN - Get Free Report) last announced its quarterly earnings data on Tuesday, July 22nd. The semiconductor company reported $1.41 EPS for the quarter, topping analysts' consensus estimates of $1.32 by $0.09. Texas Instruments had a return on equity of 30.10% and a net margin of 30.23%.The firm had revenue of $4.45 billion during the quarter, compared to analyst estimates of $4.31 billion. During the same period last year, the company posted $1.17 EPS. The business's quarterly revenue was up 16.4% compared to the same quarter last year. Texas Instruments has set its Q3 2025 guidance at 1.360-1.600 EPS. As a group, analysts predict that Texas Instruments will post 5.35 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, VP Ahmad Bahai sold 1,500 shares of the company's stock in a transaction dated Monday, August 25th. The stock was sold at an average price of $205.35, for a total value of $308,025.00. Following the completion of the sale, the vice president owned 38,883 shares in the company, valued at approximately $7,984,624.05. This represents a 3.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Corporate insiders own 0.57% of the company's stock.

Institutional Investors Weigh In On Texas Instruments

Several large investors have recently modified their holdings of the business. Strategic Wealth Investment Group LLC bought a new position in shares of Texas Instruments during the second quarter worth about $25,000. Pacifica Partners Inc. boosted its position in Texas Instruments by 85.2% during the third quarter. Pacifica Partners Inc. now owns 150 shares of the semiconductor company's stock valued at $27,000 after purchasing an additional 69 shares during the last quarter. Cloud Capital Management LLC acquired a new position in Texas Instruments during the first quarter valued at approximately $28,000. Dagco Inc. acquired a new position in Texas Instruments during the first quarter valued at approximately $32,000. Finally, CBIZ Investment Advisory Services LLC boosted its position in Texas Instruments by 67.6% during the first quarter. CBIZ Investment Advisory Services LLC now owns 186 shares of the semiconductor company's stock valued at $33,000 after purchasing an additional 75 shares during the last quarter. 84.99% of the stock is currently owned by institutional investors.

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.

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