Seaport Res Ptn Has Bullish Outlook for TXN FY2025 Earnings

Key Points

• Seaport Res Ptn raised its FY2025 earnings per share estimate for Texas Instruments to $5.53, surpassing its previous estimate of $5.45 and above the consensus of $5.35.
• The semiconductor company reported Q3 earnings of $1.48 per share, meeting expectations, with revenues of $4.74 billion, reflecting a year-over-year increase of 14.2%.
• Texas Instruments announced a quarterly dividend increase to $1.42 per share, with a dividend yield of 3.3%, signaling a positive cash flow outlook.

Texas Instruments Incorporated (NASDAQ:TXN - Free Report) - Equities research analysts at Seaport Res Ptn raised their FY2025 EPS estimates for shares of Texas Instruments in a research note issued to investors on Wednesday, October 22nd. Seaport Res Ptn analyst J. Goldberg now expects that the semiconductor company will post earnings of $5.53 per share for the year, up from their previous estimate of $5.45. Seaport Res Ptn currently has a "Hold" rating on the stock. The consensus estimate for Texas Instruments' current full-year earnings is $5.35 per share. Seaport Res Ptn also issued estimates for Texas Instruments' Q4 2025 earnings at $1.33 EPS, Q3 2026 earnings at $1.89 EPS, FY2026 earnings at $6.78 EPS and FY2027 earnings at $7.90 EPS.

Texas Instruments (NASDAQ:TXN - Get Free Report) last posted its earnings results on Tuesday, October 21st. The semiconductor company reported $1.48 earnings per share for the quarter, meeting analysts' consensus estimates of $1.48. The business had revenue of $4.74 billion for the quarter, compared to analysts' expectations of $4.65 billion. Texas Instruments had a net margin of 29.21% and a return on equity of 30.41%. The firm's revenue for the quarter was up 14.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.44 earnings per share. Texas Instruments has set its Q4 2025 guidance at 1.130-1.390 EPS.

A number of other analysts have also recently weighed in on the stock. Weiss Ratings reissued a "hold (c+)" rating on shares of Texas Instruments in a research note on Wednesday, October 8th. UBS Group set a $245.00 target price on shares of Texas Instruments and gave the company a "buy" rating in a research note on Wednesday. Truist Financial lowered their target price on shares of Texas Instruments from $196.00 to $175.00 and set a "hold" rating on the stock in a research note on Wednesday. Stifel Nicolaus set a $170.00 target price on shares of Texas Instruments in a research note on Wednesday. Finally, Citigroup lowered their target price on shares of Texas Instruments from $260.00 to $235.00 and set a "buy" rating on the stock in a research note on Thursday, October 16th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, eleven have assigned a Hold rating and six have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $191.67.

Texas Instruments Stock Performance

NASDAQ TXN opened at $172.19 on Friday. The stock has a market cap of $156.54 billion, a P/E ratio of 31.48, a PEG ratio of 2.92 and a beta of 1.01. The company's 50-day simple moving average is $186.04 and its 200 day simple moving average is $185.94. Texas Instruments has a twelve month low of $139.95 and a twelve month high of $221.69. The company has a quick ratio of 3.88, a current ratio of 4.45 and a debt-to-equity ratio of 0.81.

Hedge Funds Weigh In On Texas Instruments

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

Insider Activity

In other news, VP Ahmad Bahai sold 1,500 shares of the company's stock in a transaction that occurred on Monday, August 25th. The shares were sold at an average price of $205.35, for a total transaction of $308,025.00. Following the transaction, the vice president directly 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.57% of the company's stock.

Texas Instruments Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 12th. Stockholders of record on Friday, October 31st will be given a dividend of $1.42 per share. The ex-dividend date is Friday, October 31st. This is a positive change from Texas Instruments's previous quarterly dividend of $1.36. This represents a $5.68 dividend on an annualized basis and a dividend yield of 3.3%. Texas Instruments's dividend payout ratio (DPR) is currently 99.63%.

Texas Instruments Company Profile

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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