Texas Instruments (NASDAQ:TXN) Releases Q4 2025 Earnings Guidance

Key Points

• Texas Instruments has updated its Q4 2025 earnings guidance, projecting earnings per share between $1.130 and $1.390, lower than the consensus estimate of $1.400, with revenue guidance between $4.2 billion and $4.6 billion.
• The company has announced a quarterly dividend increase to $1.42 from $1.36, with a dividend yield of 3.1% and a payout ratio of 99.63%.
• Hedge fund investment activity has increased significantly, with notable increases in stakes from firms like Corient Private Wealth LLC by 94.9% and Orbis Allan Gray Ltd by 425.1% during the second quarter.

Texas Instruments (NASDAQ:TXN - Get Free Report) updated its fourth quarter 2025 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 1.130-1.390 for the period, compared to the consensus estimate of 1.400. The company issued revenue guidance of $4.2 billion-$4.6 billion, compared to the consensus revenue estimate of $4.5 billion.

Wall Street Analysts Forecast Growth

TXN has been the topic of a number of recent research reports. KeyCorp upped their target price on Texas Instruments from $215.00 to $240.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Citigroup reduced their price objective on shares of Texas Instruments from $260.00 to $235.00 and set a "buy" rating for the company in a research report on Thursday, October 16th. Rosenblatt Securities reaffirmed a "buy" rating and set a $245.00 target price on shares of Texas Instruments in a report on Wednesday, July 23rd. Arete began coverage on shares of Texas Instruments in a report on Thursday, June 26th. They set a "neutral" rating and a $203.80 target price for the company. Finally, Seaport Res Ptn raised shares of Texas Instruments from a "strong sell" rating to a "hold" rating in a report on Monday, July 21st. Two research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, twelve have assigned a Hold rating and six have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and an average price target of $209.47.

Texas Instruments Trading Up 0.8%

Shares of TXN traded up $1.49 during mid-day trading on Tuesday, reaching $181.08. The stock had a trading volume of 6,113,752 shares, compared to its average volume of 7,210,402. The company has a debt-to-equity ratio of 0.86, a current ratio of 5.81 and a quick ratio of 3.88. Texas Instruments has a 52-week low of $139.95 and a 52-week high of $221.69. The business's fifty day moving average is $187.17 and its 200 day moving average is $185.96. The firm has a market cap of $164.63 billion, a price-to-earnings ratio of 33.16, a P/E/G ratio of 2.99 and a beta of 1.01.

Texas Instruments (NASDAQ:TXN - Get Free Report) last announced its quarterly earnings data on Tuesday, July 22nd. The semiconductor company reported $1.41 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.32 by $0.09. Texas Instruments had a net margin of 30.23% and a return on equity of 30.10%. The firm had revenue of $4.45 billion during the quarter, compared to analyst estimates of $4.31 billion. During the same quarter in the prior year, the firm posted $1.17 earnings per share. Texas Instruments's quarterly revenue was up 16.4% on a year-over-year basis. On average, sell-side analysts predict that Texas Instruments will post 5.35 EPS for the current fiscal year.

Texas Instruments Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 12th. Investors of record on Friday, October 31st will be issued a $1.42 dividend. This is an increase 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 3.1%. The ex-dividend date of this dividend is Friday, October 31st. Texas Instruments's payout ratio is currently 99.63%.

Insider Activity

In other Texas Instruments news, VP Ahmad Bahai sold 1,500 shares of the stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $205.35, for a total transaction of $308,025.00. Following the completion of the transaction, the vice president owned 38,883 shares of the company's stock, valued at $7,984,624.05. This trade represents a 3.71% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Corporate insiders own 0.57% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of TXN. Corient Private Wealth LLC boosted its stake in Texas Instruments by 94.9% during the second quarter. Corient Private Wealth LLC now owns 2,517,451 shares of the semiconductor company's stock worth $522,559,000 after buying an additional 1,225,524 shares during the period. Rafferty Asset Management LLC boosted its stake in Texas Instruments by 29.1% during the second quarter. Rafferty Asset Management LLC now owns 3,512,888 shares of the semiconductor company's stock worth $729,346,000 after buying an additional 791,650 shares during the period. Orbis Allan Gray Ltd boosted its stake in Texas Instruments by 425.1% during the second quarter. Orbis Allan Gray Ltd now owns 809,986 shares of the semiconductor company's stock worth $168,169,000 after buying an additional 655,745 shares during the period. Raymond James Financial Inc. boosted its stake in Texas Instruments by 7.7% during the second quarter. Raymond James Financial Inc. now owns 1,716,980 shares of the semiconductor company's stock worth $356,479,000 after buying an additional 123,429 shares during the period. Finally, Worldquant Millennium Advisors LLC acquired a new stake in shares of Texas Instruments during the second quarter worth about $23,699,000. Hedge funds and other institutional investors own 84.99% of the company's stock.

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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