In the latest market close, Texas Instruments (TXN – Free Report) reached $154, with a +1.72% movement compared to the previous day. This move outpaced the S&P 500’s daily loss of 0.23%. Meanwhile, the Dow lost 0.91%, and the Nasdaq, a tech-heavy index, added 0.1%.
The chipmaker’s stock has dropped by 20.54% in the past month, falling short of the Computer and Technology sector’s loss of 16.18% and the S&P 500’s loss of 12.13%.
Investors will be eagerly watching for the performance of Texas Instruments in its upcoming earnings disclosure. The company’s earnings report is set to be unveiled on April 23, 2025. It is anticipated that the company will report an EPS of $1.06, marking a 11.67% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $3.91 billion, up 6.74% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $5.35 per share and revenue of $17.05 billion, which would represent changes of +2.88% and +9%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Texas Instruments. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we’ve crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there’s been no change in the Zacks Consensus EPS estimate. Texas Instruments currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Texas Instruments is currently being traded at a Forward P/E ratio of 28.31. This valuation marks a premium compared to its industry’s average Forward P/E of 22.
We can additionally observe that TXN currently boasts a PEG ratio of 2.45. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company’s projected earnings growth. Semiconductor – General stocks are, on average, holding a PEG ratio of 1.64 based on yesterday’s closing prices.
The Semiconductor – General industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 13, placing it within the top 6% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Financial Market Newsflash
No financial news published today. Check back later.
