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What's in the Cards for Texas Instruments' (TXN) Q1 Earnings?

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Texas Instruments Incorporated (TXN - Free Report) is scheduled to report first-quarter 2022 results on Apr 26.

For first-quarter 2022, the company anticipates revenues between $4.5 billion and $4.9 billion. The Zacks Consensus Estimate for the same is pegged at $4.71 billion, suggesting growth of 9.9% from the year-ago reported figure.

TXN expects earnings of $2.01-$2.29 per share for the first quarter. The consensus mark for the same is pegged at $2.17 per share, indicating an improvement of 16% from the prior-year reported figure. The figure has been unchanged over the past 30 days.

The company surpassed the Zacks Consensus Estimate in all the trailing four quarters, delivering an earnings surprise of 12.4%, on average.

Factors to Consider

Texas Instruments’ strengthening momentum across the Analog and Embedded Processing segments is expected to have benefited its first-quarter performance.

The company’s robust signal chain and power product lines might have continued driving growth within the Analog segment in the to-be-reported quarter.

Growing customer adoption of analog and embedded technology has been resulting in increasing chip content per application. This might have aided the industrial and automotive markets in the first quarter.

A solid demand environment in the industrial, communication equipment and enterprise systems markets is likely to have continued aiding the top line in the quarter under review.

Robust product portfolio strength and expanding manufacturing capabilities are anticipated to have supported the quarterly performance.

Solid investments in growth avenues and competitive advantages are expected to have been positives.

Further, its deepening focus on accelerating free cash flow generation is anticipated to have been a tailwind in the quarter under discussion.

Yet, weakness in the personal electronics market is expected to have remained a headwind.

Further, intensifying market competition and coronavirus-related uncertainties are likely to have been concerns in the first quarter.

What Our Model Says

Our proven model predicts an earnings beat for Texas Instruments this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

It has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell), at present.

Stocks to Consider

Here are some stocks that you may consider as our model shows that these have the right combination of elements to beat on earnings this season.

Apple (AAPL - Free Report) has an Earnings ESP of +1.78% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Apple is scheduled to release second-quarter fiscal 2022 results on Apr 28. The Zacks Consensus Estimate for AAPL’s earnings is pegged at $1.43 per share, suggesting an increase of 2.1% from the prior-year reported figure.

Cisco Systems (CSCO - Free Report) has an Earnings ESP of +0.84% and a Zacks Rank #2 at present.

Cisco Systems is set to report third-quarter fiscal 2022 results on May 18. The Zacks Consensus Estimate for CSCO’s earnings is pegged at 0.86 cents per share, which suggests an increase of 3.6% from the prior-year reported figure.

Analog Devices (ADI - Free Report) has an Earnings ESP of +2.17% and a Zacks Rank #2 at present.

Analog Devices is scheduled to release second-quarter fiscal 2022 results on May 18. The Zacks Consensus Estimate for ADI’s earnings is pegged at $2.12 per share, which suggests an increase of 37.7% from the prior-year reported figure.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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