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Texas Instruments (TXN) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Texas Instruments (TXN - Free Report) closed at $182.37, marking a +1.99% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.74%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 11.47%.
Prior to today's trading, shares of the chipmaker had gained 0.79% over the past month. This has lagged the Computer and Technology sector's gain of 2.44% and the S&P 500's gain of 3.34% in that time.
Wall Street will be looking for positivity from Texas Instruments as it approaches its next earnings report date. This is expected to be July 25, 2023. In that report, analysts expect Texas Instruments to post earnings of $1.76 per share. This would mark a year-over-year decline of 28.16%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.36 billion, down 16.43% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.46 per share and revenue of $17.93 billion. These totals would mark changes of -20.55% and -10.49%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Texas Instruments. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.27% lower within the past month. Texas Instruments is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, Texas Instruments is holding a Forward P/E ratio of 23.97. Its industry sports an average Forward P/E of 23.97, so we one might conclude that Texas Instruments is trading at a no noticeable deviation comparatively.
Also, we should mention that TXN has a PEG ratio of 2.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor - General industry currently had an average PEG ratio of 2.49 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 21, putting it in the top 9% of all 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Texas Instruments (TXN) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Texas Instruments (TXN - Free Report) closed at $182.37, marking a +1.99% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.74%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 11.47%.
Prior to today's trading, shares of the chipmaker had gained 0.79% over the past month. This has lagged the Computer and Technology sector's gain of 2.44% and the S&P 500's gain of 3.34% in that time.
Wall Street will be looking for positivity from Texas Instruments as it approaches its next earnings report date. This is expected to be July 25, 2023. In that report, analysts expect Texas Instruments to post earnings of $1.76 per share. This would mark a year-over-year decline of 28.16%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.36 billion, down 16.43% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.46 per share and revenue of $17.93 billion. These totals would mark changes of -20.55% and -10.49%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Texas Instruments. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.27% lower within the past month. Texas Instruments is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, Texas Instruments is holding a Forward P/E ratio of 23.97. Its industry sports an average Forward P/E of 23.97, so we one might conclude that Texas Instruments is trading at a no noticeable deviation comparatively.
Also, we should mention that TXN has a PEG ratio of 2.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor - General industry currently had an average PEG ratio of 2.49 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 21, putting it in the top 9% of all 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.
You can find more information on all of these metrics, and much more, on Zacks.com.