TEXAS INSTRUMENTS INC (TII.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:TII - US8825081040 - Common Stock
156.72 EUR
-1.16 (-0.73%)
Overall TII gets a fundamental rating of 6 out of 10. We evaluated TII against 65 industry peers in the Semiconductors & Semiconductor Equipment industry. TII has an excellent profitability rating, but there are some minor concerns on its financial health. TII is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TII was profitable.
In the past year TII had a positive cash flow from operations.
In the past 5 years TII has always been profitable.
In the past 5 years TII always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 14.33%, TII belongs to the top of the industry, outperforming 81.54% of the companies in the same industry.
With a decent Return On Equity value of 30.17%, TII is doing good in the industry, outperforming 80.00% of the companies in the same industry.
TII has a better Return On Invested Capital (16.57%) than 76.92% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TII is significantly above the industry average of 15.14%.
The 3 year average ROIC (24.88%) for TII is well above the current ROIC(16.57%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.33% | ||
| ROE | 30.17% | ||
| ROIC | 16.57% |
ROA(3y)21.83%
ROA(5y)25.12%
ROE(3y)42.11%
ROE(5y)48.99%
ROIC(3y)24.88%
ROIC(5y)28.23%
1.3 Margins
TII has a better Profit Margin (29.05%) than 80.00% of its industry peers.
TII's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 34.82%, TII belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
In the last couple of years the Operating Margin of TII has declined.
TII's Gross Margin of 57.48% is fine compared to the rest of the industry. TII outperforms 78.46% of its industry peers.
TII's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.82% | ||
| PM (TTM) | 29.05% | ||
| GM | 57.48% |
OM growth 3Y-11.42%
OM growth 5Y-2.89%
PM growth 3Y-10.21%
PM growth 5Y-2.51%
GM growth 3Y-4.84%
GM growth 5Y-1.81%
2. Health
2.1 Basic Checks
TII has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, TII has more shares outstanding
The number of shares outstanding for TII has been reduced compared to 5 years ago.
Compared to 1 year ago, TII has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 8.94 indicates that TII is not in any danger for bankruptcy at the moment.
TII's Altman-Z score of 8.94 is fine compared to the rest of the industry. TII outperforms 67.69% of its industry peers.
The Debt to FCF ratio of TII is 6.75, which is on the high side as it means it would take TII, 6.75 years of fcf income to pay off all of its debts.
TII has a Debt to FCF ratio of 6.75. This is comparable to the rest of the industry: TII outperforms 41.54% of its industry peers.
TII has a Debt/Equity ratio of 0.81. This is a neutral value indicating TII is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.81, TII is not doing good in the industry: 83.08% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 6.75 | ||
| Altman-Z | 8.94 |
ROIC/WACC1.6
WACC10.34%
2.3 Liquidity
A Current Ratio of 4.45 indicates that TII has no problem at all paying its short term obligations.
The Current ratio of TII (4.45) is better than 81.54% of its industry peers.
TII has a Quick Ratio of 2.90. This indicates that TII is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TII (2.90) is better than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.45 | ||
| Quick Ratio | 2.9 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.67% over the past year.
TII shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.90%.
TII shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.69% yearly.
EPS 1Y (TTM)1.67%
EPS 3Y-14.28%
EPS 5Y0%
EPS Q2Q%0.68%
Revenue 1Y (TTM)9.9%
Revenue growth 3Y-5.17%
Revenue growth 5Y1.69%
Sales Q2Q%14.24%
3.2 Future
Based on estimates for the next years, TII will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.13% on average per year.
The Revenue is expected to grow by 10.11% on average over the next years. This is quite good.
EPS Next Y6.69%
EPS Next 2Y9.24%
EPS Next 3Y13.85%
EPS Next 5Y17.13%
Revenue Next Year14.12%
Revenue Next 2Y11.03%
Revenue Next 3Y10.99%
Revenue Next 5Y10.11%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 33.42, TII can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as TII.
The average S&P500 Price/Earnings ratio is at 26.34. TII is valued slightly more expensive when compared to this.
Based on the Price/Forward Earnings ratio of 29.49, the valuation of TII can be described as expensive.
TII's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.56. TII is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.42 | ||
| Fwd PE | 29.49 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TII.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TII indicates a slightly more expensive valuation: TII is more expensive than 60.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.79 | ||
| EV/EBITDA | 21.92 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of TII may justify a higher PE ratio.
TII's earnings are expected to grow with 13.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)5
PEG (5Y)N/A
EPS Next 2Y9.24%
EPS Next 3Y13.85%
5. Dividend
5.1 Amount
TII has a Yearly Dividend Yield of 3.15%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.18, TII pays a better dividend. On top of this TII pays more dividend than 98.46% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, TII pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
5.2 History
The dividend of TII is nicely growing with an annual growth rate of 10.46%!
Dividend Growth(5Y)10.46%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
TII pays out 98.66% of its income as dividend. This is not a sustainable payout ratio.
The dividend of TII is growing, but earnings are growing more, so the dividend growth is sustainable.
DP98.66%
EPS Next 2Y9.24%
EPS Next 3Y13.85%
FRA:TII (12/8/2025, 7:00:00 PM)
156.72
-1.16 (-0.73%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners90.68%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap142.40B
Revenue(TTM)17.27B
Net Income(TTM)5.02B
Analysts66.82
Price Target162.75 (3.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
Yearly Dividend4.52
Dividend Growth(5Y)10.46%
DP98.66%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.76%
Min EPS beat(2)-1.62%
Max EPS beat(2)3.14%
EPS beat(4)3
Avg EPS beat(4)6.78%
Min EPS beat(4)-1.62%
Max EPS beat(4)18.72%
EPS beat(8)7
Avg EPS beat(8)6.02%
EPS beat(12)11
Avg EPS beat(12)5.31%
EPS beat(16)15
Avg EPS beat(16)6.38%
Revenue beat(2)2
Avg Revenue beat(2)1.12%
Min Revenue beat(2)1.09%
Max Revenue beat(2)1.15%
Revenue beat(4)4
Avg Revenue beat(4)1.91%
Min Revenue beat(4)1.09%
Max Revenue beat(4)3.01%
Revenue beat(8)5
Avg Revenue beat(8)0.6%
Revenue beat(12)7
Avg Revenue beat(12)0.4%
Revenue beat(16)11
Avg Revenue beat(16)1.75%
PT rev (1m)-1.3%
PT rev (3m)-6.23%
EPS NQ rev (1m)0.06%
EPS NQ rev (3m)-9.17%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-2.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.42 | ||
| Fwd PE | 29.49 | ||
| P/S | 9.61 | ||
| P/FCF | 79.79 | ||
| P/OCF | 24.06 | ||
| P/B | 9.98 | ||
| P/tB | 13.8 | ||
| EV/EBITDA | 21.92 |
EPS(TTM)4.69
EY2.99%
EPS(NY)5.31
Fwd EY3.39%
FCF(TTM)1.96
FCFY1.25%
OCF(TTM)6.51
OCFY4.16%
SpS16.3
BVpS15.7
TBVpS11.36
PEG (NY)5
PEG (5Y)N/A
Graham Number40.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.33% | ||
| ROE | 30.17% | ||
| ROCE | 18.85% | ||
| ROIC | 16.57% | ||
| ROICexc | 19.79% | ||
| ROICexgc | 23.91% | ||
| OM | 34.82% | ||
| PM (TTM) | 29.05% | ||
| GM | 57.48% | ||
| FCFM | 12.05% |
ROA(3y)21.83%
ROA(5y)25.12%
ROE(3y)42.11%
ROE(5y)48.99%
ROIC(3y)24.88%
ROIC(5y)28.23%
ROICexc(3y)37.04%
ROICexc(5y)45.04%
ROICexgc(3y)50.11%
ROICexgc(5y)68.14%
ROCE(3y)28.31%
ROCE(5y)32.12%
ROICexgc growth 3Y-37.97%
ROICexgc growth 5Y-22.81%
ROICexc growth 3Y-32.93%
ROICexc growth 5Y-16.48%
OM growth 3Y-11.42%
OM growth 5Y-2.89%
PM growth 3Y-10.21%
PM growth 5Y-2.51%
GM growth 3Y-4.84%
GM growth 5Y-1.81%
F-Score7
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 6.75 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 256.63% | ||
| Cap/Sales | 27.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.43% | ||
| Profit Quality | 41.47% | ||
| Current Ratio | 4.45 | ||
| Quick Ratio | 2.9 | ||
| Altman-Z | 8.94 |
F-Score7
WACC10.34%
ROIC/WACC1.6
Cap/Depr(3y)333.46%
Cap/Depr(5y)264.77%
Cap/Sales(3y)24.58%
Cap/Sales(5y)18.33%
Profit Quality(3y)40.07%
Profit Quality(5y)60.03%
High Growth Momentum
Growth
EPS 1Y (TTM)1.67%
EPS 3Y-14.28%
EPS 5Y0%
EPS Q2Q%0.68%
EPS Next Y6.69%
EPS Next 2Y9.24%
EPS Next 3Y13.85%
EPS Next 5Y17.13%
Revenue 1Y (TTM)9.9%
Revenue growth 3Y-5.17%
Revenue growth 5Y1.69%
Sales Q2Q%14.24%
Revenue Next Year14.12%
Revenue Next 2Y11.03%
Revenue Next 3Y10.99%
Revenue Next 5Y10.11%
EBIT growth 1Y9.37%
EBIT growth 3Y-16.01%
EBIT growth 5Y-1.25%
EBIT Next Year48.79%
EBIT Next 3Y25.55%
EBIT Next 5Y22.29%
FCF growth 1Y26.21%
FCF growth 3Y-38.03%
FCF growth 5Y-23.72%
OCF growth 1Y5.49%
OCF growth 3Y-10.31%
OCF growth 5Y-1.02%
TEXAS INSTRUMENTS INC / TII.DE FAQ
Can you provide the ChartMill fundamental rating for TEXAS INSTRUMENTS INC?
ChartMill assigns a fundamental rating of 6 / 10 to TII.DE.
What is the valuation status of TEXAS INSTRUMENTS INC (TII.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to TEXAS INSTRUMENTS INC (TII.DE). This can be considered as Overvalued.
Can you provide the profitability details for TEXAS INSTRUMENTS INC?
TEXAS INSTRUMENTS INC (TII.DE) has a profitability rating of 7 / 10.
What are the PE and PB ratios of TEXAS INSTRUMENTS INC (TII.DE) stock?
The Price/Earnings (PE) ratio for TEXAS INSTRUMENTS INC (TII.DE) is 33.42 and the Price/Book (PB) ratio is 9.98.
What is the earnings growth outlook for TEXAS INSTRUMENTS INC?
The Earnings per Share (EPS) of TEXAS INSTRUMENTS INC (TII.DE) is expected to grow by 6.69% in the next year.