TEXAS INSTRUMENTS INC (TII.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:TII - US8825081040 - Common Stock
155.02 EUR
+0.5 (+0.32%)
Overall TII gets a fundamental rating of 6 out of 10. We evaluated TII against 62 industry peers in the Semiconductors & Semiconductor Equipment industry. TII scores excellent on profitability, 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
TII had positive earnings in the past year.
In the past year TII had a positive cash flow from operations.
Each year in the past 5 years TII has been profitable.
In the past 5 years TII always reported a positive cash flow from operatings.
1.2 Ratios
TII's Return On Assets of 14.33% is amongst the best of the industry. TII outperforms 82.26% of its industry peers.
With an excellent Return On Equity value of 30.17%, TII belongs to the best of the industry, outperforming 80.65% of the companies in the same industry.
TII has a Return On Invested Capital of 16.57%. This is in the better half of the industry: TII outperforms 79.03% of its industry peers.
TII had an Average Return On Invested Capital over the past 3 years of 24.88%. This is significantly above the industry average of 14.81%.
The last Return On Invested Capital (16.57%) for TII is well below the 3 year average (24.88%), which needs to be investigated, but indicates that TII had better years and this may not be a problem.
| 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 83.87% of its industry peers.
In the last couple of years the Profit Margin of TII has declined.
TII has a better Operating Margin (34.82%) than 83.87% of its industry peers.
In the last couple of years the Operating Margin of TII has declined.
TII has a better Gross Margin (57.48%) than 77.42% of its industry peers.
In the last couple of years the Gross Margin of TII has declined.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TII is creating value.
Compared to 1 year ago, TII has more shares outstanding
Compared to 5 years ago, TII has less shares outstanding
TII has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 8.82 indicates that TII is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 8.82, TII is in the better half of the industry, outperforming 67.74% of the companies in the same industry.
TII has a debt to FCF ratio of 6.75. This is a slightly negative value and a sign of low solvency as TII would need 6.75 years to pay back of all of its debts.
TII's Debt to FCF ratio of 6.75 is on the low side compared to the rest of the industry. TII is outperformed by 61.29% of its industry peers.
A Debt/Equity ratio of 0.81 indicates that TII is somewhat dependend on debt financing.
TII's Debt to Equity ratio of 0.81 is on the low side compared to the rest of the industry. TII is outperformed by 82.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 6.75 | ||
| Altman-Z | 8.82 |
ROIC/WACC1.62
WACC10.25%
2.3 Liquidity
A Current Ratio of 4.45 indicates that TII has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.45, TII belongs to the top of the industry, outperforming 83.87% of the companies in the same industry.
A Quick Ratio of 2.90 indicates that TII has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 2.90, TII belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.45 | ||
| Quick Ratio | 2.9 |
3. Growth
3.1 Past
TII shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.67%.
The Revenue has grown by 9.90% in the past year. This is quite good.
The Revenue has been growing slightly by 1.69% on average over the past years.
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.
Based on estimates for the next years, TII will show a quite strong growth in Revenue. The Revenue will grow by 10.11% on average per year.
EPS Next Y6.67%
EPS Next 2Y9.21%
EPS Next 3Y13.82%
EPS Next 5Y17.13%
Revenue Next Year14.12%
Revenue Next 2Y11.03%
Revenue Next 3Y10.99%
Revenue Next 5Y10.11%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 33.05 indicates a quite expensive valuation of TII.
TII's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of TII to the average of the S&P500 Index (26.41), we can say TII is valued slightly more expensively.
TII is valuated quite expensively with a Price/Forward Earnings ratio of 29.22.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TII is on the same level as its industry peers.
TII's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 35.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.05 | ||
| Fwd PE | 29.22 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TII.
64.52% of the companies in the same industry are cheaper than TII, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.01 | ||
| EV/EBITDA | 21.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TII does not grow enough to justify the current Price/Earnings ratio.
TII has an outstanding profitability rating, which may justify a higher PE ratio.
TII's earnings are expected to grow with 13.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.96
PEG (5Y)N/A
EPS Next 2Y9.21%
EPS Next 3Y13.82%
5. Dividend
5.1 Amount
TII has a Yearly Dividend Yield of 3.44%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.14, TII pays a better dividend. On top of this TII pays more dividend than 98.39% of the companies listed in the same industry.
TII's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.44% |
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
98.66% of the earnings are spent on dividend by TII. 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 2Y9.21%
EPS Next 3Y13.82%
FRA:TII (12/4/2025, 3:50:02 PM)
155.02
+0.5 (+0.32%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners91.03%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap140.85B
Revenue(TTM)17.27B
Net Income(TTM)5.02B
Analysts66.82
Price Target164.72 (6.26%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.44% |
Yearly Dividend4.56
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)-5.42%
PT rev (3m)-5.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-9.23%
EPS NY rev (1m)-2.01%
EPS NY rev (3m)-2.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.05 | ||
| Fwd PE | 29.22 | ||
| P/S | 9.52 | ||
| P/FCF | 79.01 | ||
| P/OCF | 23.83 | ||
| P/B | 9.88 | ||
| P/tB | 13.66 | ||
| EV/EBITDA | 21.43 |
EPS(TTM)4.69
EY3.03%
EPS(NY)5.3
Fwd EY3.42%
FCF(TTM)1.96
FCFY1.27%
OCF(TTM)6.51
OCFY4.2%
SpS16.29
BVpS15.68
TBVpS11.35
PEG (NY)4.96
PEG (5Y)N/A
Graham Number40.68
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 | 8.82 |
F-Score7
WACC10.25%
ROIC/WACC1.62
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 Y6.67%
EPS Next 2Y9.21%
EPS Next 3Y13.82%
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 Year50.61%
EBIT Next 3Y27.29%
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 8 / 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 33.05 and the Price/Book (PB) ratio is 9.88.
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 6.67% in the next year.