TEXAS INSTRUMENTS INC (TII.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:TII - US8825081040 - Common Stock
154.04 EUR
-0.74 (-0.48%)
TII gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 65 industry peers in the Semiconductors & Semiconductor Equipment industry. TII scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, TII is valued expensive at the moment.
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
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.
The Return On Equity of TII (30.17%) is better than 80.00% of its industry peers.
With a decent Return On Invested Capital value of 16.57%, TII is doing good in the industry, outperforming 76.92% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital 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's Profit Margin of 29.05% is fine compared to the rest of the industry. TII outperforms 80.00% of its industry peers.
In the last couple of years the Profit Margin of TII has declined.
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.
TII's Operating Margin has declined in the last couple of years.
TII's Gross Margin of 57.48% is fine compared to the rest of the industry. TII outperforms 78.46% 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TII is creating value.
The number of shares outstanding for TII has been increased compared to 1 year ago.
TII has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, TII has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 8.87 indicates that TII is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 8.87, TII is doing good in the industry, outperforming 67.69% 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.
Looking at the Debt to FCF ratio, with a value of 6.75, TII is in line with its industry, outperforming 41.54% of the companies in the same industry.
A Debt/Equity ratio of 0.81 indicates that TII is somewhat dependend on debt financing.
TII has a worse Debt to Equity ratio (0.81) than 83.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 6.75 | ||
| Altman-Z | 8.87 |
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.
A Quick Ratio of 2.90 indicates that TII has no problem at all paying its short term obligations.
TII has a better Quick ratio (2.90) 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.
The Revenue has grown by 9.90% in the past year. This is quite good.
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
The Earnings Per Share is expected to grow by 17.13% on average over the next years. This is quite good.
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
TII is valuated quite expensively with a Price/Earnings ratio of 32.77.
TII's Price/Earnings is on the same level as the industry average.
TII's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.76.
The Price/Forward Earnings ratio is 28.94, which means the current valuation is very expensive for TII.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TII is on the same level as its industry peers.
TII is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.96, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.77 | ||
| Fwd PE | 28.94 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TII.
Based on the Price/Free Cash Flow ratio, TII is valued a bit more expensive than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 78.29 | ||
| EV/EBITDA | 21.63 |
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 a very decent profitability rating, which 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)4.9
PEG (5Y)N/A
EPS Next 2Y9.24%
EPS Next 3Y13.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.15%, TII has a reasonable but not impressive dividend return.
TII's Dividend Yield is rather good when compared to the industry average which is at 1.18. TII pays more dividend than 98.46% of the companies in the same industry.
TII's Dividend Yield is a higher than the S&P500 average which is at 2.31.
| 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
98.66% of the earnings are spent on dividend by TII. This is not a sustainable payout ratio.
TII's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP98.66%
EPS Next 2Y9.24%
EPS Next 3Y13.85%
FRA:TII (12/11/2025, 7:00:00 PM)
154.04
-0.74 (-0.48%)
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 Cap139.96B
Revenue(TTM)17.27B
Net Income(TTM)5.02B
Analysts66.82
Price Target162.75 (5.65%)
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 | 32.77 | ||
| Fwd PE | 28.94 | ||
| P/S | 9.43 | ||
| P/FCF | 78.29 | ||
| P/OCF | 23.61 | ||
| P/B | 9.79 | ||
| P/tB | 13.54 | ||
| EV/EBITDA | 21.63 |
EPS(TTM)4.7
EY3.05%
EPS(NY)5.32
Fwd EY3.46%
FCF(TTM)1.97
FCFY1.28%
OCF(TTM)6.52
OCFY4.24%
SpS16.33
BVpS15.73
TBVpS11.38
PEG (NY)4.9
PEG (5Y)N/A
Graham Number40.78
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 | 8.87 |
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 32.77 and the Price/Book (PB) ratio is 9.79.
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.