224.68 USD
-0.33 (-0.15%)
Last: Feb 3, 2026, 02:56 PM
TXN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 113 industry peers in the Semiconductors & Semiconductor Equipment industry. While TXN belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. While showing a medium growth rate, TXN is valued expensive at the moment. TXN also has an excellent dividend rating. With these ratings, TXN could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
- In the past year TXN was profitable.
- In the past year TXN had a positive cash flow from operations.
- TXN had positive earnings in each of the past 5 years.
- TXN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 14.38%, TXN belongs to the top of the industry, outperforming 88.50% of the companies in the same industry.
- TXN's Return On Equity of 30.56% is amongst the best of the industry. TXN outperforms 92.04% of its industry peers.
- The Return On Invested Capital of TXN (17.15%) is better than 92.04% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for TXN is significantly above the industry average of 10.66%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.38% | ||
| ROE | 30.56% | ||
| ROIC | 17.15% |
ROA(3y)15.95%
ROA(5y)22.24%
ROE(3y)32.38%
ROE(5y)42.98%
ROIC(3y)18.01%
ROIC(5y)25.5%
1.3 Margins
- TXN's Profit Margin of 28.12% is amongst the best of the industry. TXN outperforms 85.84% of its industry peers.
- TXN's Profit Margin has declined in the last couple of years.
- TXN's Operating Margin of 34.72% is amongst the best of the industry. TXN outperforms 92.92% of its industry peers.
- In the last couple of years the Operating Margin of TXN has declined.
- With an excellent Gross Margin value of 57.02%, TXN belongs to the best of the industry, outperforming 80.53% of the companies in the same industry.
- TXN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.72% | ||
| PM (TTM) | 28.12% | ||
| GM | 57.02% |
OM growth 3Y-12.54%
OM growth 5Y-3.23%
PM growth 3Y-13.52%
PM growth 5Y-6.09%
GM growth 3Y-6.05%
GM growth 5Y-2.31%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TXN is still creating some value.
- The number of shares outstanding for TXN has been reduced compared to 1 year ago.
- The number of shares outstanding for TXN has been reduced compared to 5 years ago.
- TXN has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 10.28 indicates that TXN is not in any danger for bankruptcy at the moment.
- TXN has a better Altman-Z score (10.28) than 70.80% of its industry peers.
- The Debt to FCF ratio of TXN is 5.40, which is a neutral value as it means it would take TXN, 5.40 years of fcf income to pay off all of its debts.
- TXN has a Debt to FCF ratio (5.40) which is in line with its industry peers.
- A Debt/Equity ratio of 0.83 indicates that TXN is somewhat dependend on debt financing.
- TXN has a Debt to Equity ratio of 0.83. This is amonst the worse of the industry: TXN underperforms 81.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.4 | ||
| Altman-Z | 10.28 |
ROIC/WACC1.57
WACC10.91%
2.3 Liquidity
- TXN has a Current Ratio of 4.35. This indicates that TXN is financially healthy and has no problem in meeting its short term obligations.
- TXN has a Current ratio of 4.35. This is in the better half of the industry: TXN outperforms 65.49% of its industry peers.
- TXN has a Quick Ratio of 2.83. This indicates that TXN is financially healthy and has no problem in meeting its short term obligations.
- With a decent Quick ratio value of 2.83, TXN is doing good in the industry, outperforming 61.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.35 | ||
| Quick Ratio | 2.83 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 4.82% over the past year.
- Measured over the past years, TXN shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.31% on average per year.
- TXN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.05%.
- The Revenue has been growing slightly by 4.10% on average over the past years.
EPS 1Y (TTM)4.82%
EPS 3Y-16.61%
EPS 5Y-1.31%
EPS Q2Q%-2.31%
Revenue 1Y (TTM)13.05%
Revenue growth 3Y-4.07%
Revenue growth 5Y4.1%
Sales Q2Q%10.38%
3.2 Future
- TXN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.54% yearly.
- TXN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.83% yearly.
EPS Next Y13.87%
EPS Next 2Y18.11%
EPS Next 3Y18.15%
EPS Next 5Y19.54%
Revenue Next Year8.26%
Revenue Next 2Y9.46%
Revenue Next 3Y9.35%
Revenue Next 5Y7.83%
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
- A Price/Earnings ratio of 41.30 indicates a quite expensive valuation of TXN.
- Based on the Price/Earnings ratio, TXN is valued a bit cheaper than 70.80% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.41. TXN is valued slightly more expensive when compared to this.
- TXN is valuated quite expensively with a Price/Forward Earnings ratio of 36.27.
- Based on the Price/Forward Earnings ratio, TXN is valued a bit cheaper than 61.06% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.64. TXN is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.3 | ||
| Fwd PE | 36.27 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TXN is valued a bit cheaper than 71.68% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as TXN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 78.43 | ||
| EV/EBITDA | 26.04 |
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 excellent profitability rating of TXN may justify a higher PE ratio.
- TXN's earnings are expected to grow with 18.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.98
PEG (5Y)N/A
EPS Next 2Y18.11%
EPS Next 3Y18.15%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.64%, TXN has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.50, TXN pays a better dividend. On top of this TXN pays more dividend than 95.58% of the companies listed in the same industry.
- TXN's Dividend Yield is a higher than the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
5.2 History
- The dividend of TXN is nicely growing with an annual growth rate of 8.24%!
- TXN has paid a dividend for at least 10 years, which is a reliable track record.
- TXN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.24%
Div Incr Years21
Div Non Decr Years26
5.3 Sustainability
- 100.52% of the earnings are spent on dividend by TXN. This is not a sustainable payout ratio.
- The dividend of TXN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP100.52%
EPS Next 2Y18.11%
EPS Next 3Y18.15%
NASDAQ:TXN (2/3/2026, 2:56:09 PM)
224.68
-0.33 (-0.15%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)01-27 2026-01-27/amc
Earnings (Next)04-21 2026-04-21/amc
Inst Owners90.72%
Inst Owner Change-2.08%
Ins Owners0.1%
Ins Owner Change-0.18%
Market Cap204.15B
Revenue(TTM)17.68B
Net Income(TTM)4.97B
Analysts65.91
Price Target189.65 (-15.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
Yearly Dividend5.5
Dividend Growth(5Y)8.24%
DP100.52%
Div Incr Years21
Div Non Decr Years26
Ex-Date01-30 2026-01-30 (1.42)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.19%
Min EPS beat(2)-2.77%
Max EPS beat(2)-1.62%
EPS beat(4)2
Avg EPS beat(4)4.37%
Min EPS beat(4)-2.77%
Max EPS beat(4)18.72%
EPS beat(8)6
Avg EPS beat(8)5.61%
EPS beat(12)10
Avg EPS beat(12)4.54%
EPS beat(16)14
Avg EPS beat(16)5.23%
Revenue beat(2)1
Avg Revenue beat(2)-0.14%
Min Revenue beat(2)-1.43%
Max Revenue beat(2)1.15%
Revenue beat(4)3
Avg Revenue beat(4)0.96%
Min Revenue beat(4)-1.43%
Max Revenue beat(4)3.01%
Revenue beat(8)5
Avg Revenue beat(8)0.67%
Revenue beat(12)6
Avg Revenue beat(12)0.27%
Revenue beat(16)10
Avg Revenue beat(16)1.16%
PT rev (1m)0.32%
PT rev (3m)-0.24%
EPS NQ rev (1m)3.71%
EPS NQ rev (3m)2.99%
EPS NY rev (1m)0.14%
EPS NY rev (3m)-7.52%
Revenue NQ rev (1m)1.55%
Revenue NQ rev (3m)1.46%
Revenue NY rev (1m)0.27%
Revenue NY rev (3m)-1.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.3 | ||
| Fwd PE | 36.27 | ||
| P/S | 11.55 | ||
| P/FCF | 78.43 | ||
| P/OCF | 28.54 | ||
| P/B | 12.55 | ||
| P/tB | 17.44 | ||
| EV/EBITDA | 26.04 |
EPS(TTM)5.44
EY2.42%
EPS(NY)6.19
Fwd EY2.76%
FCF(TTM)2.86
FCFY1.28%
OCF(TTM)7.87
OCFY3.5%
SpS19.46
BVpS17.91
TBVpS12.88
PEG (NY)2.98
PEG (5Y)N/A
Graham Number46.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.38% | ||
| ROE | 30.56% | ||
| ROCE | 19.54% | ||
| ROIC | 17.15% | ||
| ROICexc | 20.31% | ||
| ROICexgc | 24.53% | ||
| OM | 34.72% | ||
| PM (TTM) | 28.12% | ||
| GM | 57.02% | ||
| FCFM | 14.72% |
ROA(3y)15.95%
ROA(5y)22.24%
ROE(3y)32.38%
ROE(5y)42.98%
ROIC(3y)18.01%
ROIC(5y)25.5%
ROICexc(3y)23.69%
ROICexc(5y)39.06%
ROICexgc(3y)29.64%
ROICexgc(5y)54.92%
ROCE(3y)20.52%
ROCE(5y)29.05%
ROICexgc growth 3Y-34.12%
ROICexgc growth 5Y-22.94%
ROICexc growth 3Y-30.4%
ROICexc growth 5Y-16.49%
OM growth 3Y-12.54%
OM growth 5Y-3.23%
PM growth 3Y-13.52%
PM growth 5Y-6.09%
GM growth 3Y-6.05%
GM growth 5Y-2.31%
F-Score7
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.4 | ||
| Debt/EBITDA | 1.66 | ||
| Cap/Depr | 227.61% | ||
| Cap/Sales | 25.73% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.89% | ||
| Profit Quality | 52.34% | ||
| Current Ratio | 4.35 | ||
| Quick Ratio | 2.83 | ||
| Altman-Z | 10.28 |
F-Score7
WACC10.91%
ROIC/WACC1.57
Cap/Depr(3y)314.1%
Cap/Depr(5y)297.21%
Cap/Sales(3y)28.5%
Cap/Sales(5y)22.58%
Profit Quality(3y)34.85%
Profit Quality(5y)50.78%
High Growth Momentum
Growth
EPS 1Y (TTM)4.82%
EPS 3Y-16.61%
EPS 5Y-1.31%
EPS Q2Q%-2.31%
EPS Next Y13.87%
EPS Next 2Y18.11%
EPS Next 3Y18.15%
EPS Next 5Y19.54%
Revenue 1Y (TTM)13.05%
Revenue growth 3Y-4.07%
Revenue growth 5Y4.1%
Sales Q2Q%10.38%
Revenue Next Year8.26%
Revenue Next 2Y9.46%
Revenue Next 3Y9.35%
Revenue Next 5Y7.83%
EBIT growth 1Y14.96%
EBIT growth 3Y-16.1%
EBIT growth 5Y0.74%
EBIT Next Year53.96%
EBIT Next 3Y23.77%
EBIT Next 5Y22.45%
FCF growth 1Y73.77%
FCF growth 3Y-23.97%
FCF growth 5Y-13.86%
OCF growth 1Y13.22%
OCF growth 3Y-6.39%
OCF growth 5Y3.1%
TEXAS INSTRUMENTS INC / TXN FAQ
What is the ChartMill fundamental rating of TEXAS INSTRUMENTS INC (TXN) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TXN.
What is the valuation status of TEXAS INSTRUMENTS INC (TXN) stock?
ChartMill assigns a valuation rating of 3 / 10 to TEXAS INSTRUMENTS INC (TXN). This can be considered as Overvalued.
How profitable is TEXAS INSTRUMENTS INC (TXN) stock?
TEXAS INSTRUMENTS INC (TXN) has a profitability rating of 8 / 10.
What is the expected EPS growth for TEXAS INSTRUMENTS INC (TXN) stock?
The Earnings per Share (EPS) of TEXAS INSTRUMENTS INC (TXN) is expected to grow by 13.87% in the next year.
Can you provide the dividend sustainability for TXN stock?
The dividend rating of TEXAS INSTRUMENTS INC (TXN) is 7 / 10 and the dividend payout ratio is 100.52%.