Texas Instruments Incorporated (NASDAQ:TXN) finished Thursday with a subtraction of -$4.24 to close at $165.59, a downside of -2.50 percent. An average of 4,317,940 shares of common stock have been traded in the last five days. There was a fall of -$0.17 in the past week, and it reached a new high 10 times over the past 12 months. The last 20 days have seen an average of 4,859,500 shares traded, while the 50-day average volume stands at 5,268,400.
TXN stock has decreased by -5.91% in the last month. The company shares reached their 1-month lowest point of $163.93 on 08/23/23. With the stock rallying to its 52-week high on 07/25/23, shares of the company touched a low of $145.97 and a high of $188.12 in 52 weeks. It has reached a new high 10 times so far this year and achieved 0.22% or $0.37 in price. In spite of this, the price is down -11.98% from the 52-week high.
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Insider Transactions
TXN stock investors should be aware that Texas Instruments Incorporated (TXN) stock had its last reported insider trading activity 25 days ago on Jul 31. In this transaction, the insider spent $2,890,542. Director, PATSLEY PAMELA H, disposed of 10,539 shares at a price of $179.34 on Jul 27. The insider now owns more than $1,890,083 worth of shares. Prior to that, Sr. Vice President BAHAI AHMAD went on to Sale 1,200 shares at $176.67 each on Feb 13. An amount of $212,003 was transacted.
Valuation Metrics
Texas Instruments Incorporated (TXN) has a trailing price-to-earnings (P/E) ratio of 19.88. The stock’s beta is 1.01. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 7.95, the price-to-book (PB) ratio at 9.43, and the price-to-cash flow ratio at 47.04.
The company has a payout ratio of 57.90%. The company’s most recent quarterly dividend payment was $1.24 a share, without any change from last year. Its latest increase dividend $0.09 reported on Thursday September 15 2022.
Financial Health
The quick ratio of Texas Instruments Incorporated for the three months ended June 29 was 4.30, and the current ratio was 5.70, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.69 and a total debt to equity ratio of 0.70 for the quarter ending June 29. Texas Instruments Incorporated’s EBITDA margin for the year ending June 29 is 56.80%, while its operating margin for the same period stands at 46.50%. Its gross profit as reported stood at $13.77 billion compared to revenue of $20.03 billion.
Earnings Surprise
For the three-month period that ended June 29, Texas Instruments Incorporated had $10.92 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $1.72 billion in the quarter, while revenues of $1.71 billion were shrunk -33.04%. The analyst consensus anticipated Texas Instruments Incorporated’s latest quarter earnings to come in at $1.76 per share, but it turned out to be $1.87, a 6.30% surprise. For the quarter, EBITDA amounted to $2.27 billion. Shareholders own equity worth $907.97 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Texas Instruments Incorporated (TXN) price momentum. RSI 9-day as of the close on 24 August was 39.10%, suggesting the stock is Neutral, with historical volatility in this time frame at 24.06%.
As of today, TXN’s price is $167.39 -0.10% or -$0.17 from its 5-day moving average. TXN is currently trading -6.83% lower than its 20-day SMA and -10.98% lower than its 100-day SMA. However, the stock’s current price level is -6.66% below the SMA50 and +1.81% above the SMA200.
The stochastic %K and %D were 47.75% and 41.83%, respectively, and the average true range (ATR) was 3.97. With the 14-day stochastic at 22.02% and the average true range at 3.91, the RSI (14) stands at 40.35%. The stock has reached 0.06 on the 9-day MACD Oscillator while the 14-day reading was at 0.10.
Analyst Ratings
Wolfe Research launched coverage on Texas Instruments Incorporated (NASDAQ: TXN) in its analyst report released on July 20, 2023. The firm assigned the stock a Peer perform rating. The consensus rating for Texas Instruments Incorporated (TXN) among analysts is Hold. According to current brokerage recommendations, 3 brokerage firms advise that investors sell TXN, while 19 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 10 others rate it as a “buy”.
What is TXN’s price target for the next 12 months?
Analysts predict a range of price targets between $130.00 and $230.00, with a median target of $185.00. Taking a look at these predictions, the average price target given by analysts for Texas Instruments Incorporated (TXN) stock is $186.38.
