As of Friday close, Texas Instruments Incorporated’s (NASDAQ:TXN) stock was down -$0.09, moving down -0.06 percent to $160.31. The average number of shares traded per day over the past five days has been 3,933,760 shares. 2 times new highs have been achieved over the past 5 days, with a -$2.31 fall in that time frame. In the last twenty days, the average volume was 4,290,695, while in the previous 50 days, it was 5,050,968.
Since last month, TXN stock retreated -5.61%. Shares of the company fell to $160.21 on 09/22/23, the lowest level in the past month. A 52-week high of $188.12 was reached on 07/25/23 after having rallying from a 52-week low of $145.97. Since the beginning of this year, TXN’s stock price has dropped by -2.97% or -$4.91, and marked a new high 10 times. However, the stock has declined by -14.78% since its 52-week high.
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TXN stock investors should be aware that Texas Instruments Incorporated (TXN) stock had its last reported insider trading activity 54 days ago on Jul 31. COX CARRIE SMITH, the Director of the company, disposed of 16,055 shares for $180.04 on Jul 31. It resulted in a $2,890,542 divestment by the insider. PATSLEY PAMELA H sold 10,539 shares at an average price of $179.34 on Jul 27. The insider now owns 32,662 shares following the transaction. On Feb 13, Sr. Vice President BAHAI AHMAD sold 1,200 shares at $176.67 apiece. The transaction was valued at $212,003.
Valuation Metrics
Right now, Texas Instruments Incorporated (TXN) has a P/E ratio of about 19.24. The stock’s beta is 1.02. Besides these, the trailing price-to-sales (P/S) ratio of 7.90, the price-to-book (PB) ratio of 9.13, and the price-to-cash flow ratio of 46.71 may also be considered.
The latest dividend of $1.30 per share was paid out, which is 4.84% more than last year’s $1.24.
Financial Health
In the three months ended June 29, Texas Instruments Incorporated’s quick ratio stood at 4.30, while its current ratio was 5.70, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.69, and the total debt-to-equity ratio was 0.70. On the profitability front, the trailing twelve-month gross margin is 66.30% percent. In the year ended June 29, EBITDA margin amounted to 56.80%, whereas operating margins totaled 46.50%. Based on annual data, TXN earned $13.77 billion in gross profit and brought in $20.03 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 38.00%. Return on equity (ROE) for the past 12 months was 50.80%.
In Texas Instruments Incorporated’s quarter-end financial report for June 29, it reported total debt of $10.92 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. TXN’s revenue fell -15.03% to $4.38 billion during the quarter, while net income inched up to $4.53 billion. While analysts expected Texas Instruments Incorporated to report $1.76 quarterly earnings, the actual figure was $1.87 per share, beating the consensus estimate by 6.30%. During the quarter, the company generated $2.27 billion in EBITDA. The liabilities of Texas Instruments Incorporated were 15.0 billion at the end of its most recent quarter ended June 29, and its total debt was $11.22 billion. The value of shareholders’ equity is $907.97 million.
Technical Picture
This quick technical analysis looks at Texas Instruments Incorporated’s (TXN) price momentum. With a historical volatility rate of 14.66%, the RSI 9-day stood at 30.87% on 22 September.
With respect to its five-day moving average, the current Texas Instruments Incorporated price is down by -1.42% percent or -$2.31. At present, TXN shares trade -3.19% below its 20-day simple moving average and -3.82% percent below its 100-day simple moving average. However, the stock is currently trading approximately -12.46% below its SMA50 and -9.63% below its SMA200.
Stochastic coefficient K was 4.17% and Stochastic coefficient D was 9.22%, while ATR was 2.80. Given the Stochastic reading of 0.94% for the 14-day period, the RSI (14) reading has been calculated as 35.40%. As of today, the MACD Oscillator reading stands at -1.87, while the 14-day reading stands at -3.23.
Analyst Ratings
Texas Instruments Incorporated downgraded its rating on Texas Instruments Incorporated (NASDAQ: TXN) to an Underperform in a note to investors on August 30, 2023. The analysts firm previously had a Mkt perform rating on the stock.Texas Instruments Incorporated (TXN) has been rated Hold by analysts. According to 3 brokerage firms, TXN is a sell, and 18 firms recommend it is a Hold. There are 1 analyst who say the stock is underweight. A total of 0 analysts rate Texas Instruments Incorporated stock as buy, with 11 recommending it as overweight.
With a median target price of $187.50, the current consensus forecast for the stock is $130.00 – $230.00. Based on these forecasts, analysts predict Texas Instruments Incorporated (TXN) will achieve an average price target of $186.67.
