Texas Instruments Incorporated

TXN · Technology · Semiconductors

Mega CapHigh Margin
$322.86
+6.95%

Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers in the United States, China, the rest of Asia, Europe, the Middle East, Africa, Japan, and internationally. It operates through Analog and Embedded Processing segments. The Analo…

What to know about TXN

Texas Instruments Incorporated is a Technology company with a mixed financial profile. It scores well on size and profitability, but valuation is worth keeping an eye on.

Should you consider TXN?

Based on 31 financial metrics and sector comparison. Not financial advice.

  1. Texas Instruments Incorporated is a Technology company with a mixed overall financial profile — it is in the lower half of its Technology peers (49 of 82).

  2. The business is both profitable and financially healthy — it keeps a good portion of what it earns and carries its debt comfortably.

  3. The stock trades at a premium — investors are paying more per dollar of earnings than most S&P 500 companies. That's fine if strong growth justifies it, but leaves little room for disappointment.

  4. The company is growing at a reasonable pace — not the fastest, but consistently moving in the right direction.

  5. This stock pays no dividend — your return depends entirely on the share price rising over time.

  6. The stock is more volatile than most S&P 500 names — it can swing sharply in both directions. This suits investors comfortable with bigger short-term moves.

  7. There are several areas of concern. This may suit investors with a higher risk tolerance or a specific contrarian view on the Technology sector.

At a glance

Price $322.86
Market size 293.83B
Annual dividend No dividend
Strongest metric Current Ratio 4.46

How it scores

We look at 31 different financial metrics and group them into categories. Here's how TXN compares to the other S&P 500 stocks.

Size
Great
Health
Great
Growth
Good
Cash Flow
Good
Dividends
Average
Sentiment
Average
Risk
Below average
Valuation
Below average
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide

Valuation

Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.

Metric Value vs S&P 500
P/E Ratio (Trailing) 55.28 Below avg
Forward P/E 34.27 Below avg
PEG Ratio 1.46 Above avg
Price to Sales 15.94 Below avg
Price to Book 17.51 Below avg
EV/EBITDA 33.14 Below avg
Earnings Yield 1.81% Below avg

Profitability

How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.

Metric Value vs S&P 500
Gross Margin 57.32% Above avg
Operating Margin 37.82% Top 25%
Net Profit Margin 29.11% Top 25%
Return on Equity 32.35% Top 25%
Return on Invested Capital 12.16% Top 25%

Growth

How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.

Metric Value vs S&P 500
Revenue Growth (YoY) 18.60% Top 25%
Revenue Growth (3Y CAGR) -4.07% Below avg
EPS Growth (YoY) 31.30% Above avg
Free Cash Flow Growth 73.77% Top 25%

Health

Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.

Metric Value vs S&P 500
Current Ratio 4.46 Top 25%
Debt to Equity 0.84 Above avg
Interest Coverage 11.52 Above avg
Altman Z-Score 13.22 Top 25%

Dividends

Does the company pay shareholders, and is that payment growing and sustainable?

Metric Value vs S&P 500
Dividend Yield N/A
Payout Ratio N/A
Dividend Growth (5Y) -7.57% Average

Cash Flow

Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.

Metric Value vs S&P 500
Free Cash Flow Yield 1.27% Below avg
OCF to Sales 42.43% Top 25%

Risk

How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.

Metric Value vs S&P 500
Beta (1-Year) 1.31 Below avg
Volatility (30-Day) 50.20% Below avg

Sentiment

What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.

Metric Value vs S&P 500
Short % of Float 2.32% Above avg
Avg. Analyst Rating 2.24 Average
Target Upside % -9.09% Below avg

Size

How large is the company by market value? Size affects stability, growth potential, and index inclusion.

Metric Value vs S&P 500
Market Capitalization 293.83B Top 25%

How does TXN compare to…?

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