TXN stock: buy or sell
Mar 7th, 2021
TXN stock brief
- Texas Instruments stock skyrocketed 2.87% to close at $167.94 on the stock market on Friday, and broke a streak of 3 sessions in red.
- The stock is configuring an uptrend pattern since March 2020, when it bottomed at $90.53. This uptrend marked a 85.51% gain
- Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers worldwide. It operates in two segments, Analog and Embedded Processing.
Should I buy Texas Instruments stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $TXN stock a buy?
Currently, Texas Instruments stock matches one trading strategy:
Uptrend buy setup
Texas Instruments stock is in an uptrend since in March 2020 that so far has marked a gorgeous 86.00% gain. Price marked a local bottom in this uptrend at $161.67 last Thursday, and since then it bounced up a 3.88%. Now, it's just 8.25% away from breaking out above its last top and resume the uptrend. The new entry point is therefore at $181.80. If you decide to enter this trade, the suggested stop loss is at $163.62
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$181.80||$163.62||10.00%|
Should I sell Texas Instruments stock?
When is it time to sell Texas Instruments?. Trading strategies give us the ability us to avoid impetuous decisions based on our emotions or the noise that surrounds the market. When selling, as well as buying, detailed strategies are very easy to use and are only applicable for selling stocks in your porfolio, not for shorting $TXN stock
A guiding principle is that you should never mantain an investment that yields losses greater than those expected by the time of the buy. When to sell your stock should always be dictated by the stop-loss (automatic or manual)
Is it time to sell Texas Instruments stock?
Currently, Texas Instruments stock doesn't match any of our preferred sell setups, so if you hold Texas Instruments stock and your operation is in profit probably is not time to sell now
Price lost SMA50 level
Since Texas Instruments moved up above the 50-day MA in September 2020 stock rose 26.07%. Last Thursday, price fell across the 50-d SMA showing that the previous rising trend appears to be ended. For mid-term investors who profited from the gains while the price was above the average, this flag should be a heads up and a reason to sell the shares and take their gains
Texas Instruments ratings
In the last 30 days, 3 ratings were published for Texas Instruments
|Feb 5th, 2021|
|JPMorgan Chase & Co.|| |
|Feb 23rd, 2021|
|Mar 1st, 2021|
Texas Instruments stock analysis
Since in March 2020, Texas Instruments has been printing an uptrend that by now marked a gorgeous 85.51%. The chart shows higher peaks and higher lows, and along the way provided some buy points for those who wanted to enter. Latest pullback was last Thursday, when price bounced at $161.67. Like in all uptrends, price needs to rest and currently price is moving in a range between $181.80 and $161.67
Supports and resistances
The current resistances are:
The current support levels are:
Since the price broke down the lower band last Thursday, the price has bounced off by 3.88%. The price is moving near to the lower Bollinger band, indicating some level of oversold in recent sessions. This is not a buy point, as price can move in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 last January after just crossing to the overbough zone for a single day (weak signal). The RSI reading on Friday was 45.56. Since then, Texas Instruments price fell a 1.94%
Texas Instruments stock price history
Texas Instruments IPO was on Jun 1st, 1972 at $0.00 per share1. Since then, TXN stock surged by -, with an average of 0.00% per year. If you had invested thousand dollars in Texas Instruments stock on the IPO, it would have a value of $inf today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Texas Instruments stock
How much a stock will be priced tomorrow or next week is quite unpredictable. However, many stock price forecasts are issued every day by banks, financial institutions and independent analysts.
The following table shows the price target released by brokerage institutions in the last 30 days. Again, these estimates are not direct recommendations for individual traders and must not be followed blindly.
The average price target for Texas Instruments stock calculated from the table below is $213.33. That is a 27.03% than the last price ($167.94).
|Brokerage firm||Price target|
|Feb 5th, 2021|
|JPMorgan Chase & Co.||$200.00|
|Feb 23rd, 2021|
|Mar 1st, 2021|
Earnings and financials
Texas Instruments Incorporated ($TXN) posted quarterly earnings of $1.80 per share last January, highly uplifting the analysts consensus estimate of $1.34 per share. This Q4 report means an earnings surprise of 34.33%. Company's sales resulted of $4.1 billion in contrast to $3.6 billion forecasted by analysts.Same quarter last year, reported EPS was $1.12, so current EPS means an improvement of 60.71%. Looking at sales, figures skyrocketed a 21.67% compared to $33.5B same quarter last year.
TXN ($TXN) will host the Q1 earnings call mid next April. Wall Street predicts of $1.57, compared to Q4 that made $1.80.
Texas Instruments performance
|Texas Instruments ($TXN)||-1.20%||3.60%||15.80%|
Please read:The comments given in this article are personal and not recommendations for you to buy or sell shares. The author of this document does not know the specific conditions of the reader, his or her own financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are expressed for educative motives only
|Friday, March 5th, 2021|
|Day range||$162.03 - $168.83|
|Average true range||$7.04|
|50d mov avg||$170.21|
|100d mov avg||$162.38|
|200d mov avg||$146.57|
|Earnings date||April 20th, 2021|