TXN stock: buy or sell?
August 23rd, 2019
Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers worldwide.
Should I buy TXN stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best time 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.
Currently, Texas Instruments stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Texas Instruments stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we collected 15 ratings published for TXN stock in the last 30 days. The general sentiment of these ratings is bullish for TXN stock, with 8 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-7-24||Morgan Stanley||n/a||Equal Weight|
|2019-7-24||JPMorgan Chase & Co.||n/a||Overweight|
|2019-7-24||Jefferies Financial Group||n/a||Buy|
|2019-7-24||Credit Suisse Group||n/a||Outperform|
|2019-7-24||Charter Equity||Market Perform||Buy|
|2019-7-24||BMO Capital Markets||n/a||Outperform|
|2019-4-30||Wells Fargo & Co||Market Perform||Market Perform|
|2019-4-30||Royal Bank of Canada||n/a||Sector Perform|
TXN stock analysis
Shares of Texas Instruments collapsed a scary -3.93% and closed at $120.29.
Texas Instruments closed today at $120.29 and collapsed a scary -3.93%. From a daily perspective, TXN is in a short term uptrend after plotting its last bottom ($118.73, on Aug 15th) higher than the previous bottom, and its last top ($126.60, yesterday) also over the previous top. Now trading in between its last bottom and last top TXN might consolidate in a plain range, waiting to break out over $126.60 or down under $118.73. Since last April when SMA100d and SMA200d crossed up, TXN price gained $5.04 per share (4.37%). On June TXN price bounced up over the SMA of 100 days demonstrating to be a significant support for this stock. On July/29, TXN hit a new all time high, pushing higher than on Jul 24th tops. Check different trading setups that use ATHs as triggers.
Shares of Texas Instruments decreased a tragic -2.06% this week. Late July TXN rocketed an extraordinary 8.50% in just one week.
Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $129.60 resistance. Not so far away is the last price record Texas Instruments marked late July. Since SMA20d and SMA40w crossed up by mid April, TXN price climbed $4.98 per share (4.32%). Early February TXN price bounced up over the SMA of 40 weeks that acted as support stopping new slides.
TXN stock price history
TXN stock historical price chart
TXN stock reached all-time highs on Jul/29 with a price of $129.60.
TXN stock price target is $125.30Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We found 13 price targets for Texas Instruments stock published in the last month:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-8-22||UBS Group||Raises Target||$93.00||$100.00||7.5%|
|2019-7-24||SunTrust Banks||Raises Target||n/a||$133.00||-|
|2019-7-24||Morgan Stanley||Raises Target||$106.00||$110.00||3.8%|
|2019-7-24||Loop Capital||Raises Target||n/a||$140.00||-|
|2019-7-24||JPMorgan Chase & Co.||Raises Target||$130.00||$138.00||6.2%|
|2019-7-24||Jefferies Financial Group||Raises Target||$137.00||$170.00||24.1%|
|2019-7-24||Deutsche Bank||Set Price Target||n/a||$120.00||-|
|2019-7-24||Credit Suisse Group||Reiterates||$140.00||$130.00||-7.1%|
|2019-7-24||BMO Capital Markets||Raises Target||$130.00||$150.00||15.4%|
|2019-4-30||Wells Fargo & Co||Lowers Target||$63.00||$58.00||-7.9%|
Financials and fundamental analysis
Earnings date and Earnings per ShareSince April, when Texas Instruments presented its last earnings report, it raised a nice 5.96%. As soon as we get its posted EPS from the earnings report, we will extend this report.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw a beatiful growth of 5.50% to $15,784.00 million dollars. When comparing 2018 vs 2017, slightly better, profit margin (that is, the net income divided by revenues) skyrocketed a 10.74% to 35.35%. Texas Instruments presents anual results in December, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Texas Instruments TTM sales up to March 2019 were $15,589.00 and income $5,431.00 M dollars. When comparing this TTM figures with the last reported annuality, we can esteem Texas Instruments business evolution since December 2018: Annual turnover up to March, compared to lastest yearly report, depreciated a bad -1.24%. In line, profit margin (net income/sales) remained steady at 35.35%.
|2013||$12,210 M||-||$2,130 M17.4%||-|
|2014||$13,045 M||6.84%||$2,821 M21.6%||32.44%|
|2015||$13,000 M||-0.34%||$2,986 M23.0%||5.85%|
|2016||$13,370 M||2.85%||$3,595 M26.9%||20.40%|
|2017||$14,961 M||11.90%||$3,682 M24.6%||2.42%|
|2018||$15,784 M||5.50%||$5,580 M35.4%||51.55%|
|TTM||$15,589 M||-1.24%||$5,431 M34.8%||-2.67%|
Quarterly financial resultsTexas Instruments reported $3,594.00 M in revenues for 2019-Q1, a -3.31% less compared to previous quarter. Reported quarter earnings marked $1,217.00 million with a profit margin of 33.86%. Profit margin stayed steady a 0.53% compared to previous quarter when profit margin was 33.33%. When comparing turnover to same quarter last year, Texas Instruments sales marked a fatal correction and eased a -5.15%. Looking back to recent quarterly results, Texas Instruments posted 2 positive quarters in a row.
|2017-Q2||$3,690 M||-||$1,050 M28.5%||-|
|2017-Q3||$4,120 M||11.65%||$1,270 M30.8%||20.95%|
|2017-Q4||$3,750 M||-8.98%||$344 M9.2%||-72.91%|
|2018-Q1||$3,789 M||1.04%||$1,366 M36.1%||297.09%|
|2018-Q2||$4,017 M||6.02%||$1,405 M35.0%||2.86%|
|2018-Q3||$4,261 M||6.07%||$1,570 M36.8%||11.74%|
|2018-Q4||$3,717 M||-12.77%||$1,239 M33.3%||-21.08%|
|2019-Q1||$3,594 M||-3.31%||$1,217 M33.9%||-1.78%|
Texas Instruments ownershipWhen you are planning to invest in a stock, it's worth to check its ownership structure.
Texas Instruments shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.29% of all shares.
Bearish positions for TXN stock account 0.00%, no big difference from last month.
For a better understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$118.3 B||$40.2 B||$202.3 B||$14.9 B||$104.4 B|
|Total shares||983.1 M||369.8 M||4,500.0 M||272.4 M||609.0 M|
|Float shares||931.0 M||368.3 M||4,430.0 M||270.5 M||584.5 M|
|- Institutional holdings (%)||88.0%||92.5%||68.8%||100.0%||72.8%|
|- Insider holdings (%)||0.3%||0.3%||0.1%||0.7%||4.3%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, August 23rd, 2019|
|Day range||$119.84 - $125.09|
|Average true range||$3.22|
|50d mov avg||$118.57|
|100d mov avg||$114.75|
|200d mov avg||$106.84|
Texas Instruments performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. In the following table, we compare Texas Instruments to Analog Devices, Intel, Maxim Integrated Products, NVIDIA, ON Semiconductor, QUALCOMM and STMicroelectronics:
|MXIMMaxim Integrated ...||3.27%||-0.62%||-8.60%|
Texas Instruments competitorsWe picked a few stocks to conform a list of Texas Instruments competitors to watch if you are interested in investing in TXN:
- Analog Devices (ADI)
- Intel (INTC)
- Maxim Integrated Products (MXIM)
- NVIDIA (NVDA)
- ON Semiconductor (ON)
- QUALCOMM (QCOM)
- STMicroelectronics (STM)
Latest TXN stock news
- InvestorPlaceTuesday’s Vital Data: Texas Instruments, Beyond Meat and AppleJuly 30, 2019
- Seeking AlphaTexas Instruments: Impeccable Quality And Reasonable ValuationJuly 24, 2019
- InvestorPlaceTexas Instruments Earnings: TXN Stock Soars as Forecast Above ExpectedJuly 23, 2019
- InvestorPlaceTexas Instruments Earnings: TXN Stock Slides on Positive Q2 ForecastApril 23, 2019
- Seeking AlphaTexas Instruments: Transforming The World Since 1930April 5, 2019