TXN stock: buy or sell
Jan 25th, 2021
TXN stock brief
- Texas Instruments sliced a -1.31% after reaching new highs last Thursday
- Texas Instruments is presenting its earnings report on Tuesday
- Cascend Securities published a strong buy rating for Texas Instruments last Friday, with a forecast of $190.00
- 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?
In the current situation of Texas Instruments there is just one buy setup eligible:
Uptrend buy setup
Texas Instruments stock continues to trend higher since in March 2020 and marked a gorgeous 89.73% gain. Price marked a pull back in this uptrend at $159.56 in mid-December, and since then it bounced off a 8.30%. Price just broke out above the entry point at $167.24, but it can be traded. If price climbs above $175.60, it would be better to wait to another pullback. If you decide to enter this trade, the suggested stop loss is at $154.77
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$167.24||$154.77||7.45%|
Should I sell Texas Instruments stock?
When you are a novel trader and you own stock shares with some profit, it's really hard to decide the best moment to sell and get your benefits. Trading strategies prevent us from making rash decisions based on our personal emotions or the noise that surrounds the market. When selling, as well as buying, our strategies are very easy to use and are only valid for selling shares in your porfolio, not for shorting Texas Instruments stock
As a rule of thumb, you must never mantain an open trade that shows a greater losses than those expected upon the buy. The timing to sell your stock always has to be dictated by the stop-loss (automatic or manual)
Is it time to sell Texas Instruments stock?
In the current situation of Texas Instruments there is not any eligible sell setup, so Texas Instruments stock holders with operations in profit can keep their positions
Texas Instruments ratings
In the last 30 days, 2 analyst ratings were published for Texas Instruments. General sentiment is bullish, with 2 out of 2 publishing optimistic outlooks
|Jan 21st, 2021|
|Jan 22nd, 2021|
|Cascend Securities|| |
Texas Instruments stock analysis
Since in March 2020, Texas Instruments has been printing an uptrend that so far marked a gorgeous 89.73%. During this uptrend, the price offered some entry points on the breakouts. Latest pullback was in mid-December, when price bounced at $159.56. On January 7, Texas Instruments broke out above its last top ($167.24) giving a good buying opportunity
$TXN at All-time Highs
Last Thursday, Texas Instruments reached new all-time highs (ATH) again at $175.47. Stock hit new all-time highs 4 times in the last 2 weeks
Supports and resistances
Price is at all-time highs and there are not upper resistances.
The current support levels are:
Since the price surpassed the upper band last Tuesday, the price has corrected downwards by 1.08%. The price is moving very close to the upper Bollinger band, signaling some level of overbought in recent sessions. This is not a sell point, as price can trade in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 on January 13 after just crossing to the overbough zone for a single day (weak signal). The RSI value last Friday was 62.41. Since RSI lost the overbought zone, Texas Instruments price barely changed a 0.30%
Texas Instruments stock price history
Texas Instruments went public priced at an adjusted price1 of $0.00 on Jun 1972. Since then, TXN stock surged by -, with an average of 0.00% per year. If you had invested thousand dollars in Texas Instruments stock at that time, it would be valued $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 predictions are published every day by banks, financial institutions and independent analysts.
Along with buy or sell recommendations, financial institutions post their price target based on the stock price action and the company fundamental data. Most of these predictions follow the release of new financial information by the company, and many times. Again, these forecasts are not direct recommendations for small traders and must not be followed blindly.
There are 2 price forecasts published for Texas Instruments that average $187.50. Texas Instruments closed at $172.81 last Friday, that is a 7.83% than the target price.
|Brokerage firm||Price target|
|Jan 21st, 2021|
|Oppenheimer||$180.00 → $185.00|
|Jan 22nd, 2021|
|Cascend Securities||$175.00 → $190.00|
Earnings and financials
TXN ($TXN) is releasing Q4 earnings report on Tuesday. Market analysts analysts predict of $1.34, that is a 7.59% less than Q3. Turn over estimates are $3.6 billion.
If you hold or you are thinking of buying TXN shares, you must be vigilant as the financial reporting day usually has a higher than usual volatility, and price can gap up or down with unsually low liquidity and not honouring your buy or stop-loss orders. You can probably obtain more information about the earnings call and the financial reports on the Investor Relations section of its website: http://www.ti.com.
Last October, Texas Instruments Incorporated ($TXN) posted EPS for that enhanced Wall St. expectations. Quarterly EPS was $1.45 per share instead of $1.27. This quarterly report represents an earnings surprise of 14.17%. Forecasted turnover was $3.4 billion but Texas Instruments improved by 11.28%, reporting $3.8 billion.Same quarter one year ago, reported EPS was $1.49, so recently reported EPS is a decrease of -2.68%. Looking at sales, figures only moved compared to $37.7B same quarter a year ago.
Texas Instruments performance
|Texas Instruments ($TXN)||6.50%||18.50%||35.10%|
Important:The comments given in this article are personal and should not be followed as recommendations for you to buy or sell stocks. The author of this article does not have an understanding of the specific circumstances of the reader, his or her finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are published for informational purposes only
|Friday, January 22nd, 2021|
|Day range||$172.75 - $175.45|
|Average true range||$4.37|
|50d mov avg||$162.93|
|100d mov avg||$153.44|
|200d mov avg||$138.09|
|Earnings date||January 26th, 2021|