Texas Instruments (NASDAQ:TXN) Shares Gap Down Following Analyst Downgrade

Texas Instruments Incorporated (NASDAQ:TXN)’s share price gapped down prior to trading on Friday after Mizuho lowered their price target on the stock from $200.00 to $190.00. The stock had previously closed at $200.61, but opened at $190.00. Mizuho currently has a neutral rating on the stock. Texas Instruments shares last traded at $190.73, with a volume of 2,957,598 shares trading hands.

TXN has been the subject of several other research reports. Evercore ISI upped their price objective on Texas Instruments from $268.00 to $298.00 and gave the company an “outperform” rating in a report on Wednesday, October 23rd. Cantor Fitzgerald restated a “neutral” rating and issued a $200.00 price objective on shares of Texas Instruments in a report on Friday. Benchmark reaffirmed a “buy” rating and set a $230.00 target price on shares of Texas Instruments in a research report on Friday. Rosenblatt Securities reaffirmed a “buy” rating and set a $250.00 target price on shares of Texas Instruments in a research report on Tuesday, January 21st. Finally, Robert W. Baird cut their target price on Texas Instruments from $200.00 to $175.00 and set a “neutral” rating on the stock in a research report on Wednesday, October 23rd. Two equities research analysts have rated the stock with a sell rating, twelve have assigned a hold rating and eight have issued a buy rating to the company’s stock. Based on data from MarketBeat, Texas Instruments has a consensus rating of “Hold” and an average price target of $209.20.

Insider Buying and Selling

In other news, Director Ronald Kirk sold 10,539 shares of the firm’s stock in a transaction dated Monday, November 25th. The stock was sold at an average price of $203.33, for a total transaction of $2,142,894.87. Following the completion of the sale, the director now directly owns 14,323 shares of the company’s stock, valued at $2,912,295.59. This trade represents a 42.39 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 0.68% of the company’s stock.

Institutional Investors Weigh In On Texas Instruments

Hedge funds and other institutional investors have recently made changes to their positions in the company. MidAtlantic Capital Management Inc. purchased a new stake in shares of Texas Instruments during the 3rd quarter worth about $28,000. Financial Life Planners acquired a new position in shares of Texas Instruments during the 4th quarter valued at about $26,000. Retirement Wealth Solutions LLC acquired a new position in shares of Texas Instruments during the 4th quarter valued at about $27,000. Tsfg LLC increased its holdings in shares of Texas Instruments by 82.0% during the 3rd quarter. Tsfg LLC now owns 182 shares of the semiconductor company’s stock valued at $38,000 after acquiring an additional 82 shares during the last quarter. Finally, Capital Performance Advisors LLP acquired a new position in shares of Texas Instruments during the 3rd quarter valued at about $39,000. 84.99% of the stock is owned by hedge funds and other institutional investors.

Texas Instruments Stock Performance

The company has a current ratio of 4.31, a quick ratio of 3.14 and a debt-to-equity ratio of 0.74. The firm has a market cap of $169.23 billion, a price-to-earnings ratio of 34.48, a price-to-earnings-growth ratio of 3.84 and a beta of 0.98. The stock has a fifty day moving average price of $193.38 and a 200 day moving average price of $199.46.

Texas Instruments (NASDAQ:TXN) last issued its quarterly earnings data on Thursday, January 23rd. The semiconductor company reported $1.30 EPS for the quarter, beating analysts’ consensus estimates of $1.20 by $0.10. Texas Instruments had a return on equity of 29.05% and a net margin of 31.60%. During the same quarter last year, the business posted $1.49 EPS. As a group, analysts predict that Texas Instruments Incorporated will post 5.08 earnings per share for the current year.

Texas Instruments Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, February 11th. Shareholders of record on Friday, January 31st will be issued a $1.36 dividend. This represents a $5.44 dividend on an annualized basis and a yield of 2.93%. The ex-dividend date is Friday, January 31st. Texas Instruments’s dividend payout ratio (DPR) is currently 104.82%.

About Texas Instruments

Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers in the United States and internationally. The company operates through Analog and Embedded Processing segments. The Analog segment offers power products to manage power requirements across various voltage levels, including battery-management solutions, DC/DC switching regulators, AC/DC and isolated controllers and converters, power switches, linear regulators, voltage references, and lighting products.