Texas tools today
Texas tools
As of 04/25/2025 04:00 pm
- 52 weeks
- 139.95 dollars
▼
220.39 dollars
- Profit
- 3.34 %
- P/E ratio.
- 31.38
- The target price
- 189.41 dollars
Texas compact tools Nasdak: TXN He performed a financial performance in the first quarter, the analysts’ expectations significantly, accompanied by optimistic expectations for the second quarter. The results raised a remarkable mass in the price of Texas tools, which strengthened the investor’s confidence that a potential recovery may have an analog conductor after a difficult period of this industry.
The company reported the revenues of the first quarter of $ 4.07 billion and profits per share (EPS) of $ 1.28, both before consensus, indicating the improvement of the basics.
The profits arrive during the industry reset
Upon its entry in 2025, the semiconductor industry faced a recognized decrease in a recognized decrease in stock modifications throughout the supply chain and weakening demand, especially in industrial areas and major cars where Texas Instruments has a strong presence.
Pre -profit feelings were cautious, with fears surrounding the length of the course and the possible effects of global trade, including definitions. Consequently, the Texas Instruments report for the first quarter is closely observed as an indication of the broader health sector.
The results are the highest estimates in all fields
Texas Instruments exceeded expectations in the first quarter, as it achieved $ 4.07 billion in revenues. This represents an increase of 11.1 % on an annual basis, bypassing the unanimity estimate of $ 3.91 billion by 4.1 %. The company’s profits per share (EPS) was also strong at $ 1.28, which greatly exceeds the consensus of the analyst of $ 1.06 by 20.2 %. This number included $ 0.05 per share was not initially expected in the company’s instructions.
The growth of strong revenue was mainly driven by the analog sector, which achieved $ 3.21 billion, an increase of 13 % compared to the previous year. The compact processing sector showed stability, with a number of $ 647 million, with a slight decrease of 1 % on an annual basis.
The profitability remained healthy, although the 32.5 % operating margin was less than 35.1 % reported in the first quarter of 2024, which reflects the current operating environment. The GAAP -free cash flow for a quarter was $ 14 million, and it improved $ 231 million in the same period last year, which helped him 260 million dollars from the incentives of the chips law. The negative free cash flow reflects capitalist investments and timing.
Optimistic guidance of Q2 feeds optimism
TEXAS Instruments today
189.41 dollars
16.30 % climbHold
Based on 24 analyst classification
| The current price | 162.86 dollars |
|---|---|
| High expectations | $ 298.00 |
| Average expectations | 189.41 dollars |
| Low expectations | 125.00 dollars |
TEXAS Instruments
Perhaps more importantly for the stock path, the company provided instructions in the second quarter that exceeded the prevailing expectations of analysts. Q2 projects q2 revenue between 4.17 billion dollars and $ 4.53 billion. The center point of this range, 4.35 billion dollars, is conveniently at 5.1 % on the previous Wall Street consensus of $ 4.14 billion, and includes an annual growth rate of about 13.8 %.
Likewise, the encouragement of Q2 EPS was instructions from $ 1.21 to $ 1.47. Its mid -$ 1.34 point is a 11.9 % victory over the estimate of the former analyst of $ 1.24. This aspiration confidence indicates that the administration imagines improving demand trends and possibly the beginnings of the inventory renewal cycle among its customers.
Reading course, risk management
The common visions were reinforced during the post -profit collective call. The CEO of Haviv ILAN provided a comment indicating that the semiconductor cycle may currently be at the lowest point, a view that investors most likely to get signs of a shift.
The administration indicated that customer stocks seem low across the final markets that enter the second quarter, as they are in line with the potential need for reflected re -storage in the guidance. The company also reported sequential growth across most of its final markets, with the exception of the model seasonal decline in personal electronics.
Treating continuous concerns about geopolitical tensions and potential definitions that affect exposure to China, the administration expressed its confidence in benefiting from the widespread global manufacturing imprint to relieve risk, and no effect has been expected in the near -term Q2, while still recognizes the broader environmental certainty.
The market interacts positively, and the transformations of emotions are bullish
The market reception to the profit report was unambiguously positive. TEXAS Instruments shares about 6 % in trading in the aftermath of the advertisement, and changing hands about $ 161.61 by mid -April 24. This step occurred in the high trading volume, or nearly average twice the average for a period of three months in the middle of the session, indicating a strong investor interest.
It seems that a positive surprise swings more broader feelings; The data from the retailer platforms indicated a reflection of sharp feelings from landing to the extreme rise immediately after the report. This pop, welcomed to the shareholders, as the stock decreased by approximately 18 % before the profit is issued.
Building for the future
Understanding the current financial file for Texas Instruments requires recognition of a long -term strategic focus. The company is in the midst of the important capital spending course, as it invests with a heavy ($ 4.7 billion over the duodenal) in building advanced Wossar manufacturing facilities 300 millions. This strategy is designed to secure the advantages of the long -term manufacturing cost, enhance the supply chain control, and the growth growth, especially in the industrial car markets and cars.
However, this investment directly affects billions of dollars directly on financial scales near the short term. The 12 -month -free cash flow (FCF) is left behind, while it is positive at $ 1.7 billion (the FCF margin represents 10.7 %), it is largely suppressed compared to the margins of more than 30 % that it achieved historically and targets it. This reflects a deliberate strategic comparison: sacrificing some FCF generation in the short term for the expected future competitiveness and the gains of its market.
Provides positive profits as a basis for future growth
The performance of the TEXAS Instruments “the performance of the first quarter and the expectations of the second quarter provided concrete evidence that the semiconductor cycle may turn to the company. The big victory indicates revenues and profits, as well as stronger instructions than expected, to improve the basics and verify health for investors who expect recovery. The positive market reaction confirms this renewed optimism.
The results of the profits for Texas tools
While the company continues to move in a period of heavy strategic investment that weighs on the near -term cash flow and directs analysts with regard to evaluation, the recent results greatly enhance confidence in its ability to manage through the course and implement the long -term manufacturing expansion.
These encouraging signals put the Texas tools positively to take advantage of the demand to revive their main markets.
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