Texas Instruments’s most recent trend suggests a bullish bias. One trading opportunity on Texas Instruments is a Bull Put Spread using a strike $175.00 short put and a strike $170.00 long put offers a potential 28.87% return on risk over the next 21 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $175.00 by expiration. The full premium credit of $1.12 would be kept by the premium seller. The risk of $3.88 would be incurred if the stock dropped below the $170.00 long put strike price.
The 5-day moving average is moving down which suggests that the short-term momentum for Texas Instruments is bearish and the probability of a decline in share price is higher if the stock starts trending.
The 20-day moving average is moving down which suggests that the medium-term momentum for Texas Instruments is bearish.
The RSI indicator is at 67.56 level which suggests that the stock is neither overbought nor oversold at this time.
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LATEST NEWS for Texas Instruments
Price Over Earnings Overview: Texas Instruments
Tue, 23 Mar 2021 16:37:48 +0000
In the current market session, Texas Instruments Inc. (NASDAQ:TXN) is trading at $179.91, after a 0.10% drop. However, over the past month, the stock increased by 4.09%, and in the past year, by 81.44%. Shareholders might be interested in knowing whether the stock is overvalued, even if the company is not performing up to par in the current session. Assuming that all other factors are held constant, this could present itself as an opportunity for shareholders trying to capitalize on the higher share price. The stock is currently below from its 52 week high by 1.04%. The P/E ratio measures the current share price to the company’s EPS. It is used by long-term investors to analyze the company’s current performance against its past earnings, historical data and aggregate market data for the industry or the indices, such as S&P 500. A higher P/E indicates that investors expect the company to perform better in the future, and the stock is probably overvalued, but not necessarily. It also shows that investors are willing to pay a higher share price currently, because they expect the company to perform better in the upcoming quarters. This leads investors to also remain optimistic about rising dividends in the future. View more earnings on TXN Most often, an industry will prevail in a particular phase of a business cycle, than other industries. Texas Instruments Inc. has a lower P/E than the aggregate P/E of 122.01 of the Semiconductors & Semiconductor Equipment industry. Ideally, one might believe that the stock might perform worse than its peers, but it’s also probable that the stock is undervalued. There are many limitations to price to earnings ratio. It is sometimes difficult to determine the nature of the earnings makeup of a company. Shareholders might not get what they’re looking for, from trailing earnings. See more from BenzingaClick here for options trades from BenzingaStocks That Hit 52-Week Highs On TuesdayWhere Texas Instruments Stands With Analysts© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Why Longbow Research Upgrades Microchip Technology and Texas Instruments Stocks
Tue, 23 Mar 2021 16:23:53 +0000
Continued strength in semiconductor chip bookings and “extremely lean” forward-looking inventory across the supply chain suggest increasing lead times and zero destocking risk on the horizon, according to Longbow Research. The Semiconductor Analyst: Nikolay Todorov upgraded the ratings for Microchip Technology Inc. (NASDAQ: MCHP) and Texas Instruments Incorporated (NASDAQ: TXN) from Neutral to Buy, while establishing price targets of $186 and $220, respectively. The Semiconductor Thesis: The semiconductor cycle seems to be in the “middle innings” and the gap between demand and supply is unlikely to close in 2021, Todorov said in the upgrade note. Referring to Microchip Technology, the analyst said there is “earnings upside from incremental GM and op leverage, and multiple re-rating to in-line with peer avg. (from 10% discount today) driven by balance sheet deleveraging and scaling of shareholder return initially via rapidly growing dividend and later by market buybacks.” Regarding Texas Instruments, Todorov wrote, “We think the combination of higher product availability, and now more direct-to-customer sales (63% of 4Q sales were direct vs less than 40% a year ago), will make TI more nimble and allow it to pick incremental share near term.” MCHP Price Action: Shares are down 2.00 % to $151.77 at time of publication Tuesday. TXN Price Action: Shares are down 0.19% to $179.75 at time of publication Tuesday. (Photo: Texas Instruments) Latest Ratings for MCHP DateFirmActionFromTo Mar 2021Longbow ResearchUpgradesNeutralBuy Feb 2021RosenblattMaintainsBuy Feb 2021MizuhoMaintainsBuy View More Analyst Ratings for MCHP View the Latest Analyst Ratings See more from BenzingaClick here for options trades from BenzingaNeedham Remains Bullish On Chegg With Healthy International Growth, Post-COVID RetentionWhy Did BofA Upgrade Columbia Sportswear Stock?© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Where Texas Instruments Stands With Analysts
Tue, 23 Mar 2021 15:00:02 +0000
Within the last quarter, Texas Instruments (NASDAQ:TXN) has observed the following analyst ratings: Last 30 Days 1 Month Ago 2 Months Ago 3 Months Ago Bullish 1 1 2 0 Somewhat Bullish 0 1 1 0 Indifferent 0 0 2 0 Somewhat Bearish 0 0 1 0 Bearish 0 0 0 0 10 analysts offering 12-month price targets in the last 3 months for Texas Instruments evaluate the company at an average price target of $189.1 with a high of $220.00 and a low of $154.00. This current average represents a 15.83% increase from the previous average price target of $163.25. Analyst Ratings: What Are They? Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions. Analysts also give out recommendations like “buy”, “sell”, “hold”, or similar verbage for each stock based on their overall evaluations of the corres ponding company. A “buy” indicates that an analyst is optimistic about a stock’s short-term or mid-term growth, recommending traders to purchase the stock. Contrastingly, a “sell” means that an analyst believes the stock will trend downwards in that same time frame. A “hold” suggests that investors should not buy more of or sell any of the specified stock due to that analyst’s prediction of stagnation. Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error. Latest Ratings for TXN DateFirmActionFromTo Mar 2021Longbow ResearchUpgradesNeutralBuy Mar 2021CascendMaintainsBuy Feb 2021Raymond JamesUpgradesMarket PerformOutperform View More Analyst Ratings for TXN View the Latest Analyst Ratings See more from BenzingaClick here for options trades from BenzingaBenzinga’s Top Ratings Upgrades, Downgrades For March 23, 2021Texas Instruments: Debt Overview© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Is Texas Instruments (TXN) Stock A Buy or Sell?
Tue, 23 Mar 2021 14:50:04 +0000
Insider Monkey has processed numerous 13F filings of hedge funds and successful value investors to create an extensive database of hedge fund holdings. The 13F filings show the hedge funds’ and successful investors’ positions as of the end of the fourth quarter. You can find articles about an individual hedge fund’s trades on numerous financial […]
Texas Instruments: Debt Overview
Tue, 23 Mar 2021 12:50:33 +0000
Shares of Texas Instruments (NASDAQ:TXN) increased by 12.68% in the past three months. Before we understand the importance of debt, let us look at how much debt Texas Instruments has. Texas Instruments’s Debt According to the Texas Instruments’s most recent balance sheet as reported on February 5, 2021, total debt is at $6.80 billion, with $6.25 billion in long-term debt and $550.00 million in current debt. Adjusting for $3.11 billion in cash-equivalents, the company has a net debt of $3.69 billion. Let’s define some of the terms we used in the paragraph above. Current debt is the portion of a company’s debt which is due within 1 year, while long-term debt is the portion due in more than 1 year. Cash equivalents include cash and any liquid securities with maturity periods of 90 days or less. Total debt equals current debt plus long-term debt minus cash equivalents. Investors look at the debt-ratio to understand how much financial leverage a company has. Texas Instruments has $19.35 billion in total assets, therefore making the debt-ratio 0.35. Generally speaking, a debt-ratio more than one means that a large portion of debt is funded by assets. As the debt-ratio increases, so the does the risk of defaulting on loans, if interest rates were to increase. Different industries have different thresholds of tolerance for debt-ratios. A debt ratio of 40% might be higher for one industry and average for another. Why Investors Look At Debt? Debt is an important factor in the capital structure of a company, and can help it attain growth. Debt usually has a relatively lower financing cost than equity, which makes it an attractive option for executives. However, interest-payment obligations can have an adverse impact on the cash-flow of the company. Having financial leverage also allows companies to use additional capital for business operations, allowing equity owners to retain excess profit, generated by the debt capital. Looking for stocks with low debt-to-equity ratios? Check out Benzinga Pro, a market research platform which provides investors with near-instantaneous access to dozens of stock metrics – including debt-to-equity ratio. Click here to learn more. See more from BenzingaClick here for options trades from BenzingaWhat Does 3M’s Debt Look Like?A Look Into American Tower’s Debt© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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