Texas Instruments stock Outlook: Is Wall Street Bullish or Bearish?
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With a market cap of $149.7 billion, Texas Instruments Incorporated (TXN) is a global semiconductor company, specializing in analog and embedded processing products. With a strong manufacturing and design presence across North America, Asia, and Europe, it serves a broad range of markets including industrial, automotive, and personal electronics.
Shares of the Dallas, Texas-based company have underperformed the broader market over the past 52 weeks. TXN stock has decreased 9.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 8.6%. Moreover, shares of Texas Instruments are down 12.1% on a YTD basis, compared to SPX's 4.3% decline.
In addition, the chipmaker has lagged behind the Technology Select Sector SPDR Fund's (XLK) 5.7% return over the past 52 weeks.
Shares of Texas Instruments climbed 6.6% following its Q1 2025 release on Apr. 23 due to a stronger-than-expected EPS of $1.28 and revenue of $4.1 billion. Also, the company projected Q2 revenue between $4.17 billion and $4.53 billion and EPS between $1.21 and $1.47, both above Wall Street estimates. Analysts attributed the upbeat outlook to signs of cyclical demand recovery and possible early purchases ahead of anticipated tariffs.
For the current fiscal year, ending in December 2025, analysts expect TXN's EPS to grow 6.7% year-over-year to $5.55. The company's earnings surprise history is promising. It beat the consensus estimates in the last four quarters.
Among the 31 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 11 “Strong Buy” ratings, 16 “Holds,” one “Moderate Sell,” and three “Strong Sells.”
On Apr. 24, Truist lowered its price target on Texas Instruments to $171, maintaining a “Hold” rating after Q1 results. The firm cited concerns over potential tariff risks and warned that a hoped-for cyclical recovery might not materialize as expected.
As of writing, TXN is trading below the mean price target of $181.62. The Street-high price target of $248 implies a potential upside of 50.5% from the current price levels.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.