We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Texas Instruments (TXN) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
Texas Instruments (TXN - Free Report) closed at $99.17 in the latest trading session, marking a +1.67% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.32%. Elsewhere, the Dow gained 1.38%, while the tech-heavy Nasdaq added 1.74%.
Prior to today's trading, shares of the chipmaker had gained 8.27% over the past month. This has outpaced the Computer and Technology sector's gain of 2.64% and the S&P 500's gain of 4.16% in that time.
Investors will be hoping for strength from TXN as it approaches its next earnings release, which is expected to be January 23, 2019. The company is expected to report EPS of $1.24, up 13.76% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.75 billion, up 0.04% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for TXN. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.77% lower within the past month. TXN currently has a Zacks Rank of #3 (Hold).
Investors should also note TXN's current valuation metrics, including its Forward P/E ratio of 17.82. This represents a premium compared to its industry's average Forward P/E of 12.95.
It is also worth noting that TXN currently has a PEG ratio of 1.88. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. TXN's industry had an average PEG ratio of 1.88 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 225, putting it in the bottom 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Texas Instruments (TXN) Outpaces Stock Market Gains: What You Should Know
Texas Instruments (TXN - Free Report) closed at $99.17 in the latest trading session, marking a +1.67% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.32%. Elsewhere, the Dow gained 1.38%, while the tech-heavy Nasdaq added 1.74%.
Prior to today's trading, shares of the chipmaker had gained 8.27% over the past month. This has outpaced the Computer and Technology sector's gain of 2.64% and the S&P 500's gain of 4.16% in that time.
Investors will be hoping for strength from TXN as it approaches its next earnings release, which is expected to be January 23, 2019. The company is expected to report EPS of $1.24, up 13.76% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.75 billion, up 0.04% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for TXN. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.77% lower within the past month. TXN currently has a Zacks Rank of #3 (Hold).
Investors should also note TXN's current valuation metrics, including its Forward P/E ratio of 17.82. This represents a premium compared to its industry's average Forward P/E of 12.95.
It is also worth noting that TXN currently has a PEG ratio of 1.88. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. TXN's industry had an average PEG ratio of 1.88 as of yesterday's close.
The Semiconductor - General industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 225, putting it in the bottom 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.