Texas Stock Buy Hold or Sell Recommendation

TXN
 Stock
  

USD 155.95  4.81  3.18%   

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Texas Instruments is 'Strong Hold'. Macroaxis provides Texas Instruments buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding TXN positions. The advice algorithm takes into account all of Texas Instruments' available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Texas Instruments' buy-and-hold perspective. Additionally, take a look at Texas Instruments Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Texas and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Texas Instruments.

Execute Texas Instruments Buy or Sell Advice

The Texas recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Texas Instruments. Macroaxis does not own or have any residual interests in Texas Instruments or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Texas Instruments' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Texas InstrumentsBuy Texas Instruments
Strong Hold

Volatility

Very steadyDetails

Hype Condition

Under hypedDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Very SmallDetails

Economic Sensitivity

Follows the market closelyDetails

Analyst Consensus

HoldDetails

Financial Strenth (F Score)

PoorDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Texas Instruments has a Risk Adjusted Performance of (0.15), Jensen Alpha of (0.05), Total Risk Alpha of (0.014366) and Treynor Ratio of (0.20)
Macroaxis provides recommendation on Texas Instruments to complement and cross-verify current analyst consensus on Texas Instruments. Our trade recommendation engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Texas Instruments is not overpriced, please validate all Texas Instruments fundamentals, including its short ratio, and the relationship between the cash per share and total asset . Given that Texas Instruments has a price to earning of 19.44 X, we advise you to double-check Texas Instruments market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Texas Instruments Trading Alerts and Improvement Suggestions

Texas Instruments generated a negative expected return over the last 90 days
Texas Instruments is unlikely to experience financial distress in the next 2 years
Texas Instruments has a poor financial position based on the latest SEC disclosures
Over 86.0% of the company shares are owned by institutional investors
Latest headline from www.investorsobserver.com: Acquisition by Hsu Michael D of 182 shares of Texas Instruments subject to Rule 16b-3

Texas Instruments current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Texas analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Texas analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price191.93
Target Median Price187.50
Target High Price297.00
Recommendation Mean2.60
Number Of Analyst Opinions28
Target Low Price150.00
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Texas Instruments Returns Distribution Density

The distribution of Texas Instruments' historical returns is an attempt to chart the future uncertainty of Texas Instruments' future price movements. The chart of the probability distribution of Texas Instruments stock daily returns describes the distribution of returns around its average expected value. We use Texas Instruments price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Texas Instruments returns is essential to provide solid investment advice for Texas Instruments stock.
Mean Return-0.21Value At Risk-3.03
Potential Upside2.87Standard Deviation1.92
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Texas Instruments historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Texas Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Texas Instruments is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Texas Instruments backward and forwards among themselves. Texas Instruments' institutional investor refers to the entity that pools money to purchase Texas Instruments' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Vanguard Group IncCommon Shares85.6 M15.7 B
Blackrock IncCommon Shares75.3 M13.8 B
State Street CorpCommon Shares39.5 M7.3 B
Wellington Management Group LlpCommon Shares31.4 M5.8 B
Jpmorgan Chase CoCommon Shares27.7 M5.1 B
Bank Of America CorpCommon Shares25 M4.6 B
Massachusetts Financial Services CoCommon Shares18.9 M3.5 B
Note, although Texas Instruments' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Texas Instruments Cash Flow Accounts

201720182019202020212022 (projected)
Net Cash Flow from Financing(3.73 B)(6.33 B)(4.73 B)(4.55 B)(3.14 B)(3.38 B)
Net Cash Flow from Investing(1.13 B)(78 M)(1.92 B)(922 M)(4.09 B)(4.2 B)
Net Cash Flow from Operations5.36 B7.19 B6.65 B6.14 B8.76 B9.45 B

Texas Instruments Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Texas Instruments or Technology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Texas Instruments stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Texas stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.05
β
Beta against DOW1.10
σ
Overall volatility
1.91
Ir
Information ratio -0.04

Texas Instruments Volatility Alert

Texas Instruments exhibits very low volatility with skewness of 0.22 and kurtosis of -0.91. However, we advise investors to further study Texas Instruments technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Texas Instruments' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Texas Instruments' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Texas Instruments Implied Volatility

Texas Instruments' implied volatility exposes the market's sentiment of Texas Instruments stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Texas Instruments' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Texas Instruments stock will not fluctuate a lot when Texas Instruments' options are near their expiration.

Texas Instruments Fundamentals Vs Peers

Comparing Texas Instruments' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Texas Instruments' direct or indirect competition across all of the common fundamentals between Texas Instruments and the related equities. This way, we can detect undervalued stocks with similar characteristics as Texas Instruments or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Texas Instruments' fundamental indicators could also be used in its relative valuation, which is a method of valuing Texas Instruments by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Texas Instruments to competition
FundamentalsTexas InstrumentsPeer Average
Return On Equity67.96 %(0.31) %
Return On Asset27.05 %(0.14) %
Profit Margin43.34 %(1.27) %
Operating Margin51.27 %(5.51) %
Current Valuation154.91 B16.62 B
Shares Outstanding923.53 M571.82 M
Shares Owned by Insiders0.20 %10.09 %
Shares Owned by Institutions85.91 %39.21 %
Number of Shares Shorted14.27 M4.71 M
Price to Earning19.44 X28.72 X
Price to Book11.49 X9.51 X
Price to Sales7.37 X11.42 X
Revenue18.96 B9.43 B
Gross Profit12.38 B27.38 B
EBITDA10.64 B3.9 B
Net Income8.18 B570.98 M
Cash and Equivalents9.83 B2.7 B
Cash per Share10.65 X5.01 X
Total Debt7.74 B5.32 B
Debt to Equity0.55 %48.70 %
Current Ratio5.54 X2.16 X
Book Value Per Share13.16 X1.93 K
Cash Flow from Operations9.05 B971.22 M
Short Ratio2.39 X4.00 X
Earnings Per Share7.79 X3.12 X
Price to Earnings To Growth1.87 X4.89 X
Number of Employees31 K18.84 K
Beta0.95-0.15
Market Capitalization139.79 B19.03 B
Total Asset14.68 B29.47 B
Retained Earnings24.43 B9.33 B
Working Capital4.19 B1.48 B
Current Asset6.13 B9.34 B
   Sale by Gary Mark of 2043 shares of Texas Instruments [view details]

About Texas Instruments Buy or Sell Advice

When is the right time to buy or sell Texas Instruments? Buying financial instruments such as Texas Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Texas Instruments investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Receivables1.07 B1.41 B1.7 B1.66 B
Inventories2 B1.96 B1.91 B1.78 B

Use Investing Ideas to Build Portfolios

In addition to having Texas Instruments in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run ETFs Thematic Idea Now

ETFs
ETFs Theme
Public companies that diversify risk by investing across different stocks, funds, or indexes. The ETFs theme has 20 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize ETFs Theme or any other thematic opportunities.
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Additionally, take a look at Texas Instruments Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Texas Instruments information on this page should be used as a complementary analysis to other Texas Instruments' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .

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When running Texas Instruments price analysis, check to measure Texas Instruments' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Texas Instruments is operating at the current time. Most of Texas Instruments' value examination focuses on studying past and present price action to predict the probability of Texas Instruments' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Texas Instruments' price. Additionally, you may evaluate how the addition of Texas Instruments to your portfolios can decrease your overall portfolio volatility.
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Is Texas Instruments' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Texas Instruments. If investors know Texas will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Texas Instruments listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.26
Market Capitalization
143.8 B
Quarterly Revenue Growth YOY
0.14
Return On Assets
0.27
Return On Equity
0.68
The market value of Texas Instruments is measured differently than its book value, which is the value of Texas that is recorded on the company's balance sheet. Investors also form their own opinion of Texas Instruments' value that differs from its market value or its book value, called intrinsic value, which is Texas Instruments' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Texas Instruments' market value can be influenced by many factors that don't directly affect Texas Instruments' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Texas Instruments' value and its price as these two are different measures arrived at by different means. Investors typically determine Texas Instruments value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Texas Instruments' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.