Stock Updates

Is this Large Market Cap Stock target price reasonable for Texas Instruments Inc. (NASDAQ:TXN)?

The company in question is, Texas Instruments Inc. (NASDAQ:TXN) currently with a stock price of 67.75 (-0.28% today). The market cap for Texas Instruments Inc. is 70529.88, and is in the sector Technology, and Semiconductor – Broad Line industry. The target price for Texas Instruments Inc. is 71.57. Currently Texas Instruments Inc. is trading with a P/E of 22.89, and a forward P/E of 20.29. Average volume for Texas Instruments Inc. is 5420.2 and so far today it is 558126.

Performance in the last year for Texas Instruments Inc. has been 46.55%. For EPS growth, Texas Instruments Inc. has seen a growth of 9.70%, and is looking to grow in the next year to 9.44%. More long term stats show that EPS growth has been 1.50% over the last five years and could be 10.00% for the next five years. Texas Instruments Inc. has seen sales growth quarter over quarter at 1.30%, with EPS growth quarter over quarter at 16.00%. The 20-day simple moving average is -0.03%, with the 200-day simple moving average coming to 15.26%.

Since the IPO date for Texas Instruments Inc. on the 6/1/1972, Texas Instruments Inc. has seen performance year to date to be 26.36%. With Texas Instruments Inc. trading at 67.75, the dividend yield is 2.24%, and the EPS is 2.97.

So could Texas Instruments Inc., be undervalued? Well as said before P/E is 22.89. The PEG is 2.29, P/S is 5.47 and the P/B is at 6.85. The P/cash is 27.78, with P/free cash flow at 29.75.

Texas Instruments Inc. ability to deal with debt shows that the current ratio is 3.4, and the quick ratio is 2.4. This is with long term debt/equity at 0.3, and total debt/equity at 0.36.

In terms of margins, Texas Instruments Inc. has a gross margin of 59.60%, an operating margin of 34.00% and a profit margin of 23.60%.Payout ratio for Texas Instruments Inc. is 49.30%. Return on assets come to 18.90% with return on investment coming to 21.60%.

Insider ownership for Texas Instruments Inc., is at 0.30% and institutional ownership comes to 88.80%. Outstanding shares are at 1038.12. While shares float is 1002.11. The float short is currently 2.29%, and short ratio is 4.23.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Mark Hines

Leave a Comment