Texas Instruments Incorporated (TXN) Stock Analysis
Latest ClaritX AI analysis ·
Texas Instruments Incorporated (TI) specializes in the global design, production, and sale of semiconductors to electronics engineers and manufacturers. Its operations are structured into two core segments: Analog and Embedded Processing. The Analog division provides a comprehensive suite of power management products, such as battery-management solutions, various DC/DC and AC/DC switching regulators and controllers, power switches, linear regulators, voltage supervisors, references, and lighting components, all critical for managing diverse power needs. This segment also delivers signal chain products designed to sense, condition, and measure electrical signals, facilitating information tran
| Metric | Value |
|---|---|
| Price | $293.80 |
| Market cap | $268.3B |
| Sector | Technology |
| Industry | Semiconductors |
| ClaritX AI score | 79/100 |
| Price/Book | 14.88 |
| Dividend yield | 1.93% |
| Beta | 1.31 |
AI verdict
Texas Instruments (TXN) remains a masterful enterprise, wielding an impenetrable balance sheet and commanding immense pricing power within the foundational analog semiconductor market. The firm is an elite cash generator, boasting 58.33% gross margins, an ironclad current ratio of 4.86, and a highly secure 1.93% dividend yield. Management’s ability to fund aggressive 300mm manufacturing expansions while simultaneously returning massive capital to shareholders solidifies TXN as a premier, long-term defensive asset within a notoriously volatile tech sector. However, severe short-term momentum and valuation risks must be aggressively managed. At $293.80, TXN trades exactly 12.04% below its euphoric 52-week high of $334.03, meaning it is still elevated relative to historical norms. Crucially, the 14-day RSI has spiked to a blistering 81.58, signaling extreme overbought conditions that often precede technical consolidations. Combined with a stretched 44.45x P/E ratio, heavy historical Q2 insider selling, and an elevated beta of 1.314 (indicating the stock is 31.4% more volatile than the S&P 500), new capital deployments face asymmetric downside risk in the immediate term. TXN is a world-class company currently trading at a precarious technical extreme. Rating 79/100
What this score has been worth
ClaritX scores TXN 79 out of 100 (snapshot 2026-10-05).
Every ClaritX analysis is scored first and judged only on what the stock did afterwards. Across the 293 analyses that scored in the 70-79 band, the average forward return was +0.8% with a 49% win rate, -4.1pp against the S&P 500. That is a measured tendency across many names, not a forecast for TXN — roughly 51% of stocks in this band still lost money.
The full band-by-band table, including the bands that lost, is on the AI Rank Report; the live strategy arms behind it are on the AI Track Record, losses published.