TEXAS INSTRUMENTS INC (TXN) Factsheet
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TEXAS INSTRUMENTS INC (TXN) Stock Analysis
Analysis from 10-Q filed 2025-10-23. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 20.7%. FCF margin 27.5%. D/E 0.8x. Source: 10-Q filed 2025-10-23.
| Metric | Value | Context |
|---|---|---|
| ROIC | 20.7% | Above industry average |
| FCF Margin | 27.5% | Strong cash generation |
| Debt/Equity | 0.8x | Moderate leverage |
ROIC 20.7% — Top 25% of sector peers. FCF margin 27.5% — Top 25%.
Explore TEXAS INSTRUMENTS INC: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for TXN: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: TEXAS INSTRUMENTS INC earns 20.7% ROIC, Top 25% in Technology
ROIC TTM 20.7%, sector median 3.9%, Top 25%. DuPont: NOPAT margin 32.7% × asset turnover 0.6x. Gross margin 58.3%. Operating margin 37.3%. Source: 10-Q filed 2025-10-23.
| Metric | TXN | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 20.7% | Excellent | Above sector median of 3.9% |
| Return on Equity (ROE) | 36.2% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 58.3% | Excellent | Strong pricing power |
| Operating Margin | 37.3% | Excellent | Efficient operations |
Cash Flow: TEXAS INSTRUMENTS INC generates $5.4B FCF at 27.5% margin, positive NaN/8 quarters
FCF TTM $5.4B. FCF margin 27.5%, Top 25%. OCF/Net income 1.4x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-23.
| Metric | TXN | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 27.5% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $5.4B | Good | Positive cash generation |
| OCF/Net Income | 1.4x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: TEXAS INSTRUMENTS INC at 0.8x leverage
Debt/Equity 0.8x. Total debt $14.1B, cash & investments $7.0B. Source: 10-Q filed 2025-10-23.
| Metric | TXN | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.8x | Adequate | Moderate leverage |
| Net Cash Position | $-7.1B | Warning | Net debt position |
Valuation: TEXAS INSTRUMENTS INC trades at 45.1x earnings
P/E 45.1x. EV/Sales 9.8x. FCF yield 2.0%. Dividend yield 1.9%. Source: 10-Q filed 2025-10-23.
| Metric | TXN | Rating | Context |
|---|---|---|---|
| P/E Ratio | 45.1x | Adequate | Premium valuation |
| EV/Sales | 9.8x | Adequate | Growth premium priced in |
| FCF Yield | 2.0% | Warning | Lower cash yield |
| Dividend Yield | 1.9% | Adequate | Growth focus over income |
Capital Allocation: TEXAS INSTRUMENTS INC returns 2.1% shareholder yield
Total shareholder yield 2.1% (div 1.9% + buyback 0.3%). Capital returned $5.8B TTM. Source: 10-Q filed 2025-10-23.
| Metric | TXN | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 2.1% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 0.3% | Adequate | Minimal buyback activity |
| Total Capital Returned (TTM) | $5.8B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 20.7% | Top 25% | 5.4x above |
| Free Cash Flow Margin | 27.5% | Top 25% | 3.2x above |
| Gross Margin | 58.3% | Top 50% | 1.2x above |
| Operating Margin | 37.3% | Top 5% | 7.6x above |
| Return on Equity (ROE) | 36.2% | Top 25% | 7.0x above |
| P/E Ratio | 45.1x | N/A | - |
Financial Scorecard
| Metric | TXN | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 20.7% | Excellent | Top 25% of sector (median: 3.9%) |
| Free Cash Flow Margin | 27.5% | Excellent | Top 25% of sector (median: 8.5%) |
| Gross Margin | 58.3% | Excellent | Top 50% of sector (median: 50.6%) |
| Debt to Equity Ratio | 78.0% | Adequate | Elevated but manageable |
| P/E Ratio (Price-to-Earnings) | 45.1x | Adequate | High expectations priced in |
| Free Cash Flow Yield | 2.0% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is TEXAS INSTRUMENTS INC's Return on Invested Capital (ROIC)?
TEXAS INSTRUMENTS INC (TXN) has a trailing twelve-month Return on Invested Capital (ROIC) of 20.7%. Sector median 3.9%. Source: 10-Q filed 2025-10-23.
Q: What is TEXAS INSTRUMENTS INC's Free Cash Flow Margin?
TEXAS INSTRUMENTS INC (TXN) has a free cash flow margin of 27.5%, generating $5.4 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-23.
Q: What is TEXAS INSTRUMENTS INC's P/E ratio and how does it compare to peers?
TEXAS INSTRUMENTS INC (TXN) trades at a P/E ratio of 45.1x, which is above the sector median of N/A. EV/Sales 9.8x. FCF yield 2.0%. Source: 10-Q filed 2025-10-23.
Q: Does TEXAS INSTRUMENTS INC pay a dividend?
TEXAS INSTRUMENTS INC (TXN) currently pays a dividend yield of 1.9%. Total shareholder yield (dividend + buybacks) 2.1%. Source: 10-Q filed 2025-10-23.
Q: How much debt does TEXAS INSTRUMENTS INC have?
TEXAS INSTRUMENTS INC (TXN) has a debt-to-equity ratio of 0.8x with total debt of $14.1 billion. Net debt $7.1 billion. Source: 10-Q filed 2025-10-23.
Q: What is TEXAS INSTRUMENTS INC's revenue and earnings growth?
TEXAS INSTRUMENTS INC (TXN) grew revenue by 16.7% year-over-year. EPS +20.3% YoY. Source: 10-Q filed 2025-10-23.
Q: Is TEXAS INSTRUMENTS INC buying back stock?
TEXAS INSTRUMENTS INC (TXN) repurchased $707.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.3%. Source: 10-Q filed 2025-10-23.
Q: How does TEXAS INSTRUMENTS INC compare to competitors in Technology?
Compared to other companies in Technology, TEXAS INSTRUMENTS INC (TXN) shows: ROIC 20.7%, sector median 3.9% (Top 25%). FCF margin 27.5%, sector median 8.5% (Top 25%). Gross margin 58.3%, 7.7pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with TEXAS INSTRUMENTS INC?
No quantitative warning flags fired for TEXAS INSTRUMENTS INC (TXN) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-10-23.
Data Source: Data sourced from 10-Q filed 2025-10-23. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.