On June 2, Texas Instruments rose 3.07% in pre-market trading, trading at approximately $301.45/share, with trading volume of roughly $7.09 million.
The rally was driven by a convergence of institutional upgrades and escalating pricing power across the power management chip industry. Bank of America raised its target price from $320 to $370, forming a strong bullish consensus among Wall Street firms. Simultaneously, the power management IC sector is undergoing a new round of price increases — Texas Instruments has confirmed plans to raise prices on core products including power management ICs effective July 1, marking the fourth price adjustment within the year. Infineon and other global chipmakers have followed suit with similar hikes scheduled for the same date.
Fundamentally, the company reported Q1 revenue of $4.825 billion, up 19% year-over-year, with operating profit surging 205%. Data center revenue grew approximately 90% YoY, reflecting AI demand spreading from GPUs into power management and server power systems. Analysts note that AI server power component demand is 5-8x that of traditional servers, with delivery lead times extending from 21-26 weeks to 35-40 weeks, underpinning sustained supply-demand tightness.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
Comments