Texas Instruments Upgraded on Improving Outlook, BofA Says

MT Newswires Live01-29

Texas Instruments (TXN) stands to benefit from an improving backlog, firmer order trends, data-center strength and the potential for continued free-cash-flow growth, BofA Securities said Wednesday in a report.

The firm raised its rating on Texas Instrument stock to neutral from underperform and boosted its price objective to $235 from $185, citing the "positive tone" following Q4 results and Q1 guidance on Tuesday.

The Q1 revenue outlook of $4.5 billion at the midpoint topped the $4.4 billion consensus and was the "star of the show," BofA said.

BofA raised its pro forma EPS forecasts by 8% to $6.23 for 2026 and by 7% to $7.12 for 2027.

A capital management event on Feb. 24 may be the next catalyst and

might include more details on achieving free cash flow targets and improved returns or buybacks, BofA said.

Texas Instruments shares rose 8% in Wednesday trading. Several other analysts also boosted their price targets on the stock.

Price: 212.41, Change: +15.78, Percent Change: +8.03

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