Swan Global Investments LLC has acquired a new position in Texas Instruments Incorporated (NASDAQ: TXN) during the second quarter of 2023. The investment firm purchased 1,217 shares of the semiconductor company, valued at approximately $253,000. This move marks a significant addition to its portfolio, reflecting growing investor interest in the semiconductor sector.
Several other institutional investors have also adjusted their holdings in Texas Instruments recently. Woodmont Investment Counsel LLC increased its stake by 2.9%, acquiring an additional 47 shares to reach a total of 1,650 shares valued at $343,000. Similarly, Confluence Wealth Services Inc. raised its holdings by 0.4%, now owning 10,996 shares worth $2.283 million after purchasing an additional 48 shares.
Investment firms such as Acropolis Investment Management LLC and Proathlete Wealth Management LLC have also increased their positions, reflecting a broader trend among institutional investors. Currently, institutional ownership of Texas Instruments stands at 84.99%, indicating strong confidence in the company’s future prospects.
Recent Insider Activity and Financial Performance
In related news, Ahmad Bahai, Vice President of Texas Instruments, sold 1,500 shares on August 25, 2023, at an average price of $205.35, totaling $308,025. Following this transaction, Bahai retains 38,883 shares valued at approximately $7.985 million. This sale represents a 3.71% reduction in his ownership, a detail disclosed in a filing with the U.S. Securities and Exchange Commission.
Texas Instruments recently reported earnings for the second quarter on July 22, 2023, showcasing a robust performance. The company achieved earnings per share of $1.41, surpassing analysts’ expectations of $1.32 by $0.09. Additionally, revenue for the quarter reached $4.45 billion, exceeding the forecast of $4.31 billion and reflecting a 16.4% year-on-year increase.
Looking ahead, Texas Instruments has set its guidance for the third quarter of 2025 at earnings per share between $1.360 and $1.600. Analysts predict that the company will post $5.35 earnings per share for the current fiscal year.
Dividend Announcement and Analyst Ratings
In a positive development for shareholders, Texas Instruments announced a quarterly dividend of $1.42 per share, scheduled for payment on November 12, 2023. Investors on record by October 31, 2023, will be eligible for this dividend, marking an increase from the previous quarterly dividend of $1.36. The current payout ratio stands at 99.63%, yielding an annualized dividend of $5.68 at a rate of 3.2%.
Several financial analysts have weighed in on the stock, with varying recommendations. Mizuho cut its price target from $205.00 to $200.00, maintaining a “neutral” rating. Conversely, TD Cowen lowered its price target from $245.00 to $230.00, while issuing a “buy” rating.
The consensus among equity analysts indicates a mix of ratings, with two analysts recommending a “Strong Buy,” twelve suggesting a “Buy,” and five issuing “Sell” ratings. Currently, Texas Instruments holds an average rating of “Hold” with a target price of $211.64, according to MarketBeat.
Texas Instruments Incorporated specializes in designing, manufacturing, and selling semiconductors to electronics manufacturers globally. The company operates through its Analog and Embedded Processing segments, providing a range of power management solutions and components for diverse applications.
