Information Technology · Semiconductors · US stock · price as of 16 Oct 2026
Key indicators
Price
$276.48
52-week range
$150.20 – $332.33
Market cap
$254.4B
P/E (trailing)
41.8×
EV / EBITDA
36.0×
Free-cash-flow yield
2.1%
Dividend yield
2.1%
Revenue (last 12 months)
$19.5B
Revenue growth (3y a year)
−4.1%
Operating margin
37.3%
Return on invested capital
25.4%
Net debt / EBITDA
1.0×
Fair value
Blended fair value$177.80 range $167 – $187
Versus priceOvervalued−36% to fair value
Peer multiples
$242.05
Fundamentals-adjusted multiple
$143.89
10-year DCF (market-scaled)
$147.46
Earnings power value (floor, not blended)
$59.81
Model uncertainty
Medium
X-Ray Score
47/ 100 · High confidence · ahead of 39% of sector peers
Valuation39
Growth16
Profitability59
Financial health71
Dividends50
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
Analog and embedded processing chips are the core of what Texas Instruments designs and manufactures. Its products manage power, convert real-world signals into digital data and run the control functions inside electronic equipment. They go into cars, factory machinery, personal electronics, communications equipment and data centres, and customers range from large manufacturers to small design teams that order through the company's website or distributors. The company runs much of its own chip manufacturing.
Revenue comes from the chips it ships to a large and varied set of customers. Over the last twelve months it reached $19.5 billion, but revenue growth over the last three years was -4.1% a year, so sales are lower than before. The operating margin is 37.3%, and the business earns a profit of 25% on the capital invested in it. It has net debt of 1.0 times EBITDA. Shareholders receive a dividend with a yield of 2.1%.
StocksXray gives Texas Instruments Inc an X-Ray Score of 47 out of 100 (high confidence), ahead of 39% of the S&P 500 stocks in its sector. Its strongest lens is financial health (71) and its weakest is growth (16).
Our fair value blend is $177.80 (range $167.23 to $187.23). At $276.48 the stock trades 56% above that blend, so the label is "Overvalued" with medium model uncertainty. Fair value is a range, not a price target.
XStocksXray
Texas Instruments Inc (TXN)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2021
FY2022
FY2023
FY2024
FY2025
Now
Price
$164.59
$148.36
$157.87
$178.61
$170.62
$276.48
Market cap
$154.1B
$137.4B
$144.6B
$164.1B
$155.8B
$254.4B
P/E
19.9×
15.8×
22.3×
34.3×
31.3×
41.8×
EV / revenue
8.3×
6.8×
8.4×
10.9×
9.3×
13.4×
EV / EBITDA
17.0×
13.5×
20.1×
31.1×
27.4×
36.0×
Price / free cash flow
24.5×
23.2×
107.2×
109.6×
59.8×
47.5×
Free-cash-flow yield
4.1%
4.3%
0.9%
0.9%
1.7%
2.1%
Price / book
11.6×
9.4×
8.6×
9.7×
9.6×
14.1×
Dividend yield
2.56%
3.16%
3.18%
2.94%
3.22%
2.05%
Fundamentals checklist ● 6 Good · ● 5 Average · ● 5 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−7.3%Good
Free-cash-flow yield2.1%Bad
Risk models
Altman Z score9.5×Good
Piotroski F-Score7 of 9Good
Growth
EPS growth (3y)−16.6%Bad
Free-cash-flow growth (3y)−24.0%Bad
Revenue growth (3y)−4.1%Bad
Growth consistency60%Bad
Balance sheet
Current ratio4.9×Good
Net debt / EBITDA1.0×Average
Interest coverno interest costGood
Valuation
Fair value vs price0.6×Average
EBIT / EV yield2.8%Average
Profitability
Return on invested capital25.4%Average
Operating margin37.3%Good
Gross profitability31.6%Average
XStocksXray
Texas Instruments Inc (TXN)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY21
FY22
FY23
FY24
FY25
LTM
Revenue
18,344
20,028
17,519
15,641
17,682
19,453
Gross profit
12,376
13,771
11,019
9,094
10,083
11,346
Operating income
8,960
10,140
7,331
5,465
6,023
7,254
Net income
7,769
8,749
6,510
4,799
5,001
6,052
Diluted EPS ($)
8.26
9.41
7.07
5.20
5.45
6.61
Free cash flow
6,294
5,923
1,349
1,498
2,603
5,355
Gross margin
67.5%
68.8%
62.9%
58.1%
57.0%
58.3%
Operating margin
48.8%
50.6%
41.8%
34.9%
34.1%
37.3%
Net margin
42.4%
43.7%
37.2%
30.7%
28.3%
31.1%
Balance sheet
FY21
FY22
FY23
FY24
FY25
LTM
Total assets
24,676
27,207
32,348
35,509
34,585
35,882
Cash
4,631
3,050
2,964
3,200
3,225
3,660
Total debt
7,741
8,735
11,223
13,596
14,048
14,052
Equity
13,333
14,577
16,897
16,903
16,273
18,007
Dividend per share ($)
4.21
4.69
5.02
5.26
5.50
–
Revenue and net income US$ billions: navy revenue, teal net income
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value blends three models and carries a typical error of about 40%, so treat it as a range. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.