Earnings To Watch: Texas Instruments (TXN) Reports Q4 Results Tomorrow

Adam Hejl /
2023/01/23 4:40 am EST

Analog chip manufacturer Texas Instruments (NASDAQ:TXN) will be announcing earnings results tomorrow after market close. Here's what you need to know.

Last quarter Texas Instruments reported revenues of $5.24 billion, up 12.8% year on year, beating analyst revenue expectations by 1.9%. It was a weaker quarter for the company, with underwhelming revenue guidance for the next quarter and an increase in inventory levels.

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This quarter analysts are expecting Texas Instruments's revenue to decline 4.03% year on year to $4.63 billion, a further deceleration on the 18.5% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.03 per share.

Texas Instruments Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 6.46%.

With Texas Instruments being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for semiconductor stocks, but there has been positive sentiment among investors in the semiconductors segment, with the stocks up on average 12.6% over the last month. Texas Instruments is up 5.98% during the same time, and is heading into the earnings with analyst price target of $175.49, compared to share price of $173.59.

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The author has no position in any of the stocks mentioned.