- Expected Earnings Per Share (EPS) is $1.06, with revenue projections at approximately $3.91 billion.
- The company faces challenges from the U.S.-China trade war and market slowdowns, yet has outperformed the Zacks Consensus Estimate in the past four quarters.
- Financial health indicators such as a P/E ratio of 27.67 and a current ratio of 4.12 suggest strong market valuation and liquidity.
Texas Instruments (NASDAQ:TXN) is a leading semiconductor company known for its analog and embedded processing products. As it prepares to release its quarterly earnings on April 23, 2025, analysts are closely watching the company’s performance. The expected earnings per share (EPS) is $1.06, while revenue is projected to be around $3.91 billion.
The company’s anticipated EPS range is between 94 cents and $1.16, with the Zacks Consensus Estimate aligning at $1.06. This marks an 11.7% decline from the previous year. Despite this, revenue expectations show a positive trend, with a projected increase of 6.7% from the same period last year, ranging between $3.74 billion and $4.06 billion.
Texas Instruments faces challenges from the ongoing U.S.-China trade war and tariff hikes, which may impact its performance. Additionally, a slowdown in industrial and automotive markets could affect its earnings. However, the company has a strong track record, consistently surpassing the Zacks Consensus Estimate in the last four quarters with an average surprise of 8.9%.
The company’s financial metrics provide insight into its market valuation. With a price-to-earnings (P/E) ratio of 27.67 and a price-to-sales ratio of 8.47, Texas Instruments is valued highly by the market. Its enterprise value to sales ratio is 9.14, and the enterprise value to operating cash flow ratio is 22.62, indicating robust financial health.
Texas Instruments maintains a solid liquidity position, with a current ratio of 4.12, reflecting its ability to cover short-term liabilities. The debt-to-equity ratio of 0.80 shows moderate financial leverage. These metrics, combined with an earnings yield of 3.61%, highlight the company’s financial stability and potential for future growth.
