Technology
Texas Instruments Soars on Strong Earnings and Guidance
Published:
Last Updated:
Source: Thinkstock
For the fourth quarter, the company expects EPS in the range of $0.64 to $0.74 per on revenues of $3.07 billion to $3.33 billion. There are consensus estimates calling for $0.62 in EPS on $3.12 billion in revenue in the fourth quarter.
The company has returned $4.2 billion to shareholders in the past 12 months through stock repurchases and dividends. In September, it announced a quarterly dividend increase of 4 cents per share, a 12% increase. This marked 12 consecutive years of dividend increases. Texas Instruments also announced a $7.5 billion increase to its share buyback authorization.
Rich Templeton, TI’s Chairman, President and CEO, commented on earnings:
Our core businesses of Analog and Embedded Processing each grew year over year. Together, they comprised 85 percent of third-quarter revenue and have delivered nine consecutive quarters of year-over-year growth…
Our strategy to return to shareholders 100 percent of free cash flow plus proceeds from exercises of equity compensation minus net debt retirement reflects our confidence in the long-term sustainability of our business model.
On the balance sheet Texas Instruments reported $2.7 billion of cash and short-term investments at the end of the third quarter, 82% of which was owned by the company’s U.S. entities.
Shares of Texas Instruments closed Wednesday down 1% at $51.90, with a consensus analyst price target of $54.17 and a 52-week trading range of $43.49 to $59.99. Following the release of the earnings report shares were up 6.9% at $55.50 in the after-hours trading session.
Take This Retirement Quiz To Get Matched With A Financial Advisor (Sponsored)
Take the quiz below to get matched with a financial advisor today.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the
advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Take the retirement quiz right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
