Robert W. Baird analyst Tristan Gerra has reiterated their bullish stance on TXN stock, giving a Buy rating yesterday.
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Tristan Gerra has given his Buy rating due to a combination of factors that indicate a positive outlook for Texas Instruments. Despite a recent decline in stock price, Gerra views this as an entry point opportunity, as the company’s revenue estimates are on the rise and the cyclical recovery is ongoing. The supply chain conditions have improved compared to earlier in the year, and there are no signs of purchase reversals, suggesting stability in the upcoming quarters.
Furthermore, Texas Instruments reported strong second-quarter results with earnings per share exceeding guidance and revenue reaching the higher end of expectations. The company’s guidance for the third quarter also surpasses previous estimates, indicating continued growth. While there are concerns about management’s tone and gross margin guidance, the overall outlook remains positive with industrial and automotive revenues showing recovery. The expectation of reduced capital expenditures next year further supports the Buy rating.
In another report released yesterday, Susquehanna also maintained a Buy rating on the stock with a $250.00 price target.