Oppenheimer downgraded Texas Instruments to Perform from Outperform without a price target ahead of the fiscal Q3 report on October 24. The analyst sees sustained margin pressure as the company invests in capacity. Texas Instruments’ gross margin will be pressured for next few years, driven by a combination of under-utilization, increased depreciation and aggressive commodity pricing in China, the analyst tells investors in a research note. The firm says the company’s’ battle of attrition with smaller suppliers in China could persist for the foreseeable future.
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