Texas Instruments Incorporated (NASDAQ:TXN) Increases Dividend to $1.36 Per Share

Texas Instruments Incorporated (NASDAQ:TXN) declared a quarterly dividend on Thursday, October 17th, Zacks reports. Shareholders of record on Thursday, October 31st will be given a dividend of 1.36 per share by the semiconductor company on Tuesday, November 12th. This represents a $5.44 dividend on an annualized basis and a yield of 2.57%. The ex-dividend date of this dividend is Thursday, October 31st. This is an increase from Texas Instruments’s previous quarterly dividend of $1.30.

Texas Instruments has raised its dividend payment by an average of 10.5% per year over the last three years and has raised its dividend every year for the last 21 years. Texas Instruments has a dividend payout ratio of 93.2% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Analysts expect Texas Instruments to earn $5.81 per share next year, which means the company should continue to be able to cover its $5.44 annual dividend with an expected future payout ratio of 93.6%.

Texas Instruments Price Performance

NASDAQ TXN opened at $211.35 on Wednesday. The company has a quick ratio of 3.14, a current ratio of 4.31 and a debt-to-equity ratio of 0.74. The firm has a market capitalization of $192.43 billion, a P/E ratio of 32.97, a PEG ratio of 4.52 and a beta of 0.98. The company has a 50-day moving average price of $203.93 and a 200-day moving average price of $196.23. Texas Instruments has a 52 week low of $139.48 and a 52 week high of $214.66.

Texas Instruments (NASDAQ:TXN) last released its quarterly earnings results on Tuesday, October 22nd. The semiconductor company reported $1.47 earnings per share for the quarter, topping the consensus estimate of $1.38 by $0.09. The business had revenue of $4.15 billion for the quarter, compared to the consensus estimate of $4.12 billion. Texas Instruments had a net margin of 31.60% and a return on equity of 29.05%. The company’s quarterly revenue was down 8.4% on a year-over-year basis. During the same period last year, the firm earned $1.80 earnings per share. Equities research analysts anticipate that Texas Instruments will post 5.08 earnings per share for the current year.

Analyst Ratings Changes

Several analysts have issued reports on TXN shares. Susquehanna cut their price target on Texas Instruments from $250.00 to $240.00 and set a “positive” rating for the company in a report on Monday, October 21st. Jefferies Financial Group boosted their price objective on Texas Instruments from $175.00 to $185.00 and gave the company a “hold” rating in a research note on Wednesday, July 24th. Robert W. Baird decreased their target price on shares of Texas Instruments from $200.00 to $175.00 and set a “neutral” rating on the stock in a research note on Wednesday, October 23rd. Rosenblatt Securities reiterated a “buy” rating and issued a $250.00 price target on shares of Texas Instruments in a research report on Wednesday, October 23rd. Finally, Morgan Stanley increased their price objective on shares of Texas Instruments from $154.00 to $167.00 and gave the stock an “underweight” rating in a research note on Wednesday, October 23rd. Three analysts have rated the stock with a sell rating, eleven have issued a hold rating and nine have issued a buy rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $206.95.

Insider Activity

In related news, CAO Julie C. Knecht sold 7,764 shares of the company’s stock in a transaction on Friday, August 23rd. The shares were sold at an average price of $209.49, for a total transaction of $1,626,480.36. Following the sale, the chief accounting officer now owns 11,806 shares of the company’s stock, valued at $2,473,238.94. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. In related news, Director Robert E. Sanchez sold 9,990 shares of the stock in a transaction on Friday, October 25th. The stock was sold at an average price of $208.80, for a total transaction of $2,085,912.00. Following the sale, the director now owns 20,461 shares in the company, valued at approximately $4,272,256.80. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CAO Julie C. Knecht sold 7,764 shares of the firm’s stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $209.49, for a total value of $1,626,480.36. Following the completion of the sale, the chief accounting officer now owns 11,806 shares of the company’s stock, valued at approximately $2,473,238.94. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 25,548 shares of company stock worth $5,341,235. 0.68% of the stock is currently owned by insiders.

About Texas Instruments

Texas Instruments Incorporated designs, manufactures, and sells semiconductors to electronics designers and manufacturers in the United States and internationally. The company operates through Analog and Embedded Processing segments. The Analog segment offers power products to manage power requirements across various voltage levels, including battery-management solutions, DC/DC switching regulators, AC/DC and isolated controllers and converters, power switches, linear regulators, voltage references, and lighting products.