Robert W. Baird has raised its rating on $TXN from “Neutral” to “Outperform” with a price target of $175. This upgrade arrives at a timely moment, as the stock recently pulled back to near its 52-week low of $150.96, dropping roughly 16% over the last week.
📊 Analyst Tristan Gerra noted signs of an upturn in the semiconductor cycle as a key reason for the upgrade. Texas Instruments’ historical strength in pricing during upcycles, coupled with signs of bottoming in the broader chip market, make the case for renewed optimism. The upgrade reflects confidence in $TXN’s ability to navigate cyclical headwinds and emerge stronger, supported by robust fundamentals and a resilient business model.
💰 Dividend Fundamentals
💵 Texas Instruments is a dividend stalwart. In 2024, it raised its quarterly dividend by 5%, marking 21 straight years of growth. Since 2004, dividends have grown at a compound annual rate of 23%, showcasing a powerful shareholder return strategy.
📆 As of early 2025, $TXN pays a forward annual dividend of $5.44 per share, yielding about 2.91%. With a forward payout ratio of 79.26%, the company strikes a balance between rewarding investors and maintaining capital for future innovation.
🧾 Whether you’re income-focused or looking for stability in the tech sector, $TXN continues to offer compelling value, especially as optimism builds for a cyclical recovery in semiconductors.