TXNM Stock Analysis — Texas Instruments Manufacturing
Sector: Semiconductors
AI Verdict
TXNM is cheap for the growth you're getting if management delivers on the 124.3% EPS surge, and its entrenched position in analog chips makes that target more credible than most.
Competitive Moat
TXNM designs and manufactures analog and embedded processing chips used in industrial and automotive applications, where long product cycles and high reliability requirements create sticky customer relationships. Their scale in analog chip design and decades of process expertise make it hard for new entrants to replicate their breadth or margins.
Summary
TXNM is notable for a forecasted 124.3% EPS jump next year, slashing its forward P/E to 19.3x.
Where It Stands
TXNM trades at 19.3x next year's earnings, a discount to the 25x sector median, with analysts expecting 124.3% EPS growth — a rare combination of value and explosive growth.
Key Metrics
- Trailing P/E: 43.2x
- Forward P/E: 19.3x
- PEG Ratio: 0.35
- Earnings Growth: +1.2%
- Revenue Growth: +0.1%
- Dividend Yield: 0.03%
- 52-Week High: $59.52
- 52-Week Low: $52.59
Analyst Consensus
6 Buy · 5 Hold · 0 Sell (11 analysts)
Bull Case
With forward EPS set to more than double (+124.3%), you're paying a below-average 19.3x multiple for a growth rate few chipmakers can match.
Bear Case
If the forward P/E reverts to the sector median of 25x but earnings disappoint, the current 43.2x trailing P/E leaves room for a painful reset.
Catalyst to Watch
Watch the next quarterly earnings call for confirmation that triple-digit EPS growth is actually materializing.