Eastern Bank Acquires Stake in Texas Instruments

Eastern Bank has taken a significant step by acquiring a new stake in Texas Instruments Incorporated (NASDAQ:TXN) during the third quarter. This investment was recently disclosed in the firm's filing with the SEC. Specifically, Eastern Bank purchased 3,496 shares of the semiconductor company's stock, with a total value of around $722,000.

Apart from Eastern Bank, several other institutional investors and hedge funds have made changes to their positions in Texas Instruments. Notably, Tsfg LLC increased its holdings in the company by an impressive 82.0% within the same quarter. After acquiring an additional 82 shares, Tsfg LLC now possesses 182 shares worth approximately $38,000. In the first quarter, Norwood Financial Corp also established a new position in Texas Instruments, valued at about $32,000. Meanwhile, McClarren Financial Advisors Inc. made a new investment in Texas Instruments during the third quarter, amounting to $43,000. Tradewinds Capital Management LLC further expanded its stake by 71.1% in the first quarter, resulting in ownership of 243 shares valued at $42,000 after acquiring 101 additional shares. Similarly, Kathleen S. Wright Associates Inc. entered into a new position valued at around $44,000 in the first quarter. Currently, 84.99% of Texas Instruments’ stock is owned by institutional investors.

Recent Analyst Recommendations

The stock of Texas Instruments has drawn attention from analysts, leading to various updates regarding price targets. Deutsche Bank had a positive note, raising its price target from $160.00 to $185.00 while maintaining a "hold" rating in a report dated July 24. Evercore ISI also increased its price target significantly from $268.00 to $298.00, assigning an "outperform" rating. Adding to this, JPMorgan Chase raised its target price from $195.00 to $230.00 and also rated the company as "overweight". KeyCorp increased its target from $200.00 to $250.00, indicating a similar "overweight" rating. Lastly, Cantor Fitzgerald reiterated a "neutral" rating with a price target set at $200.00. Overall, among various analysts, three analysts have given a sell rating, eleven have rated it as a hold, and nine have assigned it a buy rating. According to data from MarketBeat.com, the current consensus rating for Texas Instruments stock is "Hold", with a consensus target price of $206.95.

Stock Performance Overview

As of Thursday, shares of Texas Instruments (NASDAQ:TXN) opened at $201.74. The company boasts a market capitalization of $184.20 billion, a PE ratio of 35.02, and a price-to-earnings growth (PEG) ratio of 4.32, alongside a beta of 0.98. Over the past year, Texas Instruments has experienced a low of $139.48 and a high of $214.66. The fifty-day moving average price stands at $203.43, while the 200-day moving average is at $194.99. Additional financial insights reveal a debt-to-equity ratio of 0.75, a quick ratio of 3.49, and a current ratio of 4.62.

Quarterly Earnings Report

On October 22, Texas Instruments released its quarterly earnings report, revealing earnings per share (EPS) at $1.47, surpassing analysts' predictions of $1.38 by $0.09. The company's return on equity was reported at 31.10%, alongside a net profit margin of 33.01%. With quarterly revenue amounting to $4.15 billion, the company slightly exceeded the analysts' expectations, which were set at $4.12 billion. However, this reflects an 8.4% decrease in revenue compared to the same quarter from the previous year. Predictive analysis suggests that Texas Instruments will report an EPS of 5.11 for the current fiscal year.

Dividend Announcement

Texas Instruments has recently announced an increase in its quarterly dividend. The upcoming dividend, amounting to $1.36, is scheduled for payment on November 12. Shareholders who are on record by October 31 will receive this dividend, while October 31 is also designated as the ex-dividend date. This new dividend indicates an annualized distribution of $5.44, yielding 2.70%, up from the previous dividend of $1.30. The dividend payout ratio now stands at 90.28%.

Insider Trading Insights

In recent insider transactions, CAO Julie C. Knecht sold 7,764 shares of Texas Instruments on August 23 at an average price of $209.49, totaling approximately $1.63 million. Following this sale, Knecht's total ownership decreased marginally, now amounting to 11,806 shares valued around $2.47 million. Similarly, CEO Haviv Ilan sold 1,200 shares on August 26, obtaining $251,328. Following this transaction, the CEO's holdings consist of 158,676 shares valued at approximately $33.23 million. In total, insiders have sold 15,558 shares worth $3.25 million in the last three months, with these individuals currently holding 0.68% of the company's stock.

Company Profile

Texas Instruments Incorporated specializes in designing, manufacturing, and selling semiconductor products to electronics designers and manufacturers globally. The firm operates through its Analog and Embedded Processing segments, focusing on providing solutions for managing power requirements through diverse voltage levels, including battery management systems and other power regulation products.

investment, semiconductor, stocks, dividends