Stocks

The Long-Term Growth of Texas Instruments: A 20-Year Investment Perspective

Published January 17, 2025

Texas Instruments (NASDAQ: TXN) has shown remarkable performance over the last two decades, significantly outperforming the broader market. Over the past 20 years, Texas Instruments has registered an impressive annualized return of 11.66%, which is 3.16% higher than the market average.

Investment Growth Example: Imagine if an investor had decided to invest $100 in Texas Instruments 20 years ago. Today, that modest investment would have grown to an impressive $923.01, based on the stock price of $191.71 at the time of this evaluation. This demonstrates the potential for significant growth through consistent investment in high-performing companies.

Understanding the Power of Compounding

The remarkable growth of an investment in Texas Instruments over the past two decades underscores the importance of compounded returns. Compounding allows for not just the initial investment to grow but also the gains earned on that investment to increase exponentially over time. This principle is vital for any investor looking to build wealth over the long term.

Current Status of Texas Instruments

At present, Texas Instruments boasts a market capitalization of $174.88 billion, reflecting its strong position in the technology sector. The company's ability to innovate and adapt has played a crucial role in driving its success and shareholder value.

In summary, Texas Instruments serves as a compelling example of how long-term investments can yield substantial returns. Investors are encouraged to consider the potential for growth in companies that consistently outperform the market.”

investment, stocks, growth