TRENDING KEYWORDS
Texas Instruments (TXN, $194.24) beats Q2 earnings estimates; but fails to impress on guidance
Texas Instruments Inc. posted its second-quarter results that surpassed analysts' expectations. However, the company provided a guidance that turned out to be not so impressive.
The semiconductor manufacturer’s second quarter earnings came in at $2.05 per share, beating analyst expectations of $1.83 per share.
Revenue grew +41% from the year-ago quarter to $4.58 billion, also exceeding estimates of $4.36 billion.
For the third quarter, Texas Instruments has projected an earnings range of $1.87 per share to $2.13 per share –$1.97 per share expected by analysts polled by FactSet. The company expects revenue to range between $4.4 billion and $4.76 billion, vs. $4.59 billion forecasted by analysts.
TXN sees its Stochastic Oscillator ascending out of oversold territory
On May 16, 2022, the Stochastic Indicator for TXN moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 48 instances where the indicator left the oversold zone. In 36 of the 48 cases the stock moved higher in the following days. This puts the odds of a move higher at over 75%.
Current price $174.13 crossed the resistance line at $174.67 and is trading between $174.67 resistance and $160.35 support lines. Throughout the month of 04/26/22 - 05/26/22, the price experienced a +4% Uptrend. During the week of 05/19/22 - 05/26/22, the stock enjoyed a +4% Uptrend growth.
The Momentum Indicator moved above the 0 level on May 25, 2022. You may want to consider a long position or call options on TXN as a result. In 71 of 104 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 68%.
The Moving Average Convergence Divergence (MACD) for TXN just turned positive on May 17, 2022. Looking at past instances where TXN's MACD turned positive, the stock continued to rise in 26 of 47 cases over the following month. The odds of a continued upward trend are 55%.
Following a +3.74% 3-day Advance, the price is estimated to grow further. Considering data from situations where TXN advanced for three days, in 192 of 330 cases, the price rose further within the following month. The odds of a continued upward trend are 58%.
TXN may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
TXN moved below its 50-day Moving Average on May 18, 2022 date and that indicates a change from an upward trend to a downward trend.
The 10-day Moving Average for TXN crossed bearishly below the 50-day moving average on April 28, 2022. This indicates that the trend has shifted lower and could be considered a sell signal. In 8 of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 57%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TXN declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 47%.
The Aroon Indicator for TXN entered a downward trend on May 06, 2022. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Tickeron has a negative outlook on this ticker and predicts a further decline by more than 4.00% within the next month with a likelihood of 65%. During the last month, the daily ratio of advancing to declining volumes was 1.41 to 1.
The Tickeron Profit vs. Risk Rating rating for this company is 3 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 63, placing this stock better than average.
The Tickeron Valuation Rating of 19 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (11.455) is normal, around the industry mean (6.762). P/E Ratio (19.920) is within average values for comparable stocks, (47.284). Projected Growth (PEG Ratio) (2.449) is also within normal values, averaging (1.697). Dividend Yield (0.026) settles around the average of (0.020) among similar stocks. P/S Ratio (8.591) is also within normal values, averaging (28.594).
The Tickeron Price Growth Rating for this company is 45 (best 1 - 100 worst), indicating steady price growth. TXN’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 55 (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 66 (best 1 - 100 worst), indicating slightly weaker than average sales and a marginally profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The semiconductor industry manufacturers all chip-related products, including research and development. These chips are used in innumerable electronic devices, including computers, cell phones, smartphones, and GPSs. Intel Corporation, NVIDIA Corp., and Broadcomm are some of the prominent players in this industry. Semiconductor companies usually tend to do well during periods of healthy economic growth, thereby inducing further research and development in the industry – which in turn augurs well for productivity and growth in the economy. In the near future, demand for semiconductor products (and possibly innovation within the segment) should only expand further, with the proliferation of 5G, autonomous vehicles, IoT, and various AI-driven electronics set to herald a new, advanced chapter in the technology-driven world as we know it. With burgeoning prospects comes great competition. In 2015, SIA estimated that U.S. semiconductor industry ranks as the second most competitive U.S. industry out of 2882 U.S. industries designated manufacturers by the U.S. Census Bureau.
The average market capitalization across the Semiconductors Industry is 20.6B. The market cap for tickers in the group ranges from 13.4K to 460.6B. TSMWF holds the highest valuation in this group at 460.6B. The lowest valued company is CYBL at 13.4K.
The average weekly price growth across all stocks in the Semiconductors Industry was 0.42%. For the same Industry, the average monthly price growth was -4.54%, and the average quarterly price growth was -22.14%. OIIM experienced the highest price growth at 31.13%, while CYBL experienced the biggest fall at -21.29%.
- 5/12/22 5:38 AM: Texas Instruments (TXN, $164.69) was a top loser this week, declining -5.91%. Expect a Downtrend reversal
- 4/27/22 5:34 AM: Texas Instruments (TXN, $168.44) was a top loser this week, declining -5.93%
- 4/6/22 8:51 AM: Texas Instruments (TXN, $177.18) was a top loser this week, declining -7.24%
The average weekly volume growth across all stocks in the Semiconductors Industry was -15.14%. For the same stocks of the Industry, the average monthly volume growth was -5.78% and the average quarterly volume growth was 51.81%
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Stocks in the group have a Positive Outlook today, backed by the 15 Indicator. Tickeron has a positive outlook on this group and predicts a further increase by more than 4.00% within the next month with a likelihood of 55%. During the last month, the daily ratio of advancing to declining volumes was 1.19 to 1.
43 stocks in the group of tickers confirmed the positive outlook based on the RSI indicator with average odds of 77%.
The most notable companies in this group are Taiwan Semiconductor Manufacturing Company Ltd (NYSE:TSM), NVIDIA Corp (NASDAQ:NVDA), Broadcom (NASDAQ:AVGO), Intel Corp (NASDAQ:INTC), Advanced Micro Devices (NASDAQ:AMD), Texas Instruments (NASDAQ:TXN), Analog Devices (NASDAQ:ADI), Micron Technology (NASDAQ:MU), NXP Semiconductors NV (NASDAQ:NXPI), KLA Corp (NASDAQ:KLAC).
The average market capitalization across the group is 24B. The market cap for tickers in the group ranges from 0 to 450.8B. TSM holds the highest valuation in this group at 450.8B. The lowest valued company is SNTE at 0.
- 5/25/22 7:32 AM: NVIDIA (NVDA, $161.54) saw a $50.7B market cap decrease this week
- 5/25/22 7:32 AM: Taiwan Semiconductor Manufacturing (TSM, $88.72), market cap dropped by $21.2B
- 5/19/22 8:24 AM: NVIDIA (NVDA, $169.38), market cap dropped by $31.0B
The average weekly price growth across all stocks in the group was 2.07%. For the same group, the average monthly price growth was 2.42%, and the average quarterly price growth was -24.6%. OIIM experienced the highest price growth at 35.31%, while ADN experienced the biggest fall at -18.24%.
- 5/25/22 7:32 AM: Intel (INTC, $41.67) was a top loser this week, declining -6.15%. Expect a Downtrend reversal
- 5/25/22 7:32 AM: KLA (KLAC, $330.09) was a top loser this week, declining -6.09%. Expect a Downtrend reversal
- 5/25/22 7:32 AM: ON Semiconductor (ON, $54.5) was a top loser this week, declining -6.84%. Expect a Downtrend reversal
The average weekly volume growth across all stocks in the group was 245.16%. For the same stocks of the group, the average monthly volume growth was 129.92% and the average quarterly volume growth was 421.02%
- 5/24/22 6:54 AM: The volume for O2Micro International stock increased for one day, resulting in a record-breaking daily growth of 265% of the 65-Day Volume Moving Average
- 5/17/22 6:45 AM: The volume for Infineon Technologies AG stock increased for one day, resulting in a record-breaking daily growth of 276% of the 65-Day Volume Moving Average
- 5/12/22 5:32 AM: The volume for WiSA Technologies stock increased for one day, resulting in a record-breaking daily growth of 311% of the 65-Day Volume Moving Average
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Latest blogs by Sarah Patel
Top Blogs
