Texas Instruments (TXN) Stock: Buy, Sell, or Hold?

TXN - Texas Instruments Incorporated

SEMICONDUCTORS & RELATED DEVICES
$287.85
6.11 (2.17%) ▲
5d: -3.16%
30d: +9.27%
90d: -4.43%
WAIT
LOW Confidence
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Analysis Updated: Oct 13, 2026 12:00 AM ET
Earnings: Oct 21, 2026 6d
Smart Money Distribution

Options positioning is turning defensive after a sharp run-up - a pattern consistent with institutional profit-taking. View Scanner →

Signal fired Oct 13, 2026 at $285.77 · last confirmed Oct 13, 2026

Strength: 5.7/10

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
📊 MIXED SIGNALS: TXN shows conflicting indicators. Wait for confirmation before entering.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$435.99
Based on 11.6% avg growth
INTRINSIC VALUE TODAY
$270.71
Trading above historical range

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: TXN is currently trading at $287.85, which is considered extended relative to its 30-day fair value range of $262.76 to $286.88. The stock's valuation (Forward PE: 28.4) is in line with its historical norms (29.4). Remarkably, the market is currently pricing in an annual earnings decline of 1.1% over the next few years. This pessimistic expectation contrasts with the company's recent 51.8% earnings growth, suggesting potential undervaluation if the company simply maintains stability.

Technical Outlook: Technically, TXN is in a downtrend. Immediate support is located at $277.06, while resistance sits at $298.75.

Market Sentiment: The stock scores a mixed 44/100 on our bottoming-setup gauge, with only partial signs of a stabilized entry point. Wall Street analysts see significant upside, with an average price target of $324.71 (+12.8%). Current signals suggest waiting for a better entry point before initiating new positions.

Quick Decision Summary

Current Position EXTENDED
Historical Trading Range $262.76 - $286.88
Company Quality Score 48/100 (HOLD)
Volume Confirmation HIGH
Confidence Score 48.6%

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All Signals

  • BEARISH: Price extended above range
  • NEUTRAL: Mixed technical signals (44/100)
  • BULLISH: High volume confirmation
  • BULLISH: Trading below Wall St target ($324.71)
  • WARNING: Composite score 48/100 in the bottom quintile — this cohort historically lags the market

Trading Range Analysis

30-Day Trading Range $262.76 - $286.88
Current vs Trading Range EXTENDED

Support & Resistance Levels

Support Level $277.06
Resistance Level $298.75
Current Trend Downtrend
Technical data as of Oct 13, 2026

Fundamental Context

Forward P/E (Next Year Est.) 28.41
Wall Street Target $324.71 (+12.8%)
Revenue Growth (YoY) 22.8%
Earnings Growth (YoY) 51.8%
Profit Margin 31.1%
Valuation Discount vs History -1.1% cheaper
PE vs Historical 28.4 vs 29.4 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -1.1% (market-implied from PE analysis)
1-Year Target $284.68 (-1%)
2-Year Target $281.55 (-2%)
3-Year Target $278.46 (-3%)
3-Yr Target (if PE normalizes) (PE: 28→29) $288.18 (+0%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 28.4, Growth: 19.2%) $487.39 (+69%)
Base: (SPY PE: 19.9, Growth: 19.2%) $340.74 (+18%)
Bear: (PE: 16.9, Growth: 19.2%) $289.63 (+1%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (43x PE), but valuation improves significantly next year (28x PE) as earnings recover.
Trailing PE: 42.88 | Current EPS (TTM): $6.57
Bull Case $477.98 (+66%)
Analyst growth 54.2%, PE expands to 47.2
Base Case $434.53 (+51%)
Market implied 54.2%, PE stable at 42.9
Bear Case $191.58 (-33%)
Severe decline -20.0%, PE contracts to 36.5
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡 Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 28.4 to 29.4
Stabilization Target: $297.91 (+3.5%)
PE Expansion Potential: +3.5%
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Last updated: October 13, 2026 10:43 PM ET
Data refreshes hourly during market hours. Next update: 11:43 PM
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Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
0
Sells
0
Net
NEUTRAL

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Advanced TXN Option Strategies

Professional options setups generated by AI based on today's TXN price and gamma walls.

Iron Condor Bull Call Bear Put Collar

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