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Texas Instruments sees revenue and margin growth with lower capex and rising factory use in FY2026

Analyst Insights
22 Oct 2026
Seeking Alpha
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Bullish
Texas Instruments sees revenue and margin growth with lower capex and rising factory use in FY2026

Texas Instruments reported accelerating revenue and margin growth in Q2 FY2026, with a gross margin of 61.4% and operating margin of 42.3%. The company lowered its capital expenditure guidance to $2-3 billion, supported by improved factory utilization, which is expected to drive earnings and free cash flow growth. Despite a premium sector valuation, risks remain from potential demand-cycle reversals, capex intensity, and integration of the Silicon Labs acquisition. Investors should monitor cash quality and factory utilization going forward.

Texas Instruments shares are trading at USD 281.51 on Pluang as of Oct 22, 2026 17:02 WIB, down 1.10% for the day. The stock's market cap stands at $253.68 billion, reflecting its significant size in the technology sector. Pluang data shows a strong sell sentiment with 86% of orders to sell versus 14% to buy, indicating cautious investor positioning.

More News (TXN)

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