# Texas Instruments Incorporated (TXN) — Stock CV

Texas Instruments Incorporated is a $260B technology company. Revenue grew 16.7% over the last year, it keeps 31¢ of every dollar of sales as profit, and its net debt equals ~1.6 years of free cash flow. It trades at 42.8× earnings — near the highest of its own history.

> Dallas-based Texas Instruments generates over 95% of its revenue from semiconductors and the remainder from its well-known calculators. Texas Instruments is the world's largest maker of analog chips, which are used to process real-world signals such as sound and power.

## Identity

- **Ticker**: TXN
- **Sector**: Technology
- **Industry**: Semiconductors
- **Headquarters**: DALLAS, TX
- **Employees**: 33 000
- **Website**: https://www.ti.com
- **Market cap**: $260B
- **Last price**: $284.30
- **Financial profile**: Mixed

## Vitals (TTM)

- **Revenue**: $19.5B
- **Net income**: $6.05B
- **Free cash flow**: $5.36B
- **Net debt**: $8.67B
- **P/E**: 42.8
- **Revenue growth (YoY)**: 16.7%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 15 |
| Growth | 25 |
| Profitability | 95 |
| Health | 62 |
| Quality | 89 |
| Moat | 100 |

## Qualifications (beginner checklist) — 9 of 11 passed

- [x] Revenue growing — +16.7% YoY
- [x] Profitable — $6.05B TTM
- [ ] Profit growing — -16.6% YoY
- [x] Generates cash — $5.36B TTM
- [x] Debt under control — ~1.6y of cash flow to repay
- [x] Established company — $260B market cap
- [x] Not printing shares — -2.1% shares over ~5y
- [x] Proven track record — 10/10 profitable years
- [ ] Financially stable — health score 50/100
- [x] Pays a dividend — yield 1.97%
- [x] Valuation not extreme — P/E 42.8

## Experience (career milestones)

- **FY2022** — Best year on record: $8.75B net income
- **FY2019** — Became debt-free: cash now exceeds total debt
- **FY2016** — Profitable every year on record: 10 consecutive profitable years in our data
- **FY2016** — Revenue already above $10B: $13.4B in first reported year
- **FY2016** — Positive free cash flow every year since: 10-year streak
- **1981** — It started development in 1981, and was released in March 1983 for US$249

## Strengths

- High gross margin (58.3%)
- Strongly profitable — 31.1% net margin
- Revenue growing 16.7% year over year
- Strong cash conversion — FCF is 27.5% of revenue
- Interest covered 11.5× by operating earnings

## Watch-outs

- None stand out in the data.

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $18.3B | $7.77B | $6.29B |
| FY2022 | $20.0B | $8.75B | $5.92B |
| FY2023 | $17.5B | $6.51B | $1.35B |
| FY2024 | $15.6B | $4.80B | $1.50B |
| FY2025 | $17.7B | $5.00B | $2.60B |

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Source: https://stockcv.com/TXN — derived from company filings; may be delayed or incomplete. Information, not investment advice.