Oppenheimer Publishes Quarterly Update on Texas Instruments

Oppenheimer has published a report on Texas Instruments TXN updating readers at the quarter. In the report, Oppenheimer wrote, "After the close, TXN reported 2Q sales/EPS of $3.5B/$0.56, ahead of Street's$3.4B/$0.53. Outlook for $3.55B/$0.60 compared less favorably with $3.62B/$0.64 3Q consensus despite a $3.6B order book and positive book-bill. Mgmt's conservatism reflects signs of sub-seasonal PC and Consumer demand. PC/Consumer make up ~23%/~10% of sales, respectively, and are offsetting expected growth in comms, industrial, auto and core handset. Orders were linear in 2Q and, outside of PC/Consumer, appear steady to-date in 3Q. Japan-related production issues are mostly behind TXN, inventories appear lean and GMs are poised to resume expansion into 2012. TXN's analog-driven share gain story remains intact. We reiterate our Outperform and $41 target." Oppenheimer rated Texas Instruments an Outperform with a price target of $41.00. Texas Instruments closed Monday at $31.47.