Texas Instruments Stock Is Trading Higher Tuesday: What's Going On?

Texas Instruments Inc TXN shares are trading higher Tuesday after the company provided guidance for the coming years in a presentation to investors.

What Happened: Texas Instruments executives released an off-cycle capital management update on Tuesday. On a conference call discussing its outlook, the company said it could deliver revenue of $26 billion in 2026 under ideal market conditions.

Free cash flow per share is expected to be between $8 and $12 in 2026. If the company reaches its $26 billion target in 2026, it expects free cash flow per share to be at the upper end of the range, between $11 and $12.

Texas Instruments previously said it anticipated $5 billion in capital expenditures (CapEx) in 2026, but the company now expects to spend between $2 billion and $5 billion in 2026, depending on revenues at that time.

Texas Instruments noted that it is more than 60% of the way through a six-year elevated CapEx cycle. When completed, the company expects the elevated spending to position the company to deliver dependable, low-cost capacity, scalability of CapEx and free cash flow per share growth across a range of market conditions.

Evercore ISI Group analyst Mark Lipacis maintained Texas Instruments with an Outperform rating on Tuesday and raised the price target from $255 to $268.

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TXN Price Action: Texas Instruments shares were up 1.05% at $202.78 at the time of publication, according to Benzinga Pro.

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