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TXN
The Street is getting friendlier
Texas Instruments just got a little more love from the analyst crowd. Aletheia Capital upgraded the chipmaker to Hold from Sell and raised its price target to $220 from $190, saying cyclical conditions are improving and growth looks sturdier than before.
Not exactly cheap, though
Here’s the funny part: TXN was already trading around $229.82, which means it was sitting above Aletheia’s new target like a dog on a couch that knows it’s not supposed to be there. The stock is also near its 52-week high of $231.32 after ripping about 60% over the past year.
Another analyst had an even sunnier take
Aletheia wasn’t the only one with a view. Stifel also upgraded Texas Instruments, this time to Buy from Hold, and lifted its target to $250 from $215. Stifel pointed to a better manufacturing backdrop and the chance for TI to grab share in the next analog cycle.
Why investors should care
When analysts start raising targets and climbing off the sidelines, it usually means sentiment is turning from “show me” to “okay, maybe show me a little more.” But with the stock already rich and trading at a P/E of 41.84, the bar for upside is still pretty high.
Big picture: Texas Instruments is getting the classic Wall Street double-take — better outlook, pricier stock, and just enough optimism to keep the debate alive.