Texas Instruments Stock Is Back Near a Record. The TXN Rally Now Has a New Test

9 May 2026

DALLAS, May 9, 2026, 15:07 (CDT)

Texas Instruments wrapped up Friday at $287.80, a gain of 0.9%. The stock finished just shy of its 52-week peak of $292.64, with U.S. markets closed for the weekend.
Zacks Research has bumped up its Q2 earnings forecast for TXN to $1.79 per share—previously it was $1.46—according to a Friday note from MarketBeat. The revision follows Texas Instruments’ upbeat outlook back in April.
This isn’t about a surge in consumer gadgets—Texas Instruments’ analog chips are seeing action from industrial buyers and data centers, where they handle power management and turn signals into data.

Texas Instruments Incorporated closed out the week just shy of its record, as a new Wall Street estimate hike fueled more optimism among investors. The Dallas chipmaker has been riding momentum from the ongoing expansion of artificial-intelligence data centers.

What’s changed: TXN, once seen as a safe pick in semis, is now a key barometer for industrial demand and power-management chips. Its bread-and-butter analog chips handle power regulation and translate physical signals—sound, heat, light—into data other chips can process.

Zacks Research bumped up its Q2 EPS estimate for Texas Instruments to $1.79 from $1.46, according to MarketBeat. That puts the new forecast well within the chipmaker’s own Q2 guidance of $1.77 to $2.05 per share on revenue between $5.00 billion and $5.40 billion.

Shares gained $2.56 Friday, settling at $287.80 by the bell. In-session, the stock peaked at $292.48, just shy of the 52-week high of $292.64, per market data.

Texas Instruments posted $4.83 billion in first-quarter revenue, a 19% jump on the year. Net income landed at $1.55 billion, translating to $1.68 per share. “Led by industrial and data center,” is how chairman, president and CEO Haviv Ilan described the revenue growth. Texas Instruments

Ilan told analysts on the earnings call that the data-center segment surged nearly 90% from a year ago, Reuters reported. Stifel’s Tore Svanberg pointed out “industrial is particularly strong,” and suggested automotive may be kicking off a fresh up-cycle. Reuters

Texas Instruments isn’t in Nvidia’s lane. The company isn’t hawking headline-grabbing AI accelerators, but instead fits in with analog and industrial names like Analog Devices and NXP Semiconductors. TXN’s bread and butter: power management, signal conversion and embedded processing—think factories, automotive systems, data centers.

Texas Instruments isn’t backing away from cash returns. The company set a quarterly dividend at $1.42 per share, payable May 19 for holders on record as of May 5. In the last 12 months, TI handed back $6.0 billion to shareholders.

The company is pushing to diversify its chip offerings. Texas Instruments struck a $7.5 billion deal in February to acquire Silicon Laboratories, targeting growth in wireless-connectivity chips for both industrial and consumer uses. The transaction should wrap up in the first half of 2027.

But there’s a catch—much of the rebound might already be reflected in the stock’s price. Texas Instruments has pointed out risks tied to trade policy, aggressive pricing, and changing semiconductor demand, particularly from industrial and automotive sectors. A pause in data-center orders or another round of customer pullbacks could easily send those fresh earnings forecasts back down.

The next hurdle isn’t complicated—just tough: will those second-quarter orders actually deliver revenue at the top of the company’s guidance? After this stock’s recent climb, there’s not much cushion if things slip.

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Khadija Saeed is a financial markets reporter at TS2.tech. Her coverage ranges from stocks and technology to emerging industries and developments across global markets. She studied economics and finance at the London School of Economics and worked in market research before becoming a financial journalist. Follow Khadija Saeed on Google News.

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