Texas Instruments shares fall after 2Q results match, but fail to beat, expectations
By APTuesday, July 20, 2010
Ahead of the Bell: Texas Instruments
NEW YORK — Shares of chip maker Texas Instruments Inc. sold off ahead of regular trading Tuesday. Investors were unimpressed with the company’s second-quarter results.
The stock fell $1.55, or 6 percent, to $24. It has traded between $22.26 and $27.44 over the past year.
TI’s earnings and revenue, released after the market close Monday, matched but did not exceed Wall Street forecasts. That was in contrast to rival Intel Corp., which blew past expectations with its most profitable quarter in a decade when it reported earnings last week.
Still, analysts saw little to mope about in TI’s results. The company’s net income nearly tripled to $769 million and revenue jumped 42 percent as demand recovered from the recession.
“TI’s recent strategic and operational execution have been commendable,” FBR Capital Markets analyst Craig Berger told investors in a note Tuesday. He has an “Outperform” rating on the stock.
