Analyst Ratings January 28, 2026

Benchmark Lifts Texas Instruments Target to $250 After Strong March Guidance

Analyst upgrade comes after mixed fourth-quarter results but above‑expectation outlook for the March quarter

By Priya Menon TXN
Benchmark Lifts Texas Instruments Target to $250 After Strong March Guidance
TXN

Benchmark raised its price target on Texas Instruments to $250 from $220 and kept a Buy rating following the company's December-quarter results and March-quarter guidance that exceeded analyst projections. The chipmaker's shares rose sharply after hours, and several other firms also adjusted targets in response to the quarter and guidance.

Key Points

  • Benchmark raised its price target on Texas Instruments to $250 from $220 and maintained a Buy rating - this implies upside from the $196.63 share price for the $178.66 billion market cap firm.
  • The company reported trailing twelve‑month revenue of $17.68 billion and provided March-quarter guidance that exceeded analyst expectations, prompting a notable after‑hours share gain of up to 8%.
  • Other analysts adjusted targets following results: Baird to $225 (Outperform), UBS to $260 (Buy), and Mizuho to $160 (Underperform); the changes reflect divergent views on revenue trends and backlog commentary.

Benchmark elevated its price objective for Texas Instruments (NASDAQ:TXN) to $250.00 from $220.00 on Wednesday while retaining a Buy recommendation on the semiconductor maker. The new target implies meaningful upside from the stock's prevailing price of $196.63 for the company, which holds a market capitalization of $178.66 billion.

The move by Benchmark followed Texas Instruments' December-quarter performance, which was in line with expectations, and a March-quarter outlook that came in above analyst forecasts. The company reported $17.68 billion in revenue on a trailing twelve‑month basis.

Shares of Texas Instruments jumped in after‑hours trading on Wednesday, trading as much as 8% higher after the earnings disclosure. At the current price level the stock is trading at a price-to-earnings ratio of 35.95, a level InvestingPro data flags as relatively high versus the company's historical range.

Management broke a recent pattern of more cautious guidance by delivering an upbeat outlook for the March quarter - the first time in over 20 years the company has guided for sequential first-quarter growth. Benchmark highlighted that Texas Instruments has recorded sequential first-quarter growth in only five of the last 20 years, with the most recent occurrences listed as the first quarters of 2025 and 2022.

On a quarterly results basis, Texas Instruments reported fourth-quarter 2025 earnings that slightly missed consensus on both per-share earnings and revenue. The company posted an EPS of $1.27, compared with the expected $1.29, and recorded revenue of $4.42 billion versus the anticipated $4.45 billion.

Analyst responses to the quarter and guidance have varied. Baird raised its price target to $225 while maintaining an Outperform rating and cited a positive first-quarter outlook. UBS lifted its target to $260 and kept a Buy rating, pointing to improving revenue trends and constructive commentary on backlog. Mizuho increased its target to $160 but retained an Underperform rating, noting that December-quarter revenue aligned with consensus at $4.4 billion and that the company guided March-quarter revenue slightly above expectations at $4.5 billion.

These adjustments underscore differing analyst views on Texas Instruments' near-term trajectory despite the stronger-than-expected March guidance and the small miss on fourth-quarter results. The share price response in after-hours trading reflected investor emphasis on the forward-looking guidance.

Below is a concise recap of the principal data points cited by analysts and company disclosures:

  • Benchmark raised target to $250 from $220 and kept Buy.
  • Current share price referenced at $196.63; market cap at $178.66 billion.
  • Trailing 12-month revenue: $17.68 billion.
  • After-hours share move: up as much as 8% following earnings release.
  • Trailing P/E ratio: 35.95, indicated as relatively high by InvestingPro data.
  • Fourth-quarter 2025 results: EPS $1.27 vs expected $1.29; revenue $4.42 billion vs expected $4.45 billion.
  • Analyst target moves: Baird to $225 (Outperform); UBS to $260 (Buy); Mizuho to $160 (Underperform).
  • Company guided for sequential first-quarter growth - a pattern seen in five of the last 20 years, most recently in the first quarters of 2025 and 2022.

In aggregate, the data and analyst reactions present a mixed picture: a modest miss on the latest reported quarter but stronger guidance that drove both analyst target revisions and a sharp after‑hours market response.

Risks

  • Valuation risk: the stock trades at a P/E of 35.95, which InvestingPro data describes as relatively high compared with historical levels - this affects investors in the semiconductor and broader technology sectors.
  • Earnings and revenue execution risk: fourth-quarter 2025 results slightly missed consensus on both EPS ($1.27 vs $1.29 expected) and revenue ($4.42 billion vs $4.45 billion expected), indicating potential near-term volatility for semiconductor and electronics supply chains.
  • Analyst disagreement and guidance variability: differing target revisions and ratings from Baird, UBS, and Mizuho highlight uncertainty in market interpretation of the company's outlook, with implications for equity market sentiment in semiconductors and related industrial supply chains.

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