Texas Instruments Could Emerge as an AI Chip Winner
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 09 2026
0mins
Should l Buy TXN?
Source: Fool
- Market Potential: Texas Instruments' analog chips play a crucial role in power management within data centers, and with the initial buildout of AI infrastructure, significant growth is expected in the coming years, positioning the company as a key player in the AI market.
- Investment Expansion: Texas Instruments has been actively investing in new chip production capacity and recently acquired competitor Silicon Labs, indicating the company's preparedness for future growth and enhanced market competitiveness.
- Sales Reporting Adjustment: In Q4 2025, the company will report its data center business separately, which, despite accounting for only 9% of total revenue, grew 64% year-over-year, showcasing strong market demand and growth potential.
- Industry Leadership: While other analog chipmakers exist, Texas Instruments, with its industry-leading position and ongoing growth efforts, is expected to become a top chip manufacturer by 2027, particularly driven by the AI buildout.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy TXN?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on TXN
Wall Street analysts forecast TXN stock price to fall
20 Analyst Rating
10 Buy
5 Hold
5 Sell
Hold
Current: 212.630
Low
125.00
Averages
193.53
High
245.00
Current: 212.630
Low
125.00
Averages
193.53
High
245.00
About TXN
Texas Instruments Incorporated is a global semiconductor company that designs, manufactures, tests, and sells analog and embedded processing chips for markets, such as industrial, automotive, personal electronics, communications equipment, and enterprise systems. Its Analog segment includes product lines, such as Power and Signal Chain. Power includes products that help customers manage power in electronic systems. Its portfolio is designed to manage power requirements across different voltage levels, including battery-management solutions, DC/DC switching regulators, AC/DC and isolated DC/DC switching regulators, power switches, linear and low-dropout regulators, voltage references, and others. Signal Chain includes products that sense, condition, and measure real-world signals to allow information to be transferred or converted for further processing and control. The Embedded Processing segment includes microcontrollers, digital signal processors (DSPs) and applications processors.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
US Stocks Decline as AI Disrupts Markets
- Market Weakness: The S&P 500 index fell by 0.61%, the Dow Jones Industrial Average dropped by 1.17%, and the Nasdaq 100 index decreased by 0.41%, reflecting investor concerns over the disruptive potential of AI, which has put overall market sentiment under pressure.
- Producer Prices Rise: The US January Producer Price Index (PPI) increased by 0.5% month-over-month and 2.9% year-over-year, exceeding expectations, indicating rising inflationary pressures that could influence the Fed's interest rate decisions and increase market uncertainty.
- Strong Economic Data: Despite the market downturn, the February Chicago PMI unexpectedly rose to 57.7, signaling signs of economic expansion, which may alleviate some investor concerns about a slowdown in economic growth.
- Airline Stocks Under Pressure: With WTI crude oil prices reaching a 6.5-month high, airline stocks are generally declining, with United Airlines down over 8%, reflecting the potential threat of rising fuel costs on airline profitability.
See More
US Stocks Decline as AI Concerns Weigh on Market Sentiment
- Market Decline: The S&P 500 index fell by 0.90%, the Dow Jones Industrial Average dropped by 1.57%, and the Nasdaq 100 index decreased by 0.71%, reflecting investor concerns over the disruptive potential of AI, which has intensified selling pressure across the market.
- Producer Prices Rise: The US January Producer Price Index (PPI) increased by 0.5% month-over-month and 2.9% year-over-year, surpassing expectations, indicating persistent inflationary pressures that may hinder the Fed's ability to cut interest rates in the near term, negatively impacting stock valuations.
- Geopolitical Risks Intensify: WTI crude oil prices surged over 2% to a 6.5-month high due to disappointing outcomes from US-Iran nuclear talks, raising concerns about potential supply disruptions and adding to investor anxiety in the stock market.
- Mixed Stock Performances: Dell Technologies surged over 10% following a strong sales forecast for its AI servers, while cybersecurity stocks like Zscaler plummeted over 11%, illustrating a divergence in market reactions and reflecting investor caution towards technology stocks.
See More
Texas Instruments CEO to Speak at Conference
- Conference Speaking Engagement: Texas Instruments Chairman and CEO Haviv Ilan is scheduled to speak at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 10:45 a.m. Pacific Time, which is expected to attract attention from analysts and investors, showcasing the company's strategy in analog and embedded processing technologies.
- Business Outlook Discussion: Ilan will discuss TI's business outlook and its strategy in key markets, particularly in industrial, automotive, and data center sectors, aiming to drive growth through technological innovation and enhance market competitiveness.
- Live Webcast Access: The audio webcast of the conference will be available live through the Investor Relations section of TI's website, allowing global investors to listen in real-time, with an archived replay provided after the event to ensure widespread information dissemination.
- Company Background Overview: Texas Instruments is a leading global semiconductor company focused on designing, manufacturing, and selling analog and embedded processing chips, dedicated to improving lives by making electronics more affordable and promoting sustainable technological development.
See More
Texas Instruments CEO to Speak at Morgan Stanley Conference
- Conference Speaking Engagement: Texas Instruments Chairman and CEO Haviv Ilan is scheduled to speak at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 10:45 a.m. Pacific Time, which is expected to attract attention from analysts and investors, showcasing the company's strategy in analog and embedded processing technologies.
- Business Outlook Discussion: Ilan will discuss TI's business outlook and its strategy in key markets, particularly in industrial, automotive, and data center sectors, emphasizing how the company leverages its technological advantages to drive growth.
- Live Webcast Access: The audio webcast for the conference will be available through the Investor Relations section of TI's website, allowing global investors to listen in real-time, enhancing the company's transparency and investor engagement.
- Company Background Overview: Texas Instruments is a leading global semiconductor company focused on designing, manufacturing, and selling analog and embedded processing chips, committed to making electronics more affordable through semiconductor technology, driving innovation across various industries.
See More
Apple Accelerates Onshoring Manufacturing Efforts
- U.S. Manufacturing Expansion: Apple is expanding its factory in Houston, Texas, to produce Mac minis in the U.S. and increase domestic production of advanced AI servers, which is expected to significantly enhance U.S. manufacturing capabilities and strengthen the company's competitive position globally.
- Investment Commitment: Apple has pledged to invest $600 billion in its U.S. supply chain, with CEO Tim Cook stating that the company will accelerate production in Houston and ship advanced AI servers ahead of schedule, demonstrating a strong commitment to the future of American manufacturing.
- Chip Procurement Strategy: Apple has sourced over $20 billion in U.S.-made chips from partners like Broadcom and Texas Instruments, and plans to purchase over 100 million advanced chips from Taiwan Semiconductor Manufacturing's Arizona plant, a strategy that will help diversify its supply chain risks.
- Geopolitical Protection: By shifting more manufacturing operations to the U.S., Apple not only reduces its dependence on China but may also gain favor with the Trump administration, potentially alleviating tariff pressures and enhancing its market position.
See More
Apple Expands Domestic Production Network
- Production Expansion: Apple is expanding its factory in Houston, Texas, to manufacture Mac minis in the U.S. and increase domestic production of advanced AI servers, which is expected to enhance the company's competitiveness in the U.S. market.
- Investment Commitment: Apple has pledged to invest $600 billion in its U.S. supply chain, demonstrating a strong commitment to the future of American manufacturing, which is anticipated to bolster its influence in the domestic market.
- Chip Procurement Diversification: Apple has sourced over $20 billion in U.S.-made chips from partners like Broadcom and Texas Instruments, and plans to purchase over 100 million advanced chips from Taiwan Semiconductor's Arizona plant to mitigate geopolitical risks.
- Policy Implications: Moving more manufacturing operations to the U.S. could help Apple gain favor with the Trump administration and potentially alleviate tariff pressures, thereby improving the company's overall profitability.
See More
US Stocks Decline as AI Disrupts Markets
- Market Weakness: The S&P 500 index fell by 0.61%, the Dow Jones Industrial Average dropped by 1.17%, and the Nasdaq 100 index decreased by 0.41%, reflecting investor concerns over the disruptive potential of AI, which has put overall market sentiment under pressure.
- Producer Prices Rise: The US January Producer Price Index (PPI) increased by 0.5% month-over-month and 2.9% year-over-year, exceeding expectations, indicating rising inflationary pressures that could influence the Fed's interest rate decisions and increase market uncertainty.
- Strong Economic Data: Despite the market downturn, the February Chicago PMI unexpectedly rose to 57.7, signaling signs of economic expansion, which may alleviate some investor concerns about a slowdown in economic growth.
- Airline Stocks Under Pressure: With WTI crude oil prices reaching a 6.5-month high, airline stocks are generally declining, with United Airlines down over 8%, reflecting the potential threat of rising fuel costs on airline profitability.
See More
US Stocks Decline as AI Concerns Weigh on Market Sentiment
- Market Decline: The S&P 500 index fell by 0.90%, the Dow Jones Industrial Average dropped by 1.57%, and the Nasdaq 100 index decreased by 0.71%, reflecting investor concerns over the disruptive potential of AI, which has intensified selling pressure across the market.
- Producer Prices Rise: The US January Producer Price Index (PPI) increased by 0.5% month-over-month and 2.9% year-over-year, surpassing expectations, indicating persistent inflationary pressures that may hinder the Fed's ability to cut interest rates in the near term, negatively impacting stock valuations.
- Geopolitical Risks Intensify: WTI crude oil prices surged over 2% to a 6.5-month high due to disappointing outcomes from US-Iran nuclear talks, raising concerns about potential supply disruptions and adding to investor anxiety in the stock market.
- Mixed Stock Performances: Dell Technologies surged over 10% following a strong sales forecast for its AI servers, while cybersecurity stocks like Zscaler plummeted over 11%, illustrating a divergence in market reactions and reflecting investor caution towards technology stocks.
See More
Texas Instruments CEO to Speak at Conference
- Conference Speaking Engagement: Texas Instruments Chairman and CEO Haviv Ilan is scheduled to speak at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 10:45 a.m. Pacific Time, which is expected to attract attention from analysts and investors, showcasing the company's strategy in analog and embedded processing technologies.
- Business Outlook Discussion: Ilan will discuss TI's business outlook and its strategy in key markets, particularly in industrial, automotive, and data center sectors, aiming to drive growth through technological innovation and enhance market competitiveness.
- Live Webcast Access: The audio webcast of the conference will be available live through the Investor Relations section of TI's website, allowing global investors to listen in real-time, with an archived replay provided after the event to ensure widespread information dissemination.
- Company Background Overview: Texas Instruments is a leading global semiconductor company focused on designing, manufacturing, and selling analog and embedded processing chips, dedicated to improving lives by making electronics more affordable and promoting sustainable technological development.
See More
Texas Instruments CEO to Speak at Morgan Stanley Conference
- Conference Speaking Engagement: Texas Instruments Chairman and CEO Haviv Ilan is scheduled to speak at the Morgan Stanley Technology, Media & Telecom Conference on March 4, 2026, at 10:45 a.m. Pacific Time, which is expected to attract attention from analysts and investors, showcasing the company's strategy in analog and embedded processing technologies.
- Business Outlook Discussion: Ilan will discuss TI's business outlook and its strategy in key markets, particularly in industrial, automotive, and data center sectors, emphasizing how the company leverages its technological advantages to drive growth.
- Live Webcast Access: The audio webcast for the conference will be available through the Investor Relations section of TI's website, allowing global investors to listen in real-time, enhancing the company's transparency and investor engagement.
- Company Background Overview: Texas Instruments is a leading global semiconductor company focused on designing, manufacturing, and selling analog and embedded processing chips, committed to making electronics more affordable through semiconductor technology, driving innovation across various industries.
See More
Apple Accelerates Onshoring Manufacturing Efforts
- U.S. Manufacturing Expansion: Apple is expanding its factory in Houston, Texas, to produce Mac minis in the U.S. and increase domestic production of advanced AI servers, which is expected to significantly enhance U.S. manufacturing capabilities and strengthen the company's competitive position globally.
- Investment Commitment: Apple has pledged to invest $600 billion in its U.S. supply chain, with CEO Tim Cook stating that the company will accelerate production in Houston and ship advanced AI servers ahead of schedule, demonstrating a strong commitment to the future of American manufacturing.
- Chip Procurement Strategy: Apple has sourced over $20 billion in U.S.-made chips from partners like Broadcom and Texas Instruments, and plans to purchase over 100 million advanced chips from Taiwan Semiconductor Manufacturing's Arizona plant, a strategy that will help diversify its supply chain risks.
- Geopolitical Protection: By shifting more manufacturing operations to the U.S., Apple not only reduces its dependence on China but may also gain favor with the Trump administration, potentially alleviating tariff pressures and enhancing its market position.
See More
Apple Expands Domestic Production Network
- Production Expansion: Apple is expanding its factory in Houston, Texas, to manufacture Mac minis in the U.S. and increase domestic production of advanced AI servers, which is expected to enhance the company's competitiveness in the U.S. market.
- Investment Commitment: Apple has pledged to invest $600 billion in its U.S. supply chain, demonstrating a strong commitment to the future of American manufacturing, which is anticipated to bolster its influence in the domestic market.
- Chip Procurement Diversification: Apple has sourced over $20 billion in U.S.-made chips from partners like Broadcom and Texas Instruments, and plans to purchase over 100 million advanced chips from Taiwan Semiconductor's Arizona plant to mitigate geopolitical risks.
- Policy Implications: Moving more manufacturing operations to the U.S. could help Apple gain favor with the Trump administration and potentially alleviate tariff pressures, thereby improving the company's overall profitability.
See More
