Texas Instruments Reports 90% Surge in Data Center Revenue
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 23 2026
0mins
Source: seekingalpha
Texas Instruments Inc's stock is down 5.16% in pre-market trading, crossing below the 5-day SMA, reflecting broader market weakness as the Nasdaq-100 and S&P 500 decline significantly.
Despite the stock's decline, Texas Instruments reported a remarkable 90% year-over-year increase in data center revenue for Q1, driven by strong demand in the analog power chip market. Analysts are optimistic, forecasting a 21% annualized earnings growth for the company, suggesting that the market may be underestimating the potential of AI infrastructure development. This positive outlook indicates a solid investment opportunity for investors, even amid current market challenges.
The significant growth in data center revenue highlights Texas Instruments' strong position in the market, which could lead to further revenue growth as demand for specialized products increases. Investors may want to consider this potential as they navigate the current market volatility.
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Analyst Views on TXN
Wall Street analysts forecast TXN stock price to fall
20 Analyst Rating
10 Buy
5 Hold
5 Sell
Hold
Current: 311.810
Low
125.00
Averages
193.53
High
245.00
Current: 311.810
Low
125.00
Averages
193.53
High
245.00
About TXN
Texas Instruments Incorporated is engaged in the design and manufacture of semiconductors. The Company operates through two segments, which include Analog and Embedded Processing. Its Analog segment semiconductors are used to manage power in all electronic equipment by converting, distributing, storing, discharging, isolating, and measuring electrical energy. It consists of two products, which include Power and Signal Chain. The Analog segment includes product lines, such as Power and Signal Chain. Power includes products that help customers manage power in electronic systems. Signal Chain products include amplifiers, data converters, interface products, motor drives, clocks, logic, and sensing products. Its portfolio is designed to manage power requirements across different voltage levels. The Embedded Processing segment products are designed to handle specific tasks and can be optimized for various combinations of performance, power, and cost, depending on the application.
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.
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- Bond Market Reaction: Amid the stock sell-off, the 10-year T-note yield fell to 4.493%, while the 10-year breakeven inflation rate dropped to a 6-month low of 2.210%, reflecting increased demand for safe-haven assets.
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