How Does Texas Instruments Stock Stack Up Against Its Peers?
Texas Instruments (TXN) stock saw modest returns over the past year compared to peers rapidly scaling in the AI and data center boom. A closer look reveals robust operating profitability and a moderate valuation (P/E 35.44), with strong free cash flow recovery projected for 2026 due to reduced capital expenditures. However, its more tempered revenue growth and primary focus on analog and embedded processing may present limited upside if hyperscale AI momentum keeps favoring pure-plays like Broadcom (AVGO), which is experiencing explosive AI semiconductor growth. TXN is strategically emphasizing industrial, automotive, and data center markets, comprising 75% of its 2025 revenue.
- TXN’s 34.8% operating margin reflects its industrial/auto focus, trailing AVGO’s 40.8%, driven by high-value AI infrastructure/software.
- TXN’s 9.9% LTM revenue growth, from industrial recovery, lags ADI/AVGO’s due to their strong AI chips and diversified high-growth end markets.
- TXN’s 8.5% stock gain and 35.4 PE reflect a cautious industrial/auto outlook, while peers soared from AI, data centers, and acquisitions.
Here’s how Texas Instruments stacks up across size, valuation, and profitability versus key peers.
| TXN | ADI | NXPI | MCHP | ON | AVGO | |
|---|---|---|---|---|---|---|
| Market Cap ($ Bil) | 178.7 | 149.1 | 57.9 | 40.6 | 25.5 | 1,575.1 |
| Revenue ($ Bil) | 17.3 | 11.0 | 12.0 | 4.2 | 6.2 | 63.9 |
| PE Ratio | 35.4 | 65.8 | 28.1 | -219.3 | 79.9 | 68.1 |
| LTM Revenue Growth | 9.9% | 16.9% | -6.8% | -23.4% | -16.1% | 23.9% |
| LTM Operating Margin | 34.8% | 27.2% | 24.9% | 3.7% | 15.1% | 40.8% |
| LTM FCF Margin | 12.0% | 38.8% | 14.7% | 17.9% | 21.9% | 42.1% |
| 12M Market Return | 8.5% | 43.4% | 8.7% | 35.5% | 16.1% | 66.1% |
For more details on Texas Instruments, read Buy or Sell TXN Stock. Below we compare TXN’s growth, margin, and valuation with peers across years
Revenue Growth Comparison
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| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| TXN | 9.9% | – | -10.7% | -12.5% | 9.2% |
| ADI | 16.9% | 16.9% | -23.4% | 2.4% | |
| NXPI | -6.8% | – | -5.0% | 0.5% | 19.4% |
| MCHP | -23.4% | -42.3% | -9.5% | 23.7% | |
| ON | -16.1% | – | -14.2% | -0.9% | 23.5% |
| AVGO | 23.9% | 23.9% | 44.0% | 7.9% |
Operating Margin Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| TXN | 34.8% | – | 34.1% | 41.8% | 51.9% |
| ADI | 27.2% | 27.2% | 22.0% | 32.4% | |
| NXPI | 24.9% | – | 27.5% | 27.7% | 28.7% |
| MCHP | 3.7% | 8.5% | 33.5% | 36.9% | |
| ON | 15.1% | – | 26.9% | 31.7% | 33.2% |
| AVGO | 40.8% | 40.8% | 29.1% | 45.9% |
PE Ratio Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| TXN | 35.4 | – | 33.0 | 26.2 | 17.8 |
| ADI | 65.8 | 59.1 | 64.5 | 30.1 | |
| NXPI | 28.1 | – | 22.1 | 19.2 | 21.6 |
| MCHP | -219.3 | -68473.5 | 16.3 | 22.2 | |
| ON | 79.9 | – | 14.7 | 12.4 | 19.0 |
| AVGO | 68.1 | 70.5 | 181.9 | 32.9 |
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