Rising chip demand fuels profits

Article Excerpt

TEXAS INSTRUMENTS INC. $178 is a buy. The company (Nasdaq symbol TXN; High-Growth Dividend Payer Portfolio, Manufacturing sector; Shares outstanding: 924.0 million; Market cap: $164.5 billion; Dividend yield: 2.6%; Dividend Sustainability Rating: Above Average; www.ti.com) makes analog computer chips, which convert touch, sound and pressure into the electronic signals that computers can understand. With the November 2021 payment, the company raised your quarterly dividend by 12.7%. The new annual rate of $4.60 a share yields 2.6%. In the quarter ended December 31, 2021, Texas Instruments’ revenue increased 18.5%, to $4.83 billion from $4.08 billion a year earlier. That gain was due to strong demand from makers of industrial and automotive products. As well, the company earned $2.14 billion, or $2.27 a share. That’s 26.7% higher than $1.69 billion, or $1.80, a year earlier. Texas Instruments is a buy. buy…