Texas Instruments is to acquire National Semiconductor for 6.5 billion dollars,or 25.00 a share.Funded with a combination of cash and debt,the deal is expected to close in 6-9 months.
For Texas Instruments,this is a bolstering of its analog chip business,moving away from the less profitable wireless business and toward touch and power management applications.
According to Nick Calamos of Calamos Imvestments,you really need to have scale to compete globally.It's a volume monetization type of business.You need to push out hundreds of millions of these chips.They are staking their future on analog.
Calamos Investments offers services to both individuals and institutions,with specialties in risk management and alternative investment strategies.Originated in 1977,it markets both open and closed-end funds and separately-managed accounts,employing a proprietary security evaluation system.
Texas Instruments(TXN),National Semiconductor(NSM)
Showing posts with label analog chips. Show all posts
Showing posts with label analog chips. Show all posts
Sunday, April 10, 2011
Sunday, October 31, 2010
Hodges Still Likes Texas Instruments
Texas Instruments has reported earnings of 0.71 a share,versus an estimate of 0.69;and revenue of 3.74 billion dollars,versus an estimate of 3.69.Eric Marshall of Hodges Capital Management says they are positive on TXN's core business and valuation.It is a solid,long term investment.Don't be caught up in the cyclical gyrations of the semi-conductor industry.
Hodges likes the stock here.It still trades at only 12 times earnings.In general,they think the stock looks very attractive.TXN's outlook sounds pretty positive.Hodges thinks lead times and inventory levels will revert back to normal levels.
Analog is now over 90% of TXN's business,and will be the growth-driver in 2011-12.
Investors over the next couple of years will do very well with TXN.Hodges would be committing new capital to it at this point.
TXN's business outside the U.S. is more and more important for them.They have new opportunities in industrial applications,such as automotive,medical and all types of different industries through their analog chips.
Texas Instruments(TXN)
Hodges likes the stock here.It still trades at only 12 times earnings.In general,they think the stock looks very attractive.TXN's outlook sounds pretty positive.Hodges thinks lead times and inventory levels will revert back to normal levels.
Analog is now over 90% of TXN's business,and will be the growth-driver in 2011-12.
Investors over the next couple of years will do very well with TXN.Hodges would be committing new capital to it at this point.
TXN's business outside the U.S. is more and more important for them.They have new opportunities in industrial applications,such as automotive,medical and all types of different industries through their analog chips.
Texas Instruments(TXN)
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