Texas Instruments Q1 Tops Views; Data Center Sales Soar 90%, Price Target Rises to $315
Texas Instruments beat consensus Q1 revenue and earnings forecasts, sparking a 19.4% stock rally and prompting an upward revision to Q2 guidance. Data center revenue surged 90% year-over-year to 11% of sales, while Wolfe Research and peers lifted price targets to as high as $315 from $260.
1. Q1 Results and Guidance
Texas Instruments beat consensus Q1 revenue and earnings forecasts, driving a 19.4% stock surge in a single session and leading management to raise Q2 revenue guidance.
2. Data Center Revenue Surge
The company’s data center segment posted a 90% year-over-year revenue increase, now comprising 11% of total sales, reflecting strong demand for its analog and power-conversion chips in AI infrastructure.
3. Analyst Upgrades and Price Targets
Following the results, analysts at Wolfe Research maintained an Outperform rating and raised their price target to $315, while other firms set targets in a $250–$330 range, underscoring broad bullish sentiment.