Why Citi Keeps Pounding the Table on Texas Instruments Stock - Barchart.com

Citigroup recently reiterated its bullish stance on Texas Instruments (TXN), raising its price target to $345 from $280, reflecting optimism about the recovery in analog semiconductors and the growing... Read original →

Texas Instruments’ resurgence stems from the convergence of its 300mm analog wafer strategy and surging demand for power management in AI data centers. Technically, TI’s high-voltage PMICs are becoming critical in server VRMs, driving co-evolution with upstream GaN devices and downstream liquid cooling. While U.S. export controls temporarily boost TI’s domestic fab utilization, they escalate long-term supply chain reconfiguration costs for Asia-Pacific clients—especially in Taiwan, China and Hong Kong, China—who are accelerating local alternatives. Competitors like Infineon and ADI struggle to match TI’s IDM-driven cost discipline, though TSMC’s potential expansion into analog foundry could erode this edge. Over the next 18 months, as AI rack power approaches kilowatt-scale, efficient power conversion will dominate data center CAPEX decisions, positioning TI not just as an industrial workhorse but as a stealth enabler of AI infrastructure—if it navigates geopolitical fragmentation without losing client trust.