Texas Instruments is scheduled to report earnings for the fourth quarter after the market close Tuesday. Here’s what you need to know:
NET PROFIT: Texas Instruments is forecast to report a quarterly net profit of $1.35 billion, or $1.47 a share, according to analysts polled by FactSet. This compares with a reported net profit of $1.96 billion, or $2.13 a share, for the same period a year earlier. The company had most recently guided for earnings per share of $1.35 to $1.57.
REVENUE: The chip maker’s revenue is expected to drop to $4.12 billion, according to FactSet. This compares with reported revenue of $4.67 billion for the same period a year ago. Texas Instruments had most recently forecast revenue of $3.93 billion to $4.27 billion.
Shares have climbed 19% in the past three months and closed the market session on Monday at at $174.83.
WHAT TO WATCH:
–Investors will focus on the company’s commentary around its industrial customers. In the latest quarter, Texas Instruments saw weak demand from its automotive customer-base, driving shares of semi stocks lower.
–The market will also look for comments about the outlook of the industry and demand coming from other sectors.