Texas Instruments Incorporated (TXN) Covered Calls
Texas Instruments is a global semiconductor leader specializing in analog and embedded processing chips. As the world's largest analog chipmaker, it provides essential technology for the automotive, industrial, and data center markets. Following its 2026 acquisition of Silicon Labs, the company has expanded its leadership in secure, intelligent wireless connectivity. TI leverages its internal 300mm manufacturing capacity to deliver high-quality, low-cost solutions at scale.
You can sell covered calls on Texas Instruments Incorporated to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for TXN (prices last updated Thu 4:16 PM ET):
| Texas Instruments Incorporated (TXN) Stock Quote | ||||||
|---|---|---|---|---|---|---|
| Last | Change | Bid | Ask | Volume | P/E | Market Cap |
| 223.00 | -3.56 | 222.50 | 223.00 | 8.4M | 42 | 206 |
| Covered Calls For Texas Instruments Incorporated (TXN) | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Net Debit | Return If Flat |
Annualized Return If Flat |
|
| Feb 20 | 222.5 | 4.80 | 218.20 | 2.0% | 81.1% | |
| Mar 20 | 220 | 11.20 | 211.80 | 3.9% | 38.5% | |
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Core Business and Products
Texas Instruments (TI) operates a massive portfolio of tens of thousands of products sold to over 100,000 customers. By 2026, the company has successfully transitioned the majority of its production to cost-efficient 300mm wafers, providing a significant competitive advantage in manufacturing. Their core business is structured around:
- Analog Semiconductors: The largest segment, producing power management and signal chain chips essential for every electronic device.
- Embedded Processing: Microcontrollers and digital signal processors used in everything from household appliances to complex automotive safety systems.
- Edge AI and Connectivity: Following the 2026 acquisition of Silicon Labs, TI has solidified its leadership in secure, intelligent wireless connectivity and Edge AI applications.
Competitive Landscape
TI operates in a fragmented industry but holds the top spot in the analog market. Its primary rival in high-performance analog is Analog Devices, which competes fiercely in industrial and aerospace applications. In the automotive and microcontroller space, it faces significant competition from NXP Semiconductors and Microchip Technology. For power semiconductors and wide-bandgap materials like Gallium Nitride (GaN), it encounters ON Semiconductor. While larger digital-first firms like Intel and AMD dominate the compute sector, TI differentiates itself through unparalleled supply chain reliability and the longevity of its product lifecycles.
Strategic Outlook and Innovation
Entering 2026, TI has reached a "CapEx Cliff," significantly reducing its capital expenditure as several massive new fabrication plants in Texas and Utah come online. This shift is expected to trigger a surge in Free Cash Flow, which the company has historically prioritized for shareholder returns. A major strategic pillar is Edge AI Integration, where TI is embedding autonomous decision-making capabilities directly into sensors and motors for industrial robotics and electric vehicles. Innovation is also focused on the 800V battery architecture in EVs, utilizing TI's proprietary power management tech to improve charging speeds and range. With a "Clean Core" manufacturing strategy aiming for 95% internal production by 2030, TI is positioning itself as the most resilient and lowest-cost provider of analog technology, insulated from the supply shocks that plague many fabless semiconductor peers.
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Want more examples? TXMD Covered Calls | TXRH Covered Calls
