Where Does Texas Instruments (TXN) Valuation Sit On Its Latest Guidance?

Texas Instruments (TXN) recently issued Q3 2026 guidance with revenue between $5.65 billion and $6.15 billion and EPS in the $2.23 to $2.57 range. While the stock has seen short-term volatility, its year-to-date return is 56.08%, and a popular valuation narrative suggests it's 36.4% undervalued at $435.69, despite a more cautious valuation from the SWS DCF model at $245.76. The company is undergoing a multi-year capacity expansion that is expected to enhance its long-term competitive position and improve cost efficiency.