Texas Instruments’ Forecast Signals Chip Demand Slump Is Spreading

  • Company points to ‘expanding weakness’ in industrial market
  • Texas Instruments had fared better than semiconductor peers

A Texas Instruments Inc. power controller chip.

Photographer: Brent Lewin/Bloomberg
Lock
This article is for subscribers only.

Texas Instruments Inc., whose chips go into everything from home appliances to missiles, dropped as much as 6.1% in late trading after its quarterly forecast signaled that the semiconductor industry’s slump is spreading beyond computing and phones.

The company said TuesdayBloomberg Terminal that it expects revenue of $4.4 billion to $4.8 billion in the fourth quarter, short of the $4.93 billion average estimate from analysts. Profit will be $1.83 to $2.11 a share, also missing projections.