Texas Instruments stock was down on Wednesday after the company revealed a poor outlook for the fourth quarter of 2018.
According to Texas Instruments (NASDAQ:TXN), it is expecting earnings per share for the fourth quarter of the year to range from $1.14 and $1.34. This is bad news for Texas Instruments stock as Wall Street is looking for earnings per share of $1.38 for the quarter.
The bad news for Texas Instruments continues with the company expecting revenue to come in between $3.60 billion to $3.90 billion for the fourth quarter of 2018. Yet again, this will have the company missing analysts’ revenue estimate of $4.00 billion for the period.
The poor outlook for the fourth quarter of the year is a blow to an already mixed earnings report for the third quarter of 2018. This includes the company reporting earnings per share of $1.58 compared to $1.26 during the same time last year. Wall Street was estimating earnings per share of $1.53 for the quarter.
When it comes to revenue for the third quarter of the year, Texas Instruments reported $4.26 billion. This is up from its revenue of $4.12 billion reported in the third quarter of 2017. However, this is another negative for Texas Instruments stock by coming in below analysts’ revenue estimate of $4.30 billion for the period.
“Revenue increased 4 percent from the same quarter a year ago; however, demand for our products slowed across most markets,” Rich Templeton, Chairman, President and CEO of Texas Instruments, said in a statement.
TXN stock was down 4% as of noon Wednesday and is down 5% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.