TXNNEUTRAL

TXN Debt-to-Equity Ratio Analysis

0.78x

Higher than 80% of TECHNOLOGY sector peers

Updated 77h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio measures how much debt a company uses to finance its assets relative to shareholders' equity; a 0.78x ratio means TXN has $0.78 of debt for every $1 of equity.

Sector Performance

80th percentile

TXN

0.78x

Sector Median

0.59x

Sector Avg

0.62x

Prior Period

0.84x(Jul 2026)

↑ Improving

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Deep Analysis

The debt-to-equity ratio measures how much debt a company uses to finance its assets relative to shareholders' equity; a 0.78x ratio means TXN has $0.78 of debt for every $1 of equity.

This is above the technology sector median of 0.59x, placing TXN at the 100th percentile among peers, indicating the highest leverage in the comparison group. The year-over-year change is not available, but the quarter-over-quarter change is -7.1%, with the ratio falling from 0.84x to 0.78x in the most recent period. The combination of a high absolute level with a recent decline suggests that while TXN carries more debt than most sector peers, it is actively reducing that burden, which can lower financial risk over time. The high percentile rank adds caution, but the downward QoQ trend offers some counterbalance to that risk. This metric partially supports the overall NEUTRAL verdict: the level is a concern, while the improving trend keeps the assessment from turning negative.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about TXN?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does TXN's Debt-to-Equity Ratio compare to its sector?

TXN's Debt-to-Equity Ratio of 0.78x compares to a TECHNOLOGY sector median of 0.59x, placing it in the 80th percentile.

Who are TXN's closest peers by Debt-to-Equity Ratio?

The closest TECHNOLOGY peers by Debt-to-Equity Ratio include: NOW (0.60x), INTC (0.58x), QCOM (0.55x), LRCX (0.30x), KLAC (0.93x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.