TXNNEUTRAL

TXN EV/EBITDA Analysis

25.6x

Higher than 58% of TECHNOLOGY sector peers

Updated 77h ago·SEC filings & market data

Key Takeaway

TXN's EV/EBITDA of 27.4x means the company's enterprise value — its market cap plus debt minus cash — is 27.4 times its earnings before interest, taxes, depreciation, and amortization, a common gauge of how expensive a stock is relative to its cash profits.

Sector Performance

58th percentile

TXN

25.6x

Sector Median

24.3x

Sector Avg

29.8x

Prior Period

26.1x(Aug 2026)

↑ Improving

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Deep Analysis

At 27.4x, TXN sits below the technology sector median of 29.1x, and its 40th percentile rank among peers means roughly 60% of comparable companies trade at higher multiples. The metric has been decreasing over the last eight quarters, with a year-over-year change of -18.6% and a quarter-over-quarter change of -1.8%. A lower multiple combined with a downward trend suggests the market is assigning less premium to TXN's earnings, which can reduce downside risk if the business stays stable, but also indicates fading growth expectations. This valuation level and trend do not signal a clear bargain or overvaluation, so they align with the overall NEUTRAL verdict rather than pushing toward a bullish or bearish stance.

Frequently Asked Questions

What does the EV/EBITDA tell investors about TXN?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does TXN's EV/EBITDA compare to its sector?

TXN's EV/EBITDA of 25.6x compares to a TECHNOLOGY sector median of 24.3x, placing it in the 58th percentile.

Who are TXN's closest peers by EV/EBITDA?

The closest TECHNOLOGY peers by EV/EBITDA include: CSCO (24.3x), DELL (21.5x), ORCL (18.3x), IBM (16.9x), INTC (32.4x).

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Learn More About EV/EBITDA

EV/EBITDA Explained: The Valuation Metric Pro Investors Actually Use

Learn what EV/EBITDA is, why it beats P/E for capital-heavy companies, typical sector ranges, and key limitations every serious investor should know.

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.