Increased Texas Instruments (TXN)

We started our position in Texas Instruments (TXN) in October 2019 right after the markets were disappointed in their quaerterly results back then. The share price had just dropped by about 10% at the time, which to us looked more like a "for sale" sign. We had TXN already on our shortlist for new positions, so that drop was a great opportunitiy. We got an average share price of USD 119.

Last week Friday was a weak day at the stock exchange with the major indices decreasing between -0.58% and -0.93%. In this market, TXN was down about 3.1% (though not as good as the -10% last time), so we felt this was a good opportunity to buy more of them. The average share price this time was USD 130.

As we wanted to keep our exposure to the technology sector and since we just reduced our Nvidia (NVDA) position, increasing TXN was a good option in our opinion. We like TXN because of the maturity of it as a company and also because they have delivered increasing dividends since 2004. While they do not qualify as a dividend aristocrat just yet, a track record of 15 yearly increases is quite impressive, too. Also, TXN is mostly active in analog applications which is quite different to chip manufacturers like Intel (INTC) or Advanced Micro Devices (AMD).

Going forward, if there are other opportunities such as weak market or a weak TXN share price, we will consider adding to our position, provided the investment story remains very good.

Disclosure: We hold positions in all of the companies mentioned in this post. Do your own due diligence and consult with a financial advisor before making financial decisions. This blog is for inspiration only. All responsibility with decisions you make is yours.