Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Texas Instruments Inc., solvency ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Texas Instruments Inc. debt to equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Texas Instruments Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Texas Instruments Inc. debt to capital ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Texas Instruments Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Texas Instruments Inc. debt to assets ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Texas Instruments Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Texas Instruments Inc. financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Texas Instruments Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Texas Instruments Inc. fixed charge coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |
Debt to Equity
Texas Instruments Inc., debt to equity calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Stockholders’ equity | 16,897) | 14,577) | 13,333) | 9,187) | 8,907) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.66 | 0.60 | 0.58 | 0.74 | 0.65 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.04 | 0.05 | 0.04 | 0.06 | 0.17 | |
| Analog Devices Inc. | 0.20 | 0.18 | 0.18 | 0.43 | 0.47 | |
| Applied Materials Inc. | 0.35 | 0.45 | 0.45 | 0.52 | 0.65 | |
| Broadcom Inc. | 1.64 | 1.74 | 1.59 | 1.72 | 1.32 | |
| Intel Corp. | 0.47 | 0.41 | 0.40 | 0.45 | 0.37 | |
| KLA Corp. | 2.02 | 4.75 | 1.02 | 1.30 | 1.29 | |
| Lam Research Corp. | 0.61 | 0.80 | 0.83 | 1.12 | 0.96 | |
| Micron Technology Inc. | 0.30 | 0.14 | 0.15 | 0.17 | 0.16 | |
| NVIDIA Corp. | 0.50 | 0.41 | 0.41 | 0.16 | 0.21 | |
| ON Semiconductor Corp. | 0.43 | 0.52 | 0.68 | 0.99 | 1.09 | |
| Qualcomm Inc. | 0.71 | 0.86 | 1.58 | 2.59 | 3.25 | |
| Debt to Equity, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.47 | 0.44 | 0.50 | 0.63 | 0.59 | |
| Debt to Equity, Industry | ||||||
| Information Technology | 0.63 | 0.67 | 0.77 | 0.88 | 0.88 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 11,223 ÷ 16,897 = 0.66
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Texas Instruments Inc. debt to equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity (including Operating Lease Liability)
Texas Instruments Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Operating lease liabilities (included in Accrued expenses and other liabilities) | 88) | 75) | 82) | 72) | 73) | |
| Operating lease liabilities (included in Other long-term liabilities) | 478) | 344) | 383) | 249) | 259) | |
| Total debt (including operating lease liability) | 11,789) | 9,154) | 8,206) | 7,119) | 6,135) | |
| Stockholders’ equity | 16,897) | 14,577) | 13,333) | 9,187) | 8,907) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.70 | 0.63 | 0.62 | 0.77 | 0.69 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.06 | 0.05 | 0.10 | 0.10 | 0.26 | |
| Analog Devices Inc. | 0.21 | 0.19 | 0.19 | 0.46 | 0.47 | |
| Applied Materials Inc. | 0.37 | 0.48 | 0.47 | 0.54 | 0.65 | |
| Broadcom Inc. | 1.65 | 1.76 | 1.61 | 1.75 | 1.32 | |
| Intel Corp. | 0.47 | 0.42 | 0.40 | 0.46 | 0.38 | |
| KLA Corp. | 2.08 | 4.83 | 1.05 | 1.34 | 1.29 | |
| Lam Research Corp. | 0.64 | 0.83 | 0.86 | 1.16 | 0.96 | |
| Micron Technology Inc. | 0.32 | 0.15 | 0.17 | 0.19 | 0.16 | |
| NVIDIA Corp. | 0.54 | 0.44 | 0.46 | 0.22 | 0.21 | |
| ON Semiconductor Corp. | 0.47 | 0.57 | 0.71 | 1.03 | 1.13 | |
| Qualcomm Inc. | 0.74 | 0.90 | 1.64 | 2.67 | 3.25 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.48 | 0.45 | 0.52 | 0.65 | 0.59 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Information Technology | 0.69 | 0.73 | 0.84 | 0.95 | 0.90 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 11,789 ÷ 16,897 = 0.70
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Texas Instruments Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital
Texas Instruments Inc., debt to capital calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Stockholders’ equity | 16,897) | 14,577) | 13,333) | 9,187) | 8,907) | |
| Total capital | 28,120) | 23,312) | 21,074) | 15,985) | 14,710) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.40 | 0.37 | 0.37 | 0.43 | 0.39 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.04 | 0.04 | 0.04 | 0.05 | 0.15 | |
| Analog Devices Inc. | 0.16 | 0.15 | 0.15 | 0.30 | 0.32 | |
| Applied Materials Inc. | 0.26 | 0.31 | 0.31 | 0.34 | 0.39 | |
| Broadcom Inc. | 0.62 | 0.64 | 0.61 | 0.63 | 0.57 | |
| Intel Corp. | 0.32 | 0.29 | 0.29 | 0.31 | 0.27 | |
| KLA Corp. | 0.67 | 0.83 | 0.50 | 0.57 | 0.56 | |
| Lam Research Corp. | 0.38 | 0.44 | 0.45 | 0.53 | 0.49 | |
| Micron Technology Inc. | 0.23 | 0.12 | 0.13 | 0.15 | 0.14 | |
| NVIDIA Corp. | 0.33 | 0.29 | 0.29 | 0.14 | 0.18 | |
| ON Semiconductor Corp. | 0.30 | 0.34 | 0.40 | 0.50 | 0.52 | |
| Qualcomm Inc. | 0.42 | 0.46 | 0.61 | 0.72 | 0.76 | |
| Debt to Capital, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.32 | 0.30 | 0.34 | 0.39 | 0.37 | |
| Debt to Capital, Industry | ||||||
| Information Technology | 0.38 | 0.40 | 0.43 | 0.47 | 0.47 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 11,223 ÷ 28,120 = 0.40
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Texas Instruments Inc. debt to capital ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital (including Operating Lease Liability)
Texas Instruments Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Operating lease liabilities (included in Accrued expenses and other liabilities) | 88) | 75) | 82) | 72) | 73) | |
| Operating lease liabilities (included in Other long-term liabilities) | 478) | 344) | 383) | 249) | 259) | |
| Total debt (including operating lease liability) | 11,789) | 9,154) | 8,206) | 7,119) | 6,135) | |
| Stockholders’ equity | 16,897) | 14,577) | 13,333) | 9,187) | 8,907) | |
| Total capital (including operating lease liability) | 28,686) | 23,731) | 21,539) | 16,306) | 15,042) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.41 | 0.39 | 0.38 | 0.44 | 0.41 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.05 | 0.05 | 0.09 | 0.09 | 0.20 | |
| Analog Devices Inc. | 0.17 | 0.16 | 0.16 | 0.31 | 0.32 | |
| Applied Materials Inc. | 0.27 | 0.32 | 0.32 | 0.35 | 0.39 | |
| Broadcom Inc. | 0.62 | 0.64 | 0.62 | 0.64 | 0.57 | |
| Intel Corp. | 0.32 | 0.30 | 0.29 | 0.31 | 0.28 | |
| KLA Corp. | 0.67 | 0.83 | 0.51 | 0.57 | 0.56 | |
| Lam Research Corp. | 0.39 | 0.45 | 0.46 | 0.54 | 0.49 | |
| Micron Technology Inc. | 0.24 | 0.13 | 0.14 | 0.16 | 0.14 | |
| NVIDIA Corp. | 0.35 | 0.31 | 0.31 | 0.18 | 0.18 | |
| ON Semiconductor Corp. | 0.32 | 0.36 | 0.42 | 0.51 | 0.53 | |
| Qualcomm Inc. | 0.43 | 0.47 | 0.62 | 0.73 | 0.76 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.33 | 0.31 | 0.34 | 0.39 | 0.37 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Information Technology | 0.41 | 0.42 | 0.46 | 0.49 | 0.47 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 11,789 ÷ 28,686 = 0.41
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Texas Instruments Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets
Texas Instruments Inc., debt to assets calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Total assets | 32,348) | 27,207) | 24,676) | 19,351) | 18,018) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.35 | 0.32 | 0.31 | 0.35 | 0.32 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.04 | 0.04 | 0.03 | 0.04 | 0.08 | |
| Analog Devices Inc. | 0.14 | 0.13 | 0.13 | 0.24 | 0.26 | |
| Applied Materials Inc. | 0.18 | 0.20 | 0.21 | 0.24 | 0.28 | |
| Broadcom Inc. | 0.54 | 0.54 | 0.53 | 0.54 | 0.49 | |
| Intel Corp. | 0.26 | 0.23 | 0.23 | 0.24 | 0.21 | |
| KLA Corp. | 0.42 | 0.53 | 0.34 | 0.37 | 0.38 | |
| Lam Research Corp. | 0.27 | 0.29 | 0.31 | 0.40 | 0.37 | |
| Micron Technology Inc. | 0.21 | 0.10 | 0.12 | 0.12 | 0.12 | |
| NVIDIA Corp. | 0.27 | 0.25 | 0.24 | 0.11 | 0.15 | |
| ON Semiconductor Corp. | 0.25 | 0.27 | 0.32 | 0.40 | 0.43 | |
| Qualcomm Inc. | 0.30 | 0.32 | 0.38 | 0.44 | 0.48 | |
| Debt to Assets, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.26 | 0.24 | 0.27 | 0.30 | 0.29 | |
| Debt to Assets, Industry | ||||||
| Information Technology | 0.26 | 0.26 | 0.28 | 0.30 | 0.31 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 11,223 ÷ 32,348 = 0.35
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Texas Instruments Inc. debt to assets ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets (including Operating Lease Liability)
Texas Instruments Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of long-term debt | 599) | 500) | 500) | 550) | 500) | |
| Long-term debt, excluding current portion | 10,624) | 8,235) | 7,241) | 6,248) | 5,303) | |
| Total debt | 11,223) | 8,735) | 7,741) | 6,798) | 5,803) | |
| Operating lease liabilities (included in Accrued expenses and other liabilities) | 88) | 75) | 82) | 72) | 73) | |
| Operating lease liabilities (included in Other long-term liabilities) | 478) | 344) | 383) | 249) | 259) | |
| Total debt (including operating lease liability) | 11,789) | 9,154) | 8,206) | 7,119) | 6,135) | |
| Total assets | 32,348) | 27,207) | 24,676) | 19,351) | 18,018) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.36 | 0.34 | 0.33 | 0.37 | 0.34 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Advanced Micro Devices Inc. | 0.05 | 0.04 | 0.06 | 0.06 | 0.12 | |
| Analog Devices Inc. | 0.15 | 0.14 | 0.14 | 0.25 | 0.26 | |
| Applied Materials Inc. | 0.20 | 0.22 | 0.22 | 0.26 | 0.28 | |
| Broadcom Inc. | 0.54 | 0.55 | 0.53 | 0.55 | 0.49 | |
| Intel Corp. | 0.26 | 0.23 | 0.23 | 0.24 | 0.22 | |
| KLA Corp. | 0.43 | 0.54 | 0.35 | 0.38 | 0.38 | |
| Lam Research Corp. | 0.28 | 0.30 | 0.33 | 0.41 | 0.37 | |
| Micron Technology Inc. | 0.22 | 0.11 | 0.12 | 0.13 | 0.12 | |
| NVIDIA Corp. | 0.29 | 0.27 | 0.27 | 0.15 | 0.15 | |
| ON Semiconductor Corp. | 0.27 | 0.29 | 0.34 | 0.42 | 0.44 | |
| Qualcomm Inc. | 0.31 | 0.33 | 0.40 | 0.46 | 0.48 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Semiconductors & Semiconductor Equipment | 0.27 | 0.25 | 0.27 | 0.31 | 0.29 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Information Technology | 0.28 | 0.29 | 0.31 | 0.33 | 0.32 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 11,789 ÷ 32,348 = 0.36
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Texas Instruments Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Texas Instruments Inc., financial leverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 32,348) | 27,207) | 24,676) | 19,351) | 18,018) | |
| Stockholders’ equity | 16,897) | 14,577) | 13,333) | 9,187) | 8,907) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 1.91 | 1.87 | 1.85 | 2.11 | 2.02 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 1.21 | 1.23 | 1.66 | 1.54 | 2.13 | |
| Analog Devices Inc. | 1.37 | 1.38 | 1.38 | 1.79 | 1.83 | |
| Applied Materials Inc. | 1.88 | 2.19 | 2.11 | 2.11 | 2.32 | |
| Broadcom Inc. | 3.04 | 3.23 | 3.03 | 3.18 | 2.71 | |
| Intel Corp. | 1.81 | 1.80 | 1.77 | 1.89 | 1.76 | |
| KLA Corp. | 4.82 | 8.99 | 3.04 | 3.48 | 3.39 | |
| Lam Research Corp. | 2.29 | 2.74 | 2.64 | 2.81 | 2.57 | |
| Micron Technology Inc. | 1.46 | 1.33 | 1.34 | 1.38 | 1.36 | |
| NVIDIA Corp. | 1.86 | 1.66 | 1.70 | 1.42 | 1.42 | |
| ON Semiconductor Corp. | 1.70 | 1.94 | 2.10 | 2.45 | 2.55 | |
| Qualcomm Inc. | 2.37 | 2.72 | 4.14 | 5.86 | 6.71 | |
| Financial Leverage, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 1.79 | 1.79 | 1.90 | 2.08 | 2.02 | |
| Financial Leverage, Industry | ||||||
| Information Technology | 2.44 | 2.56 | 2.72 | 2.90 | 2.87 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 32,348 ÷ 16,897 = 1.91
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Texas Instruments Inc. financial leverage ratio increased from 2021 to 2022 and from 2022 to 2023. |
Interest Coverage
Texas Instruments Inc., interest coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 6,510) | 8,749) | 7,769) | 5,595) | 5,017) | |
| Add: Income tax expense | 908) | 1,283) | 1,150) | 422) | 711) | |
| Add: Interest and debt expense | 353) | 214) | 184) | 190) | 170) | |
| Earnings before interest and tax (EBIT) | 7,771) | 10,246) | 9,103) | 6,207) | 5,898) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 22.01 | 47.88 | 49.47 | 32.67 | 34.69 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 5.79 | 14.61 | 109.09 | 28.23 | 4.96 | |
| Analog Devices Inc. | 14.63 | 16.46 | 8.19 | 7.79 | 7.49 | |
| Applied Materials Inc. | 33.42 | 34.33 | 29.69 | 18.36 | 14.79 | |
| Broadcom Inc. | 10.31 | 8.16 | 4.59 | 2.37 | 2.54 | |
| Intel Corp. | 1.87 | 16.66 | 37.35 | 40.87 | 50.20 | |
| KLA Corp. | 13.76 | 22.76 | 16.00 | 9.22 | 11.40 | |
| Lam Research Corp. | 28.40 | 29.11 | 21.95 | 15.51 | 21.86 | |
| Micron Technology Inc. | -13.58 | 51.66 | 35.18 | 16.41 | 56.09 | |
| NVIDIA Corp. | 16.96 | 43.12 | 24.96 | 58.12 | 68.17 | |
| ON Semiconductor Corp. | 34.90 | 25.89 | 9.88 | 2.05 | 2.87 | |
| Qualcomm Inc. | 11.72 | 31.61 | 19.38 | 10.50 | 12.93 | |
| Interest Coverage, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 10.79 | 21.31 | 18.17 | 13.65 | 16.41 | |
| Interest Coverage, Industry | ||||||
| Information Technology | 18.91 | 24.76 | 22.93 | 16.69 | 15.79 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 7,771 ÷ 353 = 22.01
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Texas Instruments Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Fixed Charge Coverage
Texas Instruments Inc., fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income | 6,510) | 8,749) | 7,769) | 5,595) | 5,017) | |
| Add: Income tax expense | 908) | 1,283) | 1,150) | 422) | 711) | |
| Add: Interest and debt expense | 353) | 214) | 184) | 190) | 170) | |
| Earnings before interest and tax (EBIT) | 7,771) | 10,246) | 9,103) | 6,207) | 5,898) | |
| Add: Operating lease cost related to lease liabilities | 73) | 67) | 69) | 70) | 66) | |
| Earnings before fixed charges and tax | 7,844) | 10,313) | 9,172) | 6,277) | 5,964) | |
| Interest and debt expense | 353) | 214) | 184) | 190) | 170) | |
| Operating lease cost related to lease liabilities | 73) | 67) | 69) | 70) | 66) | |
| Fixed charges | 426) | 281) | 253) | 260) | 236) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 18.41 | 36.70 | 36.25 | 24.14 | 25.27 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Advanced Micro Devices Inc. | 3.18 | 6.82 | 36.00 | 13.08 | 3.48 | |
| Analog Devices Inc. | 11.89 | 12.87 | 6.64 | 6.48 | 5.62 | |
| Applied Materials Inc. | 23.69 | 24.67 | 22.50 | 14.48 | 12.35 | |
| Broadcom Inc. | 9.81 | 6.55 | 3.70 | 1.92 | 2.27 | |
| Intel Corp. | 1.59 | 7.34 | 16.56 | 25.00 | 36.69 | |
| KLA Corp. | 12.19 | 18.72 | 13.03 | 7.74 | 10.39 | |
| Lam Research Corp. | 20.49 | 21.44 | 17.80 | 12.52 | 17.83 | |
| Micron Technology Inc. | -9.77 | 31.49 | 22.49 | 11.10 | 32.90 | |
| NVIDIA Corp. | 10.19 | 25.61 | 14.40 | 18.89 | 29.23 | |
| ON Semiconductor Corp. | 20.57 | 16.23 | 7.58 | 1.82 | 2.46 | |
| Qualcomm Inc. | 9.29 | 22.52 | 14.48 | 8.30 | 10.68 | |
| Fixed Charge Coverage, Sector | ||||||
| Semiconductors & Semiconductor Equipment | 8.57 | 14.45 | 12.61 | 10.13 | 12.91 | |
| Fixed Charge Coverage, Industry | ||||||
| Information Technology | 12.67 | 14.28 | 13.50 | 10.20 | 10.46 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 7,844 ÷ 426 = 18.41
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Texas Instruments Inc. fixed charge coverage ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023. |