(Reuters) -Texas Instruments forecast third-quarter revenue above Wall Street estimates on Tuesday, signaling recovering demand for its analog chips even as U.S. tariff negotiations lead to macroeconomic uncertainty.
The company expects revenue in the range of $4.45 billion to $4.80 billion for the third quarter, compared with analysts’ average estimate of $4.59 billion, according to data compiled by LSEG.
However, its forecast for September quarter profit was just shy of estimates. The company expects earnings between $1.36 per share to $1.60 per share, the midpoint of which is below estimates of profit of $1.49 per share.
Shares of the company fell 8% in extended trading. The stock has rallied more than 13% this year, with investor expectations running high on the hopes of a massive resurgence in the analog chip market.
TI is the first among major U.S. chipmakers to report earnings for the June quarter, making its results closely watched. It is also hailed as a demand indicator for various industries given the widespread use of its chips.
(Reporting by Arsheeya Bajwa in Bengaluru; Editing by Anil D’Silva)
