Reported 6 months ago
Activist investor Elliott Investment Management has disclosed a $2.5 billion stake in Texas Instruments and is urging the chipmaker to enhance its free cash flow. Elliott proposed the implementation of a "dynamic capacity-management strategy" to help Texas Instruments achieve a free cash flow of up to $9 a share by 2026, as the company's free cash flow dropped to $1.47 per share in 2023. Texas Instruments, which anticipates spending around $5 billion annually on capital expenditure through 2026, is planning extensive investments in new technology and manufacturing facilities to support revenue growth, despite concerns raised by Elliott about overbuilding relative to expected demand.
Source: YAHOO