Adding Texas Instruments Incorporated (TXN) to Your Dividend Stock Portfolio for Long-Term Income

Texas Instruments Incorporated (NASDAQ:TXN) is included among the Best Stocks for a Dividend Stock Portfolio.

Adding Texas Instruments Incorporated (TXN) to Your Dividend Stock Portfolio for Long-Term Income

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Texas Instruments Incorporated (NASDAQ:TXN) is a long-standing player in the semiconductor space, specializing in analog and embedded chips. While it isn’t positioned as a pure artificial intelligence (AI) company, its broad and diverse operations give it an edge. The firm is well-placed to capitalize on the rise of edge AI, where computing and AI functions happen directly on devices rather than being processed in the cloud.

Its Analog division, the biggest revenue driver, supplies chips that regulate power and convert real-world inputs like sound, temperature, and pressure into usable signals. Meanwhile, the Embedded Processing unit offers microcontrollers and processors that act as the “brains” behind many electronic devices. With a vast catalog of products and a customer base exceeding 100,000, Texas Instruments Incorporated (NASDAQ:TXN) enjoys a stable and diversified revenue stream, making it less reliant on any single client or industry.

In addition, Texas Instruments Incorporated (NASDAQ:TXN) is a solid dividend company with 21 consecutive years of dividend growth. The company offers a quarterly dividend of $1.36 per share and has a dividend yield of 3.01%, as recorded on September 18.

While we acknowledge the potential of TXN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TXN and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.