Core Insights - Texas Instruments (TXN) is set to report its third-quarter 2025 results on October 21, with expected earnings per share (EPS) ranging from $1.36 to $1.60, and a Zacks Consensus Estimate of $1.47, reflecting an 11.9% year-over-year increase [1][9] - The anticipated revenue for the third quarter is between $4.45 billion and $4.80 billion, with a Zacks Consensus Estimate of $4.65 billion, also indicating an 11.9% growth compared to the previous year [2][9] - TXN has consistently surpassed the Zacks Consensus Estimate in the last four quarters, with an average surprise of 11.23% [2] Revenue Drivers - The recovery in industrial and automotive end markets, which contribute approximately 70% of TXN's annual revenues, is expected to positively impact the third-quarter results [3] - Growth in other markets such as Personal Electronics, Enterprise Systems, and Communications Equipment, driven by the semiconductor cycle recovery, is likely to enhance TXN's top line [4] - A recovery in demand as customers focus on rebuilding inventory is anticipated to benefit the Analog and Embedded Processing segments during the quarter [4] Challenges - The U.S.-China trade war and tariff hikes may negatively affect TXN's performance, as over 20% of its annual revenues are derived from China [5] - Rising manufacturing costs due to planned capacity expansions and decreased factory loadings are expected to be significant headwinds for TXN in the upcoming quarter [5] - The company's expansion of its Lehi factory in Utah will incur additional costs, further impacting profitability [5] Earnings Prediction Model - The current Zacks model does not predict a definitive earnings beat for Texas Instruments, as it has an Earnings ESP of 0.00% and a Zacks Rank of 3 (Hold) [6][7]