Market Minute: Previewing TXN, ISRG, CSX

Let’s preview some earnings out after the close. 

Texas Instruments (TXN) has Zacks estimates of $1.19 for EPS and $3.86 billion for revenue (-20% year-over-year & -5% year-over-year respectively) for its 4Q report. It currently has an implied move of $10 and is up around 12% over the last year despite hitting an all-time high in November. As one of the first major semiconductor companies to report this round, investors may use TXN as a bellwether for the industry. On a cautious note, Keybanc wrote Tuesday that chip demand in the industrial industry might disappoint. However, ongoing governmental investment, including the CHIPS Act, may boost Texas Instruments’ outlook. 

Zacks expects Intuitive Surgical (ISRG) to report EPS of $1.77 (+11%) and revenue of $2.41 billion (+25%) in its 4Q. The stock has trended upwards in the last year, up 62% and hitting an all-time high yesterday. The current implied move is $29, so watch volatility in this name. The medical technology company, which creates the robotic da Vinci surgical system, could benefit from the market’s current focus on robotics and A.I. technology. Investors should keep an eye on their growth rate and outlook for 2025. 

CSX (CSX) has Zacks estimates of $0.43 EPS and $3.58 billion in revenue for its 4Q report, -4% and -3% respectively. The transportation company is down 4% since last year, hitting a 52-week low in December. The implied move is small, only $1. However, investors should consider extreme weather conditions, including fire and snowstorms, that can interrupt deliveries. Bloomberg reports that Archer-Daniel Midlands (ADM) declared force majeure for its vessels in Southern Louisiana, halting the loading of grain, after up to 10 inches of snow fell on New Orleans. 

Tune into the Schwab Network for earnings breakdowns and more!