Wednesday, October 6, 2010
Deep in the heart
of Texas... Texas Instruments (NYSE: TXN) is undervalued for its asset class. While everyone knows this household name for the fancy graphing calculators that dominate the market of 7th to 12th graders, T.I. also makes a bunch of its money fabricating semiconductors. And for those of you that don't know semiconductors, they are in just about anything you use that needs power, from an LED to a high speed computer. Semiconductors work with electrons flowing from one 'band' to another (and that's your science lesson for the day). To summarize: Everything is bigger in Texas, including earnings. So cash in on the colossal versatility and demand for the semiconductor; buy T.I. today.
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