Why Texas Instruments Plunged Double Digits Today
Shares of auto and industrial chip giant Texas Instruments (NASDAQ: TXN) plunged doubled digits on Wednesday, falling 13.3% as of 2:22 p.m. ET.
That's a pretty big drop for what is considered a stable, blue chip company, especially after an earnings "beat" last night. However, the stock had rallied hard since April on optimism over a strong cyclical recovery in the industrial chip arena. We're talking a 50% gain between the stock's April lows and recent highs.
Therefore, when the company guided for continued growth but perhaps not as much as some had hoped for in Q3, the lack of a "perfect" recovery sent the stock tumbling.
Source Fool.com
