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Texas Instruments Narrows Forecast

The company gives small relief to nervous investors.


Texas Instruments

(TXN) - Get Free Report

tightened its financial forecast for the current quarter, leaving the midpoint of its guidance unchanged despite growing anxiety about the cell-phone market for semiconductors.

The Dallas-based chipmaker said it expects revenue in the third quarter to range between $3.33 billion and $3.47 billion, instead of its previous range of $3.26 billion to $3.54 billion.

Analysts were looking for sales of $3.4 billion, which represents the midpoint of both ranges.

The company said EPS will range between 42 cents and 46 cents, vs. its prior estimate of 41 cents and 47 cents. The average analyst expectation called for 44 cents a share.

TI's stock was up 11 cents at $21.82 in extended trading Tuesday.

TI's shares are off 42% from their 52-week high of $37.17. The stock has slipped more than 10% since last Wednesday, following a slew of negative news that has heightened worries about the health of the cell-phone market.

On Friday,


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, the world's No. 1 cell-phone maker, said it would lose market share this quarter due to its decision not to engage in the price war afflicting the handset market. Two days earlier,


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chief executive noted in an interview that consumers were taking longer to upgrade to new handsets than in the past.

TI did not provide any other details in its midquarter update but is scheduled to hold a conference call with investors later Tuesday.