Texas Instruments Forecasts Lower Quarterly Revenue and Profit

Weakness in automotive sector and chip inventory build-up contribute to lower estimates.

Texas Instruments has forecasted quarterly revenue and profit below market estimates, causing a 4% drop in shares.
Weakness in the automotive sector and a build-up of chip inventory in key markets are contributing to the lower forecasts.
Demand from industrial customers, one of the company's largest markets, has also waned due to weak global manufacturing activity.
The company's forecast for the first quarter is between $3.45 billion and $3.75 billion, compared to analysts' average estimate of $4.06 billion.
Texas Instruments expects earnings in the range of 96 cents-$1.16 per share for the current quarter, missing analysts' estimate of $1.41.