By Akriti Shah (Reuters) -Texas Instruments shares sank 11% on Wednesday after executives adopted a markedly cautious tone and issued a weak quarterly profit forecast, intensifying investor concerns over the impact of tariffs.

Morgan Stanley analyst Joseph Moore lowered his price target on Texas Instruments to $197 from $205 and affirmed an underweight rating on the shares, according to The Fly. The June quarter was stronger than expected on strength in industrial, personal electronics, and communication infrastructure.

The chip giant showed an industrial chip recovery, but guidance came up conservative. Shares of auto and industrial chip giant Texas Instruments ( TXN 0.28%) plunged doubled digits on Wednesday, falling 13.3% as of 2:22 p.m. ET.

Texas Instruments (TXN) upgraded to Neutral as tariff concerns ease. Explore market trends, inventory improvement & earnings outlook.

Walmart's investments in supply chain, store remodels, and automation are fueling growth across its U.S. and international segments.

Texas Instruments managed to beat expectations in the June quarter due to customers ordering ahead to build inventory.

Shares of manufacturer of analog chips Analog Devices (NASDAQ:ADI) fell 3.2% in the morning session after a weak profit forecast from rival analog chipmaker Texas Instruments (TXN) sent ripples across the semiconductor sector.

Despite outperforming analyst expectations in Q2 2025, TI's own forecasts did not match analysts, which led to a stock crash.