TXN vs. ON

Last updated Jun 9, 2026

TXN (Texas Instruments Incorporated) and ON (ON Semiconductor Corporation) are both stocks. Both operate in the Semiconductors industry within the Technology sector. Over the past 10 years, TXN returned 19.97%/yr vs 28.56%/yr for ON. A 0.58 correlation means they provide meaningful diversification when combined.

Performance

TXN vs. ON - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Texas Instruments Incorporated (TXN) and ON Semiconductor Corporation (ON). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TXN achieves a 69.63% return, which is significantly lower than ON's 123.27% return. Over the past 10 years, TXN has underperformed ON with an annualized return of 19.97%, while ON has yielded a comparatively higher 28.56% annualized return.

TXN

• 1D: 2.05%
• 1M: 1.08%
• YTD: 69.63%
• 6M: 62.64%
• 1Y: 55.42%
• 3Y*: 23.02%
• 5Y*: 12.46%
• 10Y*: 19.97%

ON

• 1D: 3.10%
• 1M: 17.15%
• YTD: 123.27%
• 6M: 114.44%
• 1Y: 140.98%
• 3Y*: 10.74%
• 5Y*: 26.56%
• 10Y*: 28.56%

*Multi-year figures are annualized to reflect compound growth (CAGR)

TXN vs. ON - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TXN Texas Instruments Incorporated	69.63%	-4.47%	13.14%	6.41%	-9.86%	17.53%	31.70%	39.56%	-7.17%	46.75%
ON ON Semiconductor Corporation	123.27%	-14.12%	-24.52%	33.93%	-8.17%	107.52%	34.25%	47.67%	-21.16%	64.11%

Correlation

The correlation between TXN and ON is 0.70, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.70
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (10Y) Calculated over the trailing 10-year period	0.74
Correlation (All Time) Calculated using the full available price history since May 3, 2000	0.58

The correlation between TXN and ON shifts across timeframes, from 0.58 (all time) to 0.75 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap TXN : $265.88B ON : $47.65B
EPS TXN : $5.88 ON : $1.42
PE Ratio TXN : 49.50 ON : 85.31
PS Ratio TXN : 14.41 ON : 8.07
PB Ratio TXN : 15.85 ON : 6.53
Total Revenue (TTM) TXN : $18.44B ON : $6.06B
Gross Profit (TTM) TXN : $10.57B ON : $2.26B
EBITDA (TTM) TXN : $8.21B ON : $1.21B

Return for Risk

TXN vs. ON — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

TXN

TXN Risk / Return Rank: 77
TXN Sharpe Ratio Rank: 81
TXN Sortino Ratio Rank: 79
TXN Omega Ratio Rank: 81
TXN Calmar Ratio Rank: 74
TXN Martin Ratio Rank: 72

ON

ON Risk / Return Rank: 90
ON Sharpe Ratio Rank: 94
ON Sortino Ratio Rank: 89
ON Omega Ratio Rank: 89
ON Calmar Ratio Rank: 92
ON Martin Ratio Rank: 88

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

TXN vs. ON - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Texas Instruments Incorporated (TXN) and ON Semiconductor Corporation (ON). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	TXN	ON	Difference
Sharpe ratio: Return per unit of total volatility	1.40	2.64	-1.24
Sortino ratio: Return per unit of downside risk	2.19	3.06	-0.87
Omega ratio: Gain probability vs. loss probability	1.30	1.40	-0.10
Calmar ratio: Return relative to maximum drawdown	1.88	5.05	-3.16
Martin ratio: Return relative to average drawdown	3.94	10.18	-6.24
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TXN vs. ON - Sharpe Ratio Comparison

The current TXN Sharpe Ratio is 1.40, which is lower than the ON Sharpe Ratio of 2.64. The chart below compares the historical Sharpe Ratios of TXN and ON, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	TXN	ON	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.40	2.64	-1.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.39	0.50	-0.11
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.64	0.56	+0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.30	0.11	+0.19

Drawdowns

TXN vs. ON - Drawdown Comparison

The maximum TXN drawdown since its inception was -85.81%, smaller than the maximum ON drawdown of -96.22%. Use the drawdown chart below to compare losses from any high point for TXN and ON.

Drawdown Indicators

	TXN	ON	Difference
Max Drawdown Largest peak-to-trough decline	-85.81%	-96.22%	+10.41%
Max Drawdown (1Y) Largest decline over 1 year	-29.57%	-28.10%	-1.47%
Max Drawdown (3Y) Largest decline over 3 years	-33.41%	-70.44%	+37.03%
Max Drawdown (5Y) Largest decline over 5 years	-33.41%	-70.44%	+37.03%
Max Drawdown (10Y) Largest decline over 10 years	-33.41%	-70.44%	+37.03%
Current Drawdown Current decline from peak	-10.46%	-9.73%	-0.73%
Average Drawdown Average peak-to-trough decline	-34.79%	-53.21%	+18.42%
Ulcer Index Depth and duration of drawdowns from previous peaks	14.11%	13.90%	+0.21%

Volatility

TXN vs. ON - Volatility Comparison

The current volatility for Texas Instruments Incorporated (TXN) is 13.93%, while ON Semiconductor Corporation (ON) has a volatility of 23.24%. This indicates that TXN experiences smaller price fluctuations and is considered to be less risky than ON based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TXN	ON	Difference
Volatility (1M) Calculated over the trailing 1-month period	13.93%	23.24%	-9.31%
Volatility (6M) Calculated over the trailing 6-month period	30.98%	39.22%	-8.24%
Volatility (1Y) Calculated over the trailing 1-year period	39.96%	53.86%	-13.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	32.33%	53.20%	-20.87%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	31.13%	51.05%	-19.92%

Dividends

TXN vs. ON - Dividend Comparison

TXN's dividend yield for the trailing twelve months is around 1.93%, while ON has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ON ON Semiconductor Corporation	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
TXN Texas Instruments Incorporated	1.93%	3.17%	2.81%	2.94%	2.84%	2.23%	2.27%	2.50%	2.78%	2.03%	2.25%	2.55%

Financials

TXN vs. ON - Profitability Comparison

The chart below illustrates the profitability comparison between Texas Instruments Incorporated and ON Semiconductor Corporation over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

TXN - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Texas Instruments Incorporated reported a gross profit of 2.80B and revenue of 4.83B. Therefore, the gross margin over that period was 58.0%.

ON - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, ON Semiconductor Corporation reported a gross profit of 583.10M and revenue of 1.51B. Therefore, the gross margin over that period was 38.5%.

TXN - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Texas Instruments Incorporated reported an operating income of 1.81B and revenue of 4.83B, resulting in an operating margin of 37.5%.

ON - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, ON Semiconductor Corporation reported an operating income of -53.40M and revenue of 1.51B, resulting in an operating margin of -3.5%.

TXN - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Texas Instruments Incorporated reported a net income of 1.55B and revenue of 4.83B, resulting in a net margin of 32.0%.

ON - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, ON Semiconductor Corporation reported a net income of -33.40M and revenue of 1.51B, resulting in a net margin of -2.2%.

Frequently Asked Questions

Can I hold both TXN and ON in my portfolio?

TXN and ON have a correlation of 0.70, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TXN or ON?

ON has higher volatility (23.24%) compared to TXN (13.93%). In terms of maximum drawdown, TXN dropped -85.81% vs ON's -96.22%.

Which has better risk-adjusted returns?

ON currently has the higher Sharpe Ratio (2.64 vs 1.40), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.