Compare StocksABT vs TXN

Abbott Laboratories (ABT) vs Texas Instruments Incorporated (TXN)

ABT
Abbott Laboratories
$107.19
VS
TXN
Texas Instruments Incorporated
$188.29

Rewards

ABT
  • Abbott Laboratories scores 74/100 on the Economic Moat Score (Wide Moat), with margin stability as the strongest competitive dimension.
  • Each dollar of retained earnings has created $1.89 of market value — management is creating shareholder value.
  • Dividend yield of 2.35% with a consistent or growing payout over the past 4 years.
TXN
  • Texas Instruments Incorporated has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • Return on equity has consistently exceeded 20% over 4 years, indicating efficient use of shareholder capital.
  • Each dollar of retained earnings has created $3.91 of market value — management is an exceptional capital allocator.

Risks

ABT
    TXN
    • Trailing P/E of 34.6x is 28% above the historical average of 27.1x — the stock trades at a premium to its own history.
    • 7 insider sales totaling $26.5M with no purchases in the past 3 months — insiders are reducing their exposure.
    • Free cash flow has declined at a 24.0% CAGR over the past 4 years — a concerning trend.

    Key Valuation Metrics

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    ABT
    TXN
    Valuation
    $6.29B
    Free Cash Flow
    $-300.62M
    3.38%
    FCF Yield
    -0.18%
    28.81
    Trailing P/E
    34.61
    17.18
    Forward P/E
    23.81
    Quality & Moat
    11.31%
    ROIC
    15.31%
    12.36%
    ROE
    30.73%
    56.66%
    Gross Margin
    57.02%
    N/A
    PEG Ratio
    N/A
    Balance Sheet Safety
    0.27
    Debt / Equity
    0.91
    N/A
    Interest Coverage
    N/A
    0.43
    Net Debt / EBITDA
    1.23
    2.35%
    Dividend Yield
    3.02%
    ABT: 6Ties: 2TXN: 3
    ABTTXN

    Historical Fundamentals

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    ABT

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    TXN

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    ABT
    $1.89
    created per $1 retained over 3 years
    Value Creator
    Σ Retained
    $14.14B
    Δ Market Cap
    +$26.79B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    TXN
    $3.91
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $1.96B
    Δ Market Cap
    +$7.67B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    ABT
    20.8% Overvalued
    Price is 20.8% above estimated fair value
    Current Price: $107.19
    Fair Value: $88.73
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    TXN
    28.7% Margin of Safety
    Price is 28.7% below estimated fair value
    Current Price: $188.29
    Fair Value: $264.10
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    ABT

    What growth rate is the market pricing in at $107?

    +12.9%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +13.4%

    The market implies +12.9% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +13.4%, reflecting heavy growth investment.

    TXN

    Requires positive FCF to compute implied growth rate.

    Economic Moat Score

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    ABT
    74/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat driven primarily by margin stability. ROIC Consistency is the area most vulnerable to competitive pressure.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    TXN
    48/100
    Narrow Moat
    70+ Wide · 40-69 Narrow · <40 None

    Narrow moat with roic consistency as the key competitive advantage. Improving reinvestment efficiency would strengthen the moat.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

    Forensic Accounting

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    ABT
    -2.48
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    TXN
    -2.67
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    ABT
    Insiders 0.5%Institutions 82.1%Retail & Other 17.4%
    No. of Institutional Holders4,093
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
    TXN
    Insiders 0.3%Institutions 91.3%Retail & Other 8.4%
    No. of Institutional Holders3,137
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    ABT
    2
    Buys (3M)
    2
    Buys (12M)
    Total value (12M): $3.10M
    STARKS DANIEL J
    Director
    $1.09M
    @ $108.73 · 2026-02-04
    FORD ROBERT B.
    Chief Executive Officer
    $2.01M
    @ $107.13 · 2026-01-23
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    TXN
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    ABT
    6
    Sells (3M)
    9
    Sells (12M)
    Total value (12M): $1.77M
    SALVADORI DANIEL GESUA SIVE
    Officer
    $102,288
    @ $115.58 · 2026-03-02
    MCCOY JOHN A. JR
    Officer
    $67,614
    @ $115.58 · 2026-03-02
    MORRONE LOUIS H
    Officer
    $132,224
    @ $115.58 · 2026-03-02
    SHROFF ERIC
    Officer
    $81,946
    @ $115.58 · 2026-03-02
    CUSHMAN ELIZABETH C
    General Counsel
    $30,398
    @ $115.58 · 2026-03-02
    MORELAND MARY K
    Officer
    $70,851
    @ $115.58 · 2026-03-02
    SHROFF ERIC
    Officer
    $203,043
    @ $128.02 · 2025-11-25
    BOUDREAU PHILIP P
    Chief Financial Officer
    $746,758
    @ $134.55 · 2025-08-08
    BLOUNT SALLY E
    Director
    $337,116
    @ $129.66 · 2025-04-30
    EARNHARDT LISA D
    President
    $12.23M
    @ $133.83 · 2025-03-07
    MCCOY JOHN A. JR
    Officer
    $77,652
    @ $138.17 · 2025-03-03
    WAINER ANDREA F
    Officer
    $131,123
    @ $138.17 · 2025-03-03
    SHROFF ERIC
    Officer
    $77,652
    @ $138.17 · 2025-03-03
    MORELAND MARY K
    Officer
    $109,292
    @ $138.17 · 2025-03-03
    MORRONE LOUIS H
    Officer
    $153,507
    @ $138.17 · 2025-03-03
    FORD ROBERT B.
    Chief Executive Officer
    $37.44M
    @ $131.17 · 2025-02-05
    ALLEN HUBERT L.
    Officer
    $24.34M
    @ $128.26 · 2025-01-30
    SALVADORI DANIEL GESUA SIVE
    Officer
    $3.05M
    @ $128.50 · 2025-01-30
    ALLEN HUBERT L.
    Officer
    $18.42M
    @ $117.04 · 2024-10-21
    FORD ROBERT B.
    Chief Executive Officer
    $16.49M
    @ $116.41 · 2024-09-12
    MCCOY JOHN A. JR
    Officer
    $3,100
    @ $114.81 · 2024-09-04
    FUNCK ROBERT E. JR.
    Officer
    $1.06M
    @ $104.57 · 2024-05-10
    EARNHARDT LISA D
    Officer
    $2.43M
    @ $106.25 · 2024-05-07
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    TXN
    7
    Sells (3M)
    10
    Sells (12M)
    Total value (12M): $28.61M
    KOZANIAN HAGOP H
    Officer
    $1.55M
    @ $225.95 · 2026-02-17
    LIZARDI RAFAEL R
    Chief Financial Officer
    $15.88M
    @ $221.73 · 2026-02-11
    GARY MARK
    Officer
    $5.24M
    @ $226.00 · 2026-02-11
    BAHAI AHMAD
    Officer
    $1.50M
    @ $230.79 · 2026-02-11
    ROBERTS MARK T
    Officer
    $986,604
    @ $221.16 · 2026-02-09
    BLINN MARK A
    Director
    $696,647
    @ $221.58 · 2026-02-05
    BAHAI AHMAD
    Officer
    $670,387
    @ $223.46 · 2026-02-05
    KIRK RONALD
    Director
    $1.62M
    @ $162.33 · 2025-11-24
    WITZSCHE CHRISTINE
    Officer
    $164,306
    @ $164.31 · 2025-11-13
    BAHAI AHMAD
    Officer
    $308,030
    @ $205.35 · 2025-08-25
    TEMPLETON RICHARD K
    Chairman of the Board
    $19.85M
    @ $195.41 · 2025-02-28
    TEMPLETON RICHARD K
    Chairman of the Board
    $38.65M
    @ $199.20 · 2025-02-26
    TEMPLETON RICHARD K
    Chairman of the Board
    $39.32M
    @ $202.70 · 2025-02-24
    CLARK JANET F
    Director
    $1.23M
    @ $203.62 · 2025-02-24
    BLINN MARK A
    Director
    $1.17M
    @ $189.89 · 2025-02-19
    LEONARD SHANON J
    Officer
    $401,241
    @ $186.62 · 2025-02-18
    BLINN MARK A
    Director
    $106,617
    @ $180.71 · 2025-02-04
    KIRK RONALD
    Director
    $2.14M
    @ $203.33 · 2024-11-25
    GARY MARK
    Officer
    $3.49M
    @ $219.82 · 2024-11-08
    ILAN HAVIV
    Chief Executive Officer
    $2.88M
    @ $219.30 · 2024-11-08
    LIZARDI RAFAEL R
    Chief Financial Officer
    $10.19M
    @ $217.16 · 2024-11-07
    YUNUS MOHAMMAD
    Officer
    $1.81M
    @ $216.94 · 2024-11-07
    BAHAI AHMAD
    Officer
    $472,514
    @ $217.25 · 2024-11-07
    GARY MARK
    Officer
    $940,296
    @ $214.83 · 2024-11-06
    WITZSCHE CHRISTINE
    Officer
    $27,941
    @ $211.67 · 2024-11-06
    ILAN HAVIV
    Chief Executive Officer
    $5.29M
    @ $211.50 · 2024-11-06
    SANCHEZ ROBERT E
    Director
    $2.09M
    @ $208.80 · 2024-10-25
    RON AMICHAI
    Officer
    $2.76M
    @ $213.72 · 2024-08-29
    GARY MARK
    Officer
    $3.22M
    @ $212.63 · 2024-08-29
    ROBERTS MARK T
    Officer
    $1.00M
    @ $213.08 · 2024-08-29
    PATSLEY PAMELA H
    Director
    $1.29M
    @ $212.43 · 2024-08-29
    BAHAI AHMAD
    Officer
    $892,427
    @ $209.98 · 2024-08-27
    ILAN HAVIV
    Chief Executive Officer
    $251,324
    @ $209.44 · 2024-08-26
    YUNUS MOHAMMAD
    Officer
    $789,215
    @ $208.90 · 2024-08-26
    GARY MARK
    Officer
    $939,037
    @ $207.20 · 2024-08-23
    KNECHT JULIE C.
    Officer
    $1.63M
    @ $209.49 · 2024-08-23
    LEONARD SHANON J
    Officer
    $588,301
    @ $208.91 · 2024-08-23
    HOBBY JEAN M
    Director
    $4.37M
    @ $205.71 · 2024-08-22
    TEMPLETON RICHARD K
    Chairman of the Board
    $17.93M
    @ $178.47 · 2024-05-03
    TEMPLETON RICHARD K
    Chairman of the Board
    $36.53M
    @ $175.64 · 2024-05-02
    SANCHEZ ROBERT E
    Director
    $1.84M
    @ $174.97 · 2024-05-01
    TEMPLETON RICHARD K
    Chairman of the Board
    $37.09M
    @ $178.34 · 2024-04-30
    PATSLEY PAMELA H
    Director
    $1.79M
    @ $179.12 · 2024-04-29
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

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    ABT
    FearGreed
    😨Fear(38/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
    TXN
    FearGreed
    😐Neutral(46/100)

    "Market is pricing this stock without strong emotion in either direction"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    ABT
    Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Fear (38)
    TXN
    Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Neutral (46)
    View ABT Full AnalysisView TXN Full Analysis
    Abbott Laboratories (ABT) vs Texas Instruments Incorporated (TXN) Stock Comparison | SafetyMargin.io