Kimco Realty Corporation (HC) (KIM) vs Texas Instruments Incorporated (TXN): Which Is the Better Buy in 2026?
As of 2026-08-03, KIM is undervalued at $25, with a DCF intrinsic value of $9020277760 and a margin of safety of 100%. TXN is fairly valued at $276, with an intrinsic value of $318 and a margin of safety of 13%. Of the two, KIM has the wider margin of safety.
Rewards
- ★Gross margin of 69.0% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Texas Instruments Incorporated has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Return on equity has consistently exceeded 20% over 4 years, indicating efficient use of shareholder capital.
- ★Altman Z-Score of 8.73 indicates very low bankruptcy risk — the company is firmly in the safe zone.
Risks
- ⚠PEG ratio of 3.37 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
- ⚠Net debt/EBITDA of 6.2x indicates heavy leverage — it would take over 4 years of EBITDA to pay off net debt.
- ⚠Buybacks have been poorly timed — 3 out of 4 years involved repurchases at relatively expensive valuations.
- ⚠FCF yield of 1.4% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
- ⚠Trailing P/E of 41.8x is 55% above the historical average of 27.1x — the stock trades at a premium to its own history.
Key Valuation Metrics
Learn more →Historical Fundamentals
Learn more →Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.
$1 Retained Earnings Test
Learn more →> $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
Learn more →Reverse DCF — Market-Implied Growth
Learn more →What growth rate is the market pricing in at $25?
What growth rate is the market pricing in at $276?
The market implies +20.7% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +25.5%, reflecting heavy growth investment.
Economic Moat Score
Learn more →Insufficient data for Economic Moat Score calculation (requires 3+ years).
Narrow moat with roic consistency as the key competitive advantage. Improving reinvestment efficiency would strengthen the moat.
Forensic Accounting
Learn more →Insufficient data for Beneish M-Score calculation (requires 2+ years).
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.
Ownership Breakdown
Learn more →High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →"Market is optimistic — be cautious and ensure you have a margin of safety"
"Market is pricing this stock without strong emotion in either direction"
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
Learn more →The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
Frequently Asked Questions: KIM vs TXN
Is Kimco Realty Corporation (HC) or Texas Instruments Incorporated more undervalued in 2026?▼
Based on our discounted cash flow model, KIM trades at a 100.0% margin of safety (intrinsic value $9020277760 vs. price $25), compared to TXN's 13.2% margin of safety (intrinsic $318 vs. $276).
Which stock has higher return on invested capital, Kimco Realty Corporation (HC) or Texas Instruments Incorporated?▼
TXN earns 20.4% ROIC versus KIM's 3.1%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.