Texas Instruments, Analog Devices Have Alleged Connections To Russia: Are These Firms Shipping Chips Despite Ban?
Portfolio Pulse from Nabaparna Bhattacharya
Texas Instruments (NASDAQ:TXN) and Analog Devices (NASDAQ:ADI) are implicated in a Bloomberg report for allegedly having their semiconductor chips reach Russian military-linked entities in 2023, despite U.S. export restrictions. The chips were shipped via Hong Kong, with over 17,000 Texas Instruments chips valued at $25 million delivered to Russian businesses, including some under U.S. sanctions. Both companies assert they ceased business with Russia in 2022 and oppose the use of their products in Russian military equipment. On the last check Friday, ADI shares rose by 2.09% to $196.22, and TXN shares increased by 1.35% to $167.38.
December 21, 2023 | 5:45 pm
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
Analog Devices is implicated in a report for potentially having its chips reach Russian military-linked entities. ADI asserts it stopped business with Russia in 2022 and opposes the use of its products in Russian military equipment. ADI shares increased by 2.09% to $196.22 last Friday.
The Bloomberg report could lead to negative sentiment due to potential regulatory issues, but the immediate market reaction was positive, with ADI shares rising. The short-term impact seems neutral as the market digests the news and awaits further developments.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80
NEUTRAL IMPACT
Texas Instruments is mentioned in a report for its chips allegedly reaching Russian entities despite export restrictions. The company denies direct trade and opposes the use of its chips in Russian military equipment. TXN shares rose by 1.35% to $167.38 last Friday.
While the report could raise concerns about regulatory scrutiny and reputation, the immediate market reaction was positive, with shares rising. The short-term impact appears neutral as the market may need more information to assess the situation fully.
CONFIDENCE 75
IMPORTANCE 70
RELEVANCE 80