Is ARM or TXN cheaper?

On trailing earnings, TXN is cheaper: ARM trades at a 453.35 P/E and TXN at 51.47.

Which has grown faster, ARM or TXN?

Over the past five years, ARM grew revenue faster — ARM at a 19.41% CAGR versus TXN at 3.64%.

Does ARM or TXN pay a bigger dividend?

TXN pays a dividend (1.87% yield) while ARM does not currently pay one.

Is ARM or TXN more profitable?

TXN runs the higher net margin — ARM at 18.37% versus TXN at 29.11%.

Arm Holdings plc American Depositary Shares (ARM) vs Texas Instruments Incorporated (TXN)

TXN leads on 11 of 15 compared metrics.

A side-by-side comparison of Arm Holdings plc American Depositary Shares and Texas Instruments Incorporated across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

ARM

Arm Holdings plc American Depositary Shares

$405.18B

$380.81Technology

TXN

Texas Instruments Incorporated

$274.05B

$301.12Technology

Total return — ARM vs TXN

growth of $100 · last 3y

ARM +526.8%TXN +85.2%ARM compounded faster

ARM TXN

ARM vs TXN: by the numbers

•ARM is the larger company ($405.18B vs $274.05B market cap).
•TXN trades at the lower earnings multiple (51.47 vs 453.35 P/E).
•TXN converts more revenue to profit (29.11% vs 18.37% net margin).
•ARM grew revenue faster over the past five years (19.41% vs 3.64% CAGR).
•TXN pays a dividend (1.87% yield) while ARM does not currently pay one.

Which is better, ARM or TXN?

Metric tally: ARM 4 · TXN 11

It depends on what you're optimizing for:

ValueTXN(lower P/E)

GrowthARM(faster 5Y revenue CAGR)

QualityTXN(higher ROIC)

Metrics side by side

Valuation

Metric	ARM	TXN
P/E ratio	453.35	51.47●
Forward P/E	126.31	33.67●
P/S ratio	82.66	14.93●
P/B ratio	49.08	16.40●
PEG ratio	13.32	7.87●
EV / EBITDA	287.63	34.60●
FCF yield	0.23%	1.35%●

Profitability

Metric	ARM	TXN
Gross margin	94.63%●	57.32%
Operating margin	18.31%	35.29%●
Net margin	18.37%	29.11%●
ROE	10.91%	31.99%●
ROIC	7.31%	16.46%●

Dividends

Metric	ARM	TXN
Dividend yield	—	1.87%
Payout ratio	—	103.12%

Growth (annualized)

Metric	ARM	TXN
Revenue CAGR (5Y)	19.41%●	3.64%
EPS CAGR (5Y)	17.47%●	-2.07%
FCF CAGR (5Y)	-1.73%●	-10.12%
Total return CAGR (5Y)	—	12.95%

Frequently asked

Which is better, ARM or TXN?: It depends on your goal. value: TXN (lower P/E); growth: ARM (faster 5Y revenue CAGR); quality: TXN (higher ROIC). Across all compared metrics, TXN leads 11 to 4.
Is ARM or TXN cheaper?: On trailing earnings, TXN is cheaper: ARM trades at a 453.35 P/E and TXN at 51.47.
Which has grown faster, ARM or TXN?: Over the past five years, ARM grew revenue faster — ARM at a 19.41% CAGR versus TXN at 3.64%.
Does ARM or TXN pay a bigger dividend?: TXN pays a dividend (1.87% yield) while ARM does not currently pay one.
Is ARM or TXN more profitable?: TXN runs the higher net margin — ARM at 18.37% versus TXN at 29.11%.

Go deeper

Full ARM analysis Full TXN analysis Interactive comparison tool

Dig into the metrics

Arm Holdings plc American Depositary Shares P/E ratio Texas Instruments P/E ratio Arm Holdings plc American Depositary Shares dividend yield Texas Instruments dividend yield Arm Holdings plc American Depositary Shares ROE Texas Instruments ROE Arm Holdings plc American Depositary Shares operating margin Texas Instruments operating margin Arm Holdings plc American Depositary Shares revenue growth Texas Instruments revenue growth Arm Holdings plc American Depositary Shares free cash flow Texas Instruments free cash flow

Arm Holdings plc American Depositary Shares & Texas Instruments appear in these rankings

Fastest Revenue Growth Stocks Highest ROE Stocks Highest Operating Margin Stocks Best 10-Year Total Return Stocks

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 14, 2026.