Managing
research and production for a decade instead of a quarter
In a one hour Direct Access™event
hosted by the
CFA Society New York
and open to public observation, investment analysts were able to
examine the management practices of
Texas Instruments Incorporated
(Nasdaq: TXN) that have enabled the company’s continuing leadership in
the development and production of the analog varieties of
semiconductors that are essential to a broad range of industries and
technologies (including artificial intelligence applications). An
archived video record of the event has now been publicly posted:
2024
Direct Access with exemplary companies: Texas Instruments
§
Introductions:
Leo Schmidt, a member of the CFA Society’s Board and Chair of its
Institutional Asset Management Group that organized the event
§Summary and presentations of Texas
Instruments business interests and management objectives:
Dave Pahl, the company’s Vice President of Investor Relations, whose
38 year experience with the company started in engineering and R&D,
then progressed with product and division management before his
assumption of investor relations responsibilities
§"Fireside chat" discussion:
Mr. Pahl and Dwight Blazin, the Davis Advisors portfolio manager who
has been an increasingly large investor in Texas Instruments for more
than a decade
§Q&A open to live event participants:
both Messrs. Blazin and Pahl responded to questions presented by
participating investment analysts
The
focus of the event, as expected, was on the Texas Instruments
management practice of planning its capital commitments to research as
well as production, and even inventory supply, based on up to ten year
views of demand. It was observed that longer term demand for the
company’s products is in fact more reliably predictable than short
term fluctuations. And as one participant commented after the event,
followers of the hosting CFA Society’s founder Benjamin Graham should
also be able to make their own capital commitments much more
effectively based on a company's evident ability to manage its long
term production of goods and services rather than based on whether the
company’s managers will be able to guess the next quarter's EPS within
2 cents.
Your
questions and comments about this inaugural 2024 event, or about the
planning of the year’s continuing event program,[2]
will be welcomed.
Direct Access™ events are organized by
the Shareholder Forum to provide
effective examinations of investor interests in a subject company, according to the objectives
defined in the Forum's public interest
program for "Fair
Investor Access." The program for public
presentations of these events, including their
identification and professional analysis of
investment issues, has been defined to support the mission of the hosting
CFA Society
New York, which had co-founded the Forum in 1999 to
provide the required
SEC-defined independent moderator functions for
its pioneering programs that became known as
"corporate access" events.
Communications for the planning of a
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decision-makers with access to information and a
free exchange of views relating to their interests.
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participant is expected to make independent use of
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is a Forum rule that participants will not be
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permission.
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participants is intended for their
private reference, and permission has
not been granted for the republishing of
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presented on this web site is the
responsibility of
Gary Lutin, as chairman of the
Shareholder Forum.
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