Texas Instruments (TXN) shares surged 67% over the twelve months ending October 8, 2026, significantly outperforming the S&P 500's 17% gain. This substantial stock appreciation was driven primarily by a recovery in demand for the company's chips within industrial and data center sectors. The performance highlights a successful turnaround that began well before the broader market rally. The earliest indicators of this recovery emerged in late 2024, as financial filings showed the rate of revenue contraction slowing from 15.6% to just 1.7% by the fourth quarter. By early 2025, actual growth materialized with revenue rising 11.1% in Q1 and accelerating to 16.4% in Q2. Management noted that industrial and automotive customers, comprising roughly 70% of revenue, were key drivers of this expansion. Current financial data confirms that growth is accelerating further, with revenue jumping 22.8% in the second quarter of 2026 compared to the prior year. The company's backlog has increased, and executives have begun raising prices, validating their earlier strategic emphasis on geopolitically dependable capacity. With industrial sales up around 30% and data center sales doubling, TXN is trading at a valuation near its ten-year high. Looking ahead, management forecasts Q3 revenue between $5.65 billion and $6.15 billion, following the strong second quarter. The company's ability to supply from reliable capacity has become a distinct competitive advantage, particularly as customers prioritize component origin amidst geopolitical tensions and tariff disruptions affecting global supply chains.