Texas Instruments did a good job in keeping ahead of the analysts. Another thing I was happy to see was an increase in operational cash flow. The semiconductor business generated a higher amount of cash from operating activities on both a year-over-year basis and on a sequential basis. The year-over-year basis didn't represent such a huge gain, but the difference between the March and June quarters was very dramatic. As management stated in the press release, the company is attempting to keep up a proper response to the demand characteristics that have been shaped by the ongoing global recession.

So, yes, earnings and sales are down. But Texas Instruments is doing relatively okay. How did the market react to the earnings news? Well, the company's stock didn't experience a huge sell-off. The stock was down about 1.3% in yesterday's after-hours session. I anticipate that shares of Texas Instruments may see a little pressure in upcoming trading sessions. The stock has been doing quite well this year, so one would naturally expect some profit-taking.

If the stock does retreat, you might want to look at it. Many market players are positioning their portfolios for a theoretical recovery. If the economy does get better, then a tech stock like Texas Instruments might make sense. Texas Instruments isn't my favorite investment idea out there, but I do see potential bullish signs in its price action.

Disclosure: I don't own any company mentioned; positions can change without notice.