The Dallas company said Monday it expects revenue of $1.79 billion to $2.05 billion, raising the midpoint from a previous range of $1.62 billion to $2.12 billion.

Shares climbed 36 cents, or 2.5 percent, to $15.05 in premarket trading.

Not everyone was cheered by the updated estimates, however. Jefferies & Co. analyst Adam Benjamin reiterated his "Underperform," rating on the company Tuesday, recommending investors sell shares.

With chip makers Marvell Technology Group Ltd., Altera Corp., and Xilinx Inc. raising estimates for the quarter, "the common theme clearly indicates business has stabilized," Benjamin told clients in a note. "Yet a snapback that some have hoped for is still not likely to occur in the June quarter" given demand remains weak.

One bright spot for Texas Instruments, however, has been wireless infrastructure spending in China, a trend that has boosted other chip makers. Citi Investment Research analyst Glen Yeung said he expects spending in China to increase.

"Therefore, we expect China to remain a source of relative strength for" the company, he told clients in a note Monday. He holds a "Buy" rating on shares.

A service of YellowBrix, Inc.