Texas Instruments Inc., a key chipmaker for producers of cars and factory equipment, suffered the worst stock decline in 17 years after stoking fears that a tariff-fueled sales surge will be short-lived.

Texas Instruments said it expects current-quarter earnings between $1.36 and $1.60 per share, while analysts were looking for $1.50 per share. The company forecast revenue of $4.45 billion to $4.8 billion, for a midpoint of $4.625 billion. Analysts were expecting revenue of $4.59 billion.

Texas Instruments shares drop 12% after issuing a cautious Q3 earnings outlook despite beating second-quarter expectations.