TEL

TE ConnectivityNYSE:TEL Stock Report

Market Cap

US$46.5b

7D

-2.5%

1Y

43.9%

Updated

19 Sep, 2021

Data

Company Financials +
TEL fundamental analysis
Snowflake Score
Valuation0/6
Future Growth3/6
Past Performance2/6
Financial Health5/6
Dividends5/6

TEL Overview

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the Asia–Pacific, and the Americas.

TE Connectivity Competitors

Flex

NasdaqGS:FLEX

US$9.0b

Jabil

NYSE:JBL

US$8.9b

Plexus

NasdaqGS:PLXS

US$2.5b

Sanmina

NasdaqGS:SANM

US$2.5b

Price History & Performance

Summary of all time highs, changes and price drops for TE Connectivity
Historical stock prices
Current Share PriceUS$141.83
52 Week HighUS$90.88
52 Week LowUS$153.54
Beta1.35
1 Month Change-4.21%
3 Month Change7.74%
1 Year Change43.86%
3 Year Change53.15%
5 Year Change122.03%
Change since IPO265.07%

Recent News & Updates

Sep 02
When Should You Buy TE Connectivity Ltd. (NYSE:TEL)?

When Should You Buy TE Connectivity Ltd. (NYSE:TEL)?

TE Connectivity Ltd. ( NYSE:TEL ) saw a decent share price growth in the teens level on the NYSE over the last few...

Jul 31
TE Connectivity Ltd. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

TE Connectivity Ltd. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

A week ago, TE Connectivity Ltd. ( NYSE:TEL ) came out with a strong set of third-quarter numbers that could...

Shareholder Returns

TELUS ElectronicUS Market
7D-2.5%-1.5%-0.6%
1Y43.9%47.9%33.8%

Return vs Industry: TEL underperformed the US Electronic industry which returned 47.9% over the past year.

Return vs Market: TEL exceeded the US Market which returned 33.8% over the past year.

Price Volatility

Is TEL's price volatile compared to industry and market?
TEL volatility
TEL Beta1.35
Industry Beta1.33
Market Beta1

Stable Share Price: TEL is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: TEL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
200082,000Terrence Curtinhttps://www.te.com

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the Asia–Pacific, and the Americas. The company operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions. The Transportation Solutions segment provides terminals and connector systems and components, sensors, antennas, relays, application tooling, and wire and heat shrink tubing products for use in the automotive, commercial transportation, and sensor markets.

Valuation

Is TE Connectivity undervalued compared to its fair value and its price relative to the market?

27.54x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TEL ($141.83) is trading above our estimate of fair value ($124.54)

Significantly Below Fair Value: TEL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TEL is poor value based on its PE Ratio (27.5x) compared to the US Electronic industry average (20.7x).

PE vs Market: TEL is poor value based on its PE Ratio (27.5x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: TEL is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: TEL is overvalued based on its PB Ratio (4.6x) compared to the US Electronic industry average (2.7x).


Future Growth

How is TE Connectivity forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

15.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TEL's forecast earnings growth (15.6% per year) is above the savings rate (2%).

Earnings vs Market: TEL's earnings (15.6% per year) are forecast to grow faster than the US market (14.8% per year).

High Growth Earnings: TEL's earnings are forecast to grow, but not significantly.

Revenue vs Market: TEL's revenue (6.1% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: TEL's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TEL's Return on Equity is forecast to be high in 3 years time (21.9%)


Past Performance

How has TE Connectivity performed over the past 5 years?

-14.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TEL has high quality earnings.

Growing Profit Margin: TEL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: TEL's earnings have declined by 14.5% per year over the past 5 years.

Accelerating Growth: TEL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: TEL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (40.3%).


Return on Equity

High ROE: TEL's Return on Equity (16.6%) is considered low.


Financial Health

How is TE Connectivity's financial position?


Financial Position Analysis

Short Term Liabilities: TEL's short term assets ($7.4B) exceed its short term liabilities ($4.7B).

Long Term Liabilities: TEL's short term assets ($7.4B) exceed its long term liabilities ($6.2B).


Debt to Equity History and Analysis

Debt Level: TEL's debt to equity ratio (41.9%) is considered high.

Reducing Debt: TEL's debt to equity ratio has reduced from 48.8% to 41.9% over the past 5 years.

Debt Coverage: TEL's debt is well covered by operating cash flow (61.6%).

Interest Coverage: TEL's interest payments on its debt are well covered by EBIT (65.1x coverage).


Balance Sheet


Dividend

What is TE Connectivity current dividend yield, its reliability and sustainability?

1.41%

Current Dividend Yield


Upcoming Dividend Payment

TodaySep 20 2021Ex Dividend DateNov 18 2021Dividend Pay DateDec 03 202115 days from Ex DividendBuy in the next 59 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TEL's dividend (1.41%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: TEL's dividend (1.41%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: TEL's dividends per share have been stable in the past 10 years.

Growing Dividend: TEL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38%), TEL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TEL's dividends in 3 years are forecast to be well covered by earnings (24.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.8yrs

Average management tenure


CEO

Terrence Curtin (53 yo)

4.5yrs

Tenure

US$10,569,225

Compensation

Mr. Terrence R. Curtin is the Chief Executive Officer of TE Connectivity Ltd. since March 08, 2017. Mr. Curtin served as the President of TE Connectivity Ltd.since March 10, 2015. He was responsible for a...


CEO Compensation Analysis

Compensation vs Market: Terrence's total compensation ($USD10.57M) is about average for companies of similar size in the US market ($USD11.33M).

Compensation vs Earnings: Terrence's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TEL's management team is seasoned and experienced (7.8 years average tenure).


Board Members

Experienced Board: TEL's board of directors are considered experienced (6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TEL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

TE Connectivity Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: TE Connectivity Ltd.
  • Ticker: TEL
  • Exchange: NYSE
  • Founded: 2000
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Market Cap: US$46.520b
  • Shares outstanding: 328.00m
  • Website: https://www.te.com

Number of Employees


Location

  • TE Connectivity Ltd.
  • MUehlenstrasse 26
  • Schaffhausen
  • Schaffhausen
  • 8200
  • Switzerland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 22:05
End of Day Share Price2021/09/17 00:00
Earnings2021/06/25
Annual Earnings2020/09/25


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.