Loading...

TE Connectivity

NYSE:TEL
Snowflake Description

Outstanding track record established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TEL
NYSE
$28B
Market Cap
  1. Home
  2. US
  3. Tech
Company description

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensors solutions in Europe, the Middle East, Africa, the Asia–Pacific, and the Americas. The last earnings update was 25 days ago. More info.


Add to Portfolio Compare Print
TEL Share Price and Events
7 Day Returns
2.6%
NYSE:TEL
2%
US Electronic
1.2%
US Market
1 Year Returns
-19.5%
NYSE:TEL
0.2%
US Electronic
0.9%
US Market
TEL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
TE Connectivity (TEL) 2.6% 1.1% 10.4% -19.5% 41.2% 41.7%
US Electronic 2% 11.5% 7.3% 0.2% 68.4% 61.8%
US Market 1.2% 6.6% 1.2% 0.9% 44.3% 41.3%
1 Year Return vs Industry and Market
  • TEL underperformed the Electronic industry which returned 0.2% over the past year.
  • TEL underperformed the Market in United States of America which returned 0.9% over the past year.
Price Volatility
TEL
Industry
5yr Volatility vs Market
Related Companies

Value

 Is TE Connectivity undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of TE Connectivity to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for TE Connectivity.

NYSE:TEL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 15 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:TEL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 7.3%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.05
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.054 (1 + (1- 18%) (14.48%))
1.179
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.18
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.179 * 7.27%)
11.3%

Discounted Cash Flow Calculation for NYSE:TEL using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for TE Connectivity is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:TEL DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (USD, Millions) 1,843.60 1,785.40 1,790.00 1,927.00 1,970.95
Source Analyst x5 Analyst x5 Analyst x1 Analyst x1 Est @ 2.28%
Present Value
Discounted (@ 11.3%)
1,656.42 1,441.27 1,298.28 1,255.74 1,153.98
Present value of next 5 years cash flows $6,805.70
NYSE:TEL DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= $1,970.95 × (1 + 2.73%) ÷ (11.3% – 2.73%)
$23,626.11
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= $23,626.11 ÷ (1 + 11.3%)5
$13,833.01
NYSE:TEL Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= $6,805.70 + $13,833.01
$20,638.71
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $20,638.71 / 338.85
$60.91
NYSE:TEL Discount to Share Price
Calculation Result
Value per share (USD) From above. $60.91
Current discount Discount to share price of $82.14
= -1 x ($82.14 - $60.91) / $60.91
-34.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of TE Connectivity is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for TE Connectivity's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are TE Connectivity's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TEL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-28) in USD $8.63
NYSE:TEL Share Price ** NYSE (2019-02-15) in USD $82.14
United States of America Electronic Industry PE Ratio Median Figure of 89 Publicly-Listed Electronic Companies 19.79x
United States of America Market PE Ratio Median Figure of 3,045 Publicly-Listed Companies 16.97x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of TE Connectivity.

NYSE:TEL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TEL Share Price ÷ EPS (both in USD)

= 82.14 ÷ 8.63

9.51x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TE Connectivity is good value based on earnings compared to the US Electronic industry average.
  • TE Connectivity is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does TE Connectivity's expected growth come at a high price?
Raw Data
NYSE:TEL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.51x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts
2%per year
United States of America Electronic Industry PEG Ratio Median Figure of 59 Publicly-Listed Electronic Companies 1.34x
United States of America Market PEG Ratio Median Figure of 2,115 Publicly-Listed Companies 1.36x

*Line of best fit is calculated by linear regression .

NYSE:TEL PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.51x ÷ 2%

4.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TE Connectivity is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on TE Connectivity's assets?
Raw Data
NYSE:TEL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-28) in USD $30.16
NYSE:TEL Share Price * NYSE (2019-02-15) in USD $82.14
United States of America Electronic Industry PB Ratio Median Figure of 150 Publicly-Listed Electronic Companies 2.06x
United States of America Market PB Ratio Median Figure of 5,122 Publicly-Listed Companies 1.82x
NYSE:TEL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TEL Share Price ÷ Book Value per Share (both in USD)

= 82.14 ÷ 30.16

2.72x

* Primary Listing of TE Connectivity.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TE Connectivity is overvalued based on assets compared to the US Electronic industry average.
X
Value checks
We assess TE Connectivity's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electronic industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electronic industry average (and greater than 0)? (1 check)
  5. TE Connectivity has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is TE Connectivity expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is TE Connectivity expected to grow at an attractive rate?
  • TE Connectivity's earnings growth is positive but not above the low risk savings rate of 2.7%.
Growth vs Market Checks
  • TE Connectivity's earnings growth is positive but not above the United States of America market average.
  • TE Connectivity's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:TEL Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TEL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts 2%
NYSE:TEL Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts 4.1%
United States of America Electronic Industry Earnings Growth Rate Market Cap Weighted Average 18.1%
United States of America Electronic Industry Revenue Growth Rate Market Cap Weighted Average 5.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:TEL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TEL Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-09-30 3,122
2022-09-30 15,621 2,928 2,261 2
2021-09-30 14,939 2,762 2,129 5
2020-09-30 14,324 2,697 1,958 15
2019-09-30 13,687 2,546 1,685 14
NYSE:TEL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-28 13,999 2,398 3,000
2018-09-28 13,988 2,451 2,584
2018-06-29 13,373 2,400 1,209
2018-03-30 12,976 2,123 1,187
2017-12-29 12,458 2,267 1,101
2017-09-29 12,185 2,321 1,540
2017-06-30 12,989 2,132 1,681
2017-03-31 12,743 2,327 2,040
2016-12-30 12,468 1,961 2,023
2016-09-30 11,352 1,947 1,847
2016-06-24 11,890 1,887 1,640
2016-03-25 11,887 1,765 1,200

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • TE Connectivity's earnings are expected to grow by 2% yearly, however this is not considered high growth (20% yearly).
  • TE Connectivity's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:TEL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below

All data from TE Connectivity Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TEL Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-09-30
2022-09-30 7.15 7.15 7.15 1.00
2021-09-30 6.56 6.56 6.56 1.00
2020-09-30 5.86 6.18 5.38 9.00
2019-09-30 4.95 5.27 4.46 7.00
NYSE:TEL Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-28 8.63
2018-09-28 7.38
2018-06-29 3.44
2018-03-30 3.36
2017-12-29 3.11
2017-09-29 4.34
2017-06-30 4.73
2017-03-31 5.72
2016-12-30 5.64
2016-09-30 5.05
2016-06-24 4.36
2016-03-25 3.08

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • TE Connectivity is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess TE Connectivity's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
TE Connectivity has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has TE Connectivity performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare TE Connectivity's growth in the last year to its industry (Electronic).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • TE Connectivity's year on year earnings growth rate has been positive over the past 5 years.
  • TE Connectivity's 1-year earnings growth exceeds its 5-year average (171.3% vs 7.4%)
  • TE Connectivity's earnings growth has exceeded the US Electronic industry average in the past year (171.3% vs 38.7%).
Earnings and Revenue History
TE Connectivity's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from TE Connectivity Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TEL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-28 13,999.00 3,000.00 1,605.00 676.00
2018-09-28 13,988.00 2,584.00 1,591.00 680.00
2018-06-29 13,373.00 1,209.00 1,550.00 654.00
2018-03-30 12,976.00 1,187.00 1,607.00 641.00
2017-12-29 12,458.00 1,101.00 1,578.00 620.00
2017-09-29 12,185.00 1,540.00 1,577.00 611.00
2017-06-30 12,989.00 1,681.00 1,643.00 650.00
2017-03-31 12,743.00 2,040.00 1,530.00 643.00
2016-12-30 12,468.00 2,023.00 1,498.00 638.00
2016-09-30 11,352.00 1,847.00 1,441.00 603.00
2016-06-24 11,890.00 1,640.00 1,408.00 627.00
2016-03-25 11,887.00 1,200.00 1,434.00 625.00
2015-12-25 12,017.00 1,127.00 1,458.00 629.00
2015-09-25 12,233.00 1,238.00 1,504.00 627.00
2015-06-26 12,321.00 1,716.00 1,550.00 629.00
2015-03-27 12,278.00 1,712.00 1,553.00 617.00
2014-12-26 12,160.00 1,736.00 1,541.00 602.00
2014-09-26 11,973.00 1,614.00 1,534.00 583.00
2014-06-27 12,333.00 1,387.00 1,605.00 599.00
2014-03-28 12,707.00 1,372.00 1,665.00 619.00
2013-12-27 13,008.00 1,310.00 1,724.00 645.00
2013-09-27 11,390.00 1,154.00 1,440.00 590.00
2013-06-28 13,212.00 1,287.00 1,774.00 674.00
2013-03-29 13,262.00 1,215.00 1,741.00 680.00
2012-12-28 13,246.00 1,204.00 1,730.00 682.00
2012-09-28 13,282.00 1,163.00 1,685.00 688.00
2012-06-29 13,671.00 1,085.00 1,700.00 717.00
2012-03-30 13,751.00 1,174.00 1,718.00 722.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • TE Connectivity has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • TE Connectivity used its assets more efficiently than the US Electronic industry average last year based on Return on Assets.
  • TE Connectivity has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess TE Connectivity's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electronic industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
TE Connectivity has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is TE Connectivity's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up TE Connectivity's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • TE Connectivity is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • TE Connectivity's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of TE Connectivity's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from TE Connectivity Company Filings, last reported 1 month ago.

NYSE:TEL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-28 10,236.00 4,031.00 505.00
2018-09-28 10,831.00 4,100.00 848.00
2018-06-29 9,492.00 4,115.00 770.00
2018-03-30 9,480.00 4,188.00 559.00
2017-12-29 9,631.00 4,005.00 704.00
2017-09-29 9,751.00 4,440.00 1,218.00
2017-06-30 9,141.00 3,991.00 755.00
2017-03-31 8,753.00 3,952.00 773.00
2016-12-30 8,837.00 4,028.00 665.00
2016-09-30 8,485.00 4,070.00 647.00
2016-06-24 8,265.00 4,036.00 694.00
2016-03-25 7,406.00 3,884.00 1,150.00
2015-12-25 8,577.00 3,870.00 2,223.00
2015-09-25 9,585.00 3,884.00 3,329.00
2015-06-26 9,135.00 4,026.00 701.00
2015-03-27 8,995.00 4,126.00 697.00
2014-12-26 9,170.00 4,223.00 868.00
2014-09-26 9,013.00 3,858.00 2,457.00
2014-06-27 8,848.00 3,000.00 1,613.00
2014-03-28 8,399.00 2,995.00 1,429.00
2013-12-27 8,622.00 2,998.00 1,397.00
2013-09-27 8,386.00 3,014.00 1,403.00
2013-06-28 7,888.00 3,018.00 1,262.00
2013-03-29 7,733.00 3,030.00 1,073.00
2012-12-28 8,134.00 3,038.00 972.00
2012-09-28 7,977.00 3,711.00 1,589.00
2012-06-29 7,740.00 3,759.00 1,302.00
2012-03-30 7,683.00 3,972.00 2,866.00
  • TE Connectivity's level of debt (39.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (34.8% vs 39.4% today).
  • Debt is well covered by operating cash flow (59.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 26.4x coverage).
X
Financial health checks
We assess TE Connectivity's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. TE Connectivity has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.14%
Current annual income from TE Connectivity dividends. Estimated to be 2.21% next year.
If you bought $2,000 of TE Connectivity shares you are expected to receive $43 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • TE Connectivity's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • TE Connectivity's dividend is below the markets top 25% of dividend payers in United States of America (3.59%).
Upcoming dividend payment

Purchase TE Connectivity on or before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:TEL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
United States of America Electronic Industry Average Dividend Yield Market Cap Weighted Average of 38 Stocks 1.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1998 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:TEL Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-09-30
2022-09-30
2021-09-30 1.83 4.00
2020-09-30 1.85 10.00
2019-09-30 1.77 10.00
NYSE:TEL Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-11 1.760 2.169
2018-11-08 1.760 2.301
2018-08-08 1.760 2.050
2018-05-09 1.760 1.872
2018-02-07 1.600 1.614
2017-11-09 1.600 1.649
2017-08-09 1.600 1.912
2017-05-10 1.600 2.023
2017-02-14 1.480 1.980
2016-11-16 1.480 2.100
2016-08-11 1.480 2.348
2016-07-22 1.480 2.473
2016-07-20 1.480 2.404
2016-02-11 1.320 2.216
2015-11-12 1.320 2.161
2015-08-14 1.320 2.150
2015-05-13 1.320 2.019
2014-12-17 1.160 1.698
2014-11-17 1.160 1.841
2014-08-14 1.160 1.960
2014-07-24 1.160 1.870
2014-07-23 1.160 1.847
2014-02-13 1.000 1.669
2013-11-14 1.000 1.835
2013-08-16 1.000 1.936
2013-05-16 1.000 2.121
2013-02-14 0.840 2.008
2012-11-19 0.840 2.244
2012-08-15 0.840 2.442
2012-05-21 0.840 2.609
2012-02-17 0.720 2.040
2011-11-18 0.720 2.186
2011-08-10 0.720 2.316
2011-04-21 0.720 2.040
2011-02-11 0.640 1.822
2010-11-29 0.640 1.812
2010-08-27 0.640 2.166
2010-07-23 0.640 2.397
2010-07-22 0.640 2.471
2010-02-08 0.640 2.329
2009-10-08 0.640 2.680
2009-07-29 0.640 2.826
2009-03-10 0.640 4.152
2009-02-19 0.640 6.929

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of TE Connectivity's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.7x coverage).
X
Income/ dividend checks
We assess TE Connectivity's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can TE Connectivity afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. TE Connectivity has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of TE Connectivity's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Terrence Curtin
COMPENSATION $10,237,011
AGE 50
TENURE AS CEO 1.9 years
CEO Bio

of TE employees and cultivating a diverse work environment where global collaboration and innovation thrive. Mr. Curtin served as the President of TE Connectivity Ltd. since March 10, 2015. He was responsible for all of TE's connectivity and sensor businesses and mergers and acquisitions activities. In his prior role as President, Industrial Solutions, Mr. Curtin was responsible for the operations and strategic direction of TE's Industrial, Energy, and Aerospace, Defense, Oil and Gas businesses. As TE's Executive Vice President and Chief Financial Officer, Mr. Curtin was responsible for developing and implementing the financial strategy for TE and for creating the financial infrastructure necessary to drive the company's financial direction, vision and compliance initiatives. Before joining TE, Mr. Curtin was employed by Arthur Andersen LLP where he served in the audit and accounting advisory services group with a focus on large multinational public companies. Mr. Curtin served as an Executive Vice President and President of Industrial Solutions at TE Connectivity Ltd. from August 1, 2012 to March 10, 2015. Mr. Curtin served as the Chief Financial Officer and Executive Vice President of TE Connectivity Ltd. (formerly, Tyco Electronics Ltd), the parent of Tyco Electronics Group S.A. from October 2006 to August 1, 2012. He served as Corporate Controller of TE Connectivity Ltd. since 2001. Prior to TE, Curtin was the Vice President and Controller of the Electronics segment of Tyco International from 2001 to 2006. Mr. Curtin was employed by Arthur Andersen LLP. He has been Director of TE Connectivity Ltd since March 2016. He is a member of Board of Trustees of Albright College. He served as a Director of TE Connectivity Ltd., from October 2006 to June 29, 2007. He is a member of the U.S.-China Business Council since June 2018. Mr. Curtin holds a bachelor's degree in Accounting from Albright College, Pennsylvania, U.S., and is also a Certified Public Accountant.

CEO Compensation
  • Terrence's compensation has been consistent with company performance over the past year.
  • Terrence's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the TE Connectivity management team in years:

2.9
Average Tenure
50
Average Age
  • The tenure for the TE Connectivity management team is about average.
Management Team

Terrence Curtin

TITLE
CEO & Director
COMPENSATION
$10M
AGE
50
TENURE
1.9 yrs

Heath Mitts

TITLE
Executive VP & CFO
COMPENSATION
$4M
AGE
47
TENURE
2.4 yrs

John Jenkins

TITLE
Executive VP & General Counsel
COMPENSATION
$3M
AGE
52
TENURE
6.3 yrs

Kevin Rock

TITLE
President of Industrial Solutions
COMPENSATION
$4M
AGE
60
TENURE
3.9 yrs

Steve Merkt

TITLE
President of Transportation Solutions
COMPENSATION
$4M
AGE
50
TENURE
6.5 yrs

Joel Dubs

TITLE
Senior Vice President of Operations
TENURE
1.3 yrs

Joseph Eckroth

TITLE
Chief Information Officer and Senior Vice President
AGE
59
TENURE
5.2 yrs

Sujal Shah

TITLE
Vice President of Investor Relations

Kari Janavitz

TITLE
VP & Chief Marketing Officer
TENURE
1.1 yrs

Tim Murphy

TITLE
Senior VP & Chief Human Resources Officer of Global Human Resources
AGE
50
TENURE
2.9 yrs
Board of Directors Tenure

Average tenure and age of the TE Connectivity board of directors in years:

6.5
Average Tenure
59
Average Age
  • The tenure for the TE Connectivity board of directors is about average.
Board of Directors

Tom Lynch

TITLE
Chairman of the Board
COMPENSATION
$3M
AGE
63
TENURE
6.1 yrs

Terrence Curtin

TITLE
CEO & Director
COMPENSATION
$10M
AGE
50
TENURE
2.9 yrs

Dan Phelan

TITLE
Director
COMPENSATION
$314K
AGE
68
TENURE
11.7 yrs

Pierre Brondeau

TITLE
Lead Independent Director
COMPENSATION
$341K
AGE
60
TENURE
4.2 yrs

Laura Wright

TITLE
COMPENSATION
$316K
AGE
58
TENURE
4.9 yrs

Paula Sneed

TITLE
Director
COMPENSATION
$293K
AGE
70
TENURE
11.7 yrs

John Van Scoter

TITLE
Director
COMPENSATION
$284K
AGE
56
TENURE
10.2 yrs

Bill Jeffrey

TITLE
Director
COMPENSATION
$291K
AGE
58
TENURE
6.9 yrs

Nam Yong

TITLE
Director
COMPENSATION
$281K
AGE
69
TENURE
6.9 yrs

Mark Trudeau

TITLE
Director
COMPENSATION
$291K
AGE
57
TENURE
2.9 yrs
Who owns this company?
Recent Insider Trading
  • TE Connectivity insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
07. Feb 19 Sell Heath Mitts Individual 06. Feb 19 06. Feb 19 -12,908 $83.05 $-1,071,954
21. Feb 18 Sell Steven Merkt Individual 21. Feb 18 21. Feb 18 -10,684 $102.94 $-1,099,764
X
Management checks
We assess TE Connectivity's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. TE Connectivity has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

TE Connectivity Ltd. (NYSE:TEL) Is Employing Capital Very Effectively

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Is TE Connectivity Ltd. (NYSE:TEL) A High Quality Stock To Own?

Our data shows TE Connectivity has a return on equity of 29% for the last year. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.29 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

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

Attractive stocks have exceptional fundamentals. … In the case of TE Connectivity Ltd. … (NYSE:TEL), there's

Simply Wall St -

What You Must Know About TE Connectivity Ltd.'s (NYSE:TEL) Financial Health

(NYSE:TEL), a large-cap worth US$26b, comes to mind for investors seeking a strong and reliable stock investment. … Most investors favour these big stocks due to their strong balance sheet and high market liquidity, meaning there are an abundance of stock in the public market available for trading. … Using the most recent data for TEL, I will determine its financial status based on its solvency and liquidity, and assess whether the stock is a safe investment.

Simply Wall St -

Here's What TE Connectivity Ltd.'s (NYSE:TEL) P/E Ratio Is Telling Us

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … TE Connectivity has a price to earnings ratio of 9.75, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Will TE Connectivity Ltd's (NYSE:TEL) Earnings Grow Over The Next Few Years?

The most recent earnings announcement TE Connectivity Ltd's (NYSE:TEL) released in September 2018a … signalled

Simply Wall St -

Estimating The Intrinsic Value Of TE Connectivity Ltd (NYSE:TEL)

Today, I will calculate the stock's intrinsic value. … by projecting its future cash flows and then discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

TE Connectivity Ltd (NYSE:TEL): The Return Story

Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … Your return is tied to TEL’s ability to do this because the amount earned is used to invest in opportunities to grow the business or payout dividends, which are the two sources of return on investment. … To understand TE Connectivity’s capital returns we will look at a useful metric called return on capital employed.

Simply Wall St -

What Do Analysts Think About TE Connectivity Ltd's (NYSE:TEL) Growth?

Based on TE Connectivity Ltd's (NYSE:TEL) earnings update in June 2018,. … it seems that analyst forecasts are fairly optimistic, … the past 5-year average growth rate of 3.1%

Simply Wall St -

Is Now The Time To Look At Buying TE Connectivity Ltd (NYSE:TEL)?

received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to $94.92 at one point, and dropping to the lows of $74.15. … A question to answer is whether TE Connectivity's current trading price of $74.86 reflective of the actual value of the? … Let’s take a look at TE Connectivity’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Company Info

Map
Description

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensors 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, wires, and heat shrink tubing products for use in the automotive, commercial transportation, and sensor markets. The Industrial Solutions segment offers terminals and connector systems and components; heat shrink tubing; relays; and wires and cables for industrial equipment, aerospace, defense, oil and gas, and energy markets. The Communications Solutions segment supplies electronic components, such as terminals and connector systems and components, relays, heat shrink tubing, and antennas for the data and devices, and appliances markets. TE Connectivity Ltd. sells its products to approximately 140 countries primarily through direct selling to manufacturers, as well as through third-party distributors. The company was formerly known as Tyco Electronics Ltd. and changed its name to TE Connectivity Ltd. in March 2011. TE Connectivity Ltd. was incorporated in 2000 and is based in Schaffhausen, Switzerland.

Details
Name: TE Connectivity Ltd.
TEL
Exchange: NYSE
Founded: 2000
$27,833,503,208
338,854,434
Website: http://www.te.com
Address: TE Connectivity Ltd.
Rheinstrasse 20,
Schaffhausen,
Schaffhausen, 8200,
Switzerland
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TEL Registered Shares New York Stock Exchange US USD 14. Jun 2007
DB 9TC Registered Shares Deutsche Boerse AG DE EUR 14. Jun 2007
LSE 0VQJ Registered Shares London Stock Exchange GB USD 14. Jun 2007
BMV TEL N Registered Shares Bolsa Mexicana de Valores MX MXN 14. Jun 2007
Number of employees
Current staff
Staff numbers
80,000
TE Connectivity employees.
Industry
Electronic Manufacturing Services
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/18 02:12
End of day share price update: 2019/02/15 00:00
Last estimates confirmation: 2019/02/02
Last earnings filing: 2019/01/24
Last earnings reported: 2018/12/28
Last annual earnings reported: 2018/09/28


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.