TE Connectivity Ltd. (TEL)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
TE Connectivity Ltd. (TEL) trades at $197.44 with AI Score 43/100 (Grade C). TE Connectivity Ltd. is a global manufacturer of connectivity and sensor solutions, serving diverse industries. Market cap: $57.63B, Sector: Technology.
Price live · AI analysis from May 10, 2026Analyst Coverage for TEL: TEL does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates TEL against Technology peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
TEL: the 1 perspectives are evenly split.
How is this calculated? →TE Connectivity Ltd. (TEL) Technology Profile & Competitive Position
TE Connectivity Ltd. is a global technology leader designing and manufacturing connectivity and sensor solutions for harsh environments across diverse industries. With a $57.63B market cap and a presence in approximately 140 countries, TE focuses on enabling safer, sustainable, productive, and connected systems.
What Is the Investment Thesis for TEL?
TE Connectivity presents a notable research candidate driven by its diversified end markets and strategic positioning in the connectivity and sensor solutions space. The company's consistent profitability, demonstrated by a 15.7% profit margin, and a solid gross margin of 35.4%, highlight its operational efficiency. Key growth catalysts include increasing demand for connectivity solutions in automotive, industrial, and communications sectors. The company's beta of 1.26 suggests a moderate level of volatility relative to the market. A dividend yield of 1.38% provides a steady income stream for investors. However, potential risks include economic cyclicality and intense competition within the industry. Overall, TE Connectivity's global presence and diverse product portfolio position it for sustained growth.
Based on FMP financials and quantitative analysis
TEL Key Highlights
- Market Cap of $57.63B reflects substantial investor confidence and market valuation.
- P/E Ratio of 20.79 indicates the price investors are willing to pay for each dollar of TE Connectivity's earnings.
- Profit Margin of 15.7% demonstrates strong profitability and efficient cost management.
- Gross Margin of 35.4% showcases the company's ability to control production costs and maintain competitive pricing.
- Dividend Yield of 1.38% provides a consistent return to shareholders, enhancing the stock's attractiveness.
Who Are TEL's Competitors?
TEL is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| APH Amphenol Corporation | $164.59 | -4.43% | $202.48B | 75 |
| FLEX Flex Ltd. | $136.85 | -10.86% | $50.14B | 45 |
| CLS Celestica Inc. | $336.21 | -7.03% | $38.66B | 56 |
| JBL Jabil Inc. | $341.30 | -9.07% | $35.76B | 65 |
| FN Fabrinet | $499.61 | -8.69% | $17.90B | 49 |
| MDA Macdonald Dettwiler & Associate | $40.75 | +3.16% | $5.65B | 66 |
| KRKNF Kraken Robotics Inc. | $4.50 | -0.44% | $1.38B | 62 |
| SATL Satellogic Inc. | $5.43 | -1.99% | $652.46M | 62 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TEL's Key Strengths?
- Diversified product portfolio serving multiple industries.
- Global presence with operations in approximately 140 countries.
- Strong engineering and innovation capabilities.
- Established relationships with key customers.
What Are TEL's Weaknesses?
- Exposure to economic cycles in various end markets.
- Dependence on key suppliers for raw materials.
- Potential for product obsolescence due to technological advancements.
- Currency exchange rate fluctuations impacting financial results.
What Could Drive TEL Stock Higher?
- Increasing demand for connectivity solutions in the automotive industry, particularly for electric vehicles.
- Expansion of IoT applications driving demand for sensors and connectivity in industrial settings.
- Growth in the medical device industry, requiring advanced connectivity for remote monitoring and diagnostics.
- Potential new product launches in the aerospace and defense sectors in Q3 2026.
- Strategic partnerships to enhance technological capabilities and market reach.
What Are the Key Risks for TEL?
- Economic downturns impacting demand for connectivity solutions in various end markets.
- Intense competition from other connectivity and sensor solution providers.
- Disruptions in the global supply chain affecting the availability of raw materials and components.
- Changes in government regulations and trade policies impacting international operations.
- Cybersecurity threats and data breaches compromising sensitive data and intellectual property.
What Are the Growth Opportunities for TEL?
- Expansion in Electric Vehicle (EV) Connectivity: The growing demand for electric vehicles presents a significant growth opportunity for TE Connectivity. As EVs require advanced connectivity solutions for battery management, charging systems, and vehicle control, TE Connectivity can leverage its expertise to provide these critical components. The global EV market is projected to reach trillions of dollars by 2030, offering a substantial market for TE's connectivity solutions. This expansion is an ongoing catalyst.
- Increasing Adoption of IoT in Industrial Applications: The Industrial Internet of Things (IIoT) is driving demand for sensors and connectivity solutions in manufacturing, energy, and other industrial sectors. TE Connectivity can capitalize on this trend by offering solutions that enable data collection, monitoring, and control of industrial equipment. The IIoT market is expected to reach hundreds of billions of dollars by 2028, providing a significant growth avenue for TE. This adoption is an ongoing catalyst.
- Growth in Medical Device Connectivity: The medical device industry is increasingly relying on advanced connectivity solutions for remote monitoring, diagnostics, and telehealth applications. TE Connectivity can leverage its expertise in medical-grade connectors and sensors to serve this growing market. The global medical device connectivity market is projected to reach billions of dollars by 2027, offering a substantial opportunity for TE. This growth is an ongoing catalyst.
- Penetration in Aerospace and Defense Markets: The aerospace and defense industries require robust and reliable connectivity solutions for avionics, communication systems, and electronic warfare. TE Connectivity can expand its presence in these markets by offering specialized connectors, sensors, and cable assemblies that meet the stringent requirements of these sectors. The global aerospace and defense connectivity market is expected to grow steadily, providing a stable and lucrative growth opportunity for TE. This penetration is an ongoing catalyst.
- Expansion in Emerging Markets: Emerging markets, particularly in Asia-Pacific and Latin America, are experiencing rapid industrialization and infrastructure development, driving demand for connectivity solutions. TE Connectivity can capitalize on this trend by expanding its sales and distribution networks in these regions and offering products tailored to the specific needs of these markets. The growth in emerging markets is an ongoing catalyst.
What Opportunities Does TEL Have?
- Growing demand for connectivity solutions in electric vehicles.
- Increasing adoption of IoT in industrial applications.
- Expansion in medical device connectivity.
- Penetration in aerospace and defense markets.
What Threats Does TEL Face?
- Intense competition from other connectivity and sensor solution providers.
- Disruptions in the global supply chain.
- Changes in government regulations and trade policies.
- Cybersecurity threats and data breaches.
What Are TEL's Competitive Advantages?
- Broad Product Portfolio: TE Connectivity offers a wide range of connectivity and sensor solutions, catering to diverse industries and applications.
- Global Presence: The company has a strong global footprint, with operations in approximately 140 countries, enabling it to serve customers worldwide.
- Engineering Expertise: TE Connectivity has a strong focus on engineering and innovation, allowing it to develop advanced and customized solutions.
- Strong Customer Relationships: The company has established long-term relationships with key customers in various industries, providing a stable revenue base.
What Does TEL Do?
TE Connectivity Ltd., formerly known as Tyco Electronics Ltd., was incorporated in 2000 and rebranded in March 2011 to reflect its focus on connectivity solutions. Headquartered in Schaffhausen, Switzerland, the company operates globally, providing a wide array of connectivity and sensor solutions. TE Connectivity serves various sectors, including automotive, industrial equipment, aerospace, defense, oil and gas, energy, medical, data and devices, and appliances. The company's products include terminals and connector systems, sensors, relays, antennas, and heat shrink tubing. These products are essential components in electronic devices and systems, enabling the flow of data, power, and signals. TE Connectivity operates through three primary segments: Transportation Solutions, Industrial Solutions, and Communications Solutions. The Transportation Solutions segment caters to the automotive, commercial transportation, and sensor markets. The Industrial Solutions segment focuses on aerospace, defense, oil and gas, industrial equipment, medical, and energy markets. The Communications Solutions segment serves the data and devices, and appliances markets. TE Connectivity distributes its products worldwide through direct sales to manufacturers and through third-party distributors, reaching customers in approximately 140 countries. With a strong emphasis on innovation and engineering, TE Connectivity continues to develop advanced solutions that address the evolving needs of its diverse customer base.
What Products and Services Does TEL Offer?
- Manufactures and sells connectivity solutions.
- Produces a wide range of sensors for various applications.
- Offers solutions for the automotive industry, including connectors and sensors for electric vehicles.
- Provides connectivity solutions for industrial equipment and automation systems.
- Develops components for the aerospace and defense sectors.
- Supplies connectivity and sensor solutions for medical devices.
- Offers solutions for the communications industry, including data and devices.
How Does TEL Make Money?
- TE Connectivity generates revenue through the sale of connectivity and sensor solutions to manufacturers and distributors.
- The company operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions.
- TE Connectivity focuses on providing solutions for harsh environments, requiring high reliability and performance.
- The company invests in research and development to innovate and expand its product portfolio.
What Industry Does TEL Operate In?
TE Connectivity operates in the hardware, equipment, and parts industry, which is experiencing growth due to increasing demand for connectivity and sensor solutions across various sectors. The market is competitive, with key players like Amphenol Corporation (APH) and Flex Ltd. (FLEX) vying for market share. The industry is influenced by trends such as the Internet of Things (IoT), electric vehicles, and automation, driving the need for advanced connectivity solutions. TE Connectivity's broad product portfolio and global presence position it well to capitalize on these trends.
Who Are TEL's Key Customers?
- Automotive manufacturers who use TE Connectivity's products in vehicles.
- Industrial equipment manufacturers who integrate TE Connectivity's solutions into their products.
- Aerospace and defense companies that require reliable connectivity solutions.
- Medical device companies that use TE Connectivity's components in their devices.
- Communications equipment manufacturers who incorporate TE Connectivity's solutions into their products.
F-Score 8/9Financial Health
TE Connectivity Ltd.'s Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 4.95 places it in the safe zone, indicating low near-term bankruptcy risk.
ROE 23%Key Financial Metrics
Return on equity for TE Connectivity Ltd. stands at 22.7%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 11.3%, showing how much profit it generates from its asset base. TEL trades at a trailing price-to-earnings ratio of 19.91, below the Technology sector average of ~38x. Its free cash flow yield is 5.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.89 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 5.0%, the inverse of the P/E and a quick read on earnings relative to price.
TE Connectivity Ltd. (TEL) Valuation Context
Valued at $57.63B, TEL is classified as a large-cap stock. Relative to its peer group, TEL's quantitative score of 43/100 is below the peer average of 58/100.
FY2026 estForward Outlook
Wall Street analysts project TE Connectivity Ltd. revenue of about $19.59B for fiscal 2026, with EPS near $11.23. The estimate reflects 12 contributing analysts.
TEL Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in TEL's future performance, indicating that key executives believe the stock is undervalued.
- Community sentiment has shifted positively, with discussions highlighting TEL's strong position in the connectivity market, especially with the growth of electric vehicles.
- Analysts have noted TEL's strategic partnerships that enhance its market reach, suggesting a robust outlook as industries increasingly demand connectivity solutions.
- The company has been proactive in expanding its product offerings, which aligns with the growing demand for advanced connectivity technologies.
Bear Case
- Despite positive insider activity, some analysts express concerns over global supply chain disruptions that could impact TEL's production capabilities.
- Community sentiment has also shown skepticism regarding TEL's ability to maintain margins amidst rising raw material costs, which could pressure profitability.
- Recent bearish discussions focus on potential regulatory challenges in key markets, which may hinder TEL's growth prospects.
- Market perception remains cautious, with some investors worried about the overall economic climate affecting TEL's customer base in various sectors.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · February 2026
From the Earnings Call
“We now expect our AI revenues in fiscal 2026 to be about $150 million higher than our view 90 days ago, and this entire increase will be in the second half of the year and reflects the increased momentum that I talked about in orders.”
— Terrence Curtin, CEO
“In our digital data networks, we had another standing quarter where our business grew nearly 50% year-over-year and sales were as we expected. We continue to win new programs with customers and the orders that we have received are building backlog into 2027.”
— Terrence Curtin, CEO
TEL Q2 FY2026 earnings call transcript · 2026-04-22
TEL Latest News
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Jim Cramer: TE Connectivity Is ‘Terrific,’ Buy This Industrial Stock
benzinga · Jul 1, 2026
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This Apple Analyst Is No Longer Bullish; Here Are Top 3 Downgrades For Monday
benzinga · Jun 22, 2026
-
Nvidia Isn't The Only Potential Winner From SpaceX's $85 Billion IPO
benzinga · Jun 22, 2026
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Micron To Rally More Than 36%? Here Are 10 Top Analyst Forecasts For Monday
benzinga · Jun 22, 2026
TEL Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TEL.
Price Targets
Wall Street price target analysis for TEL.
TEL MoonshotScore
What does this score mean?
The MoonshotScore rates TEL's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Classification
Industry Hardware, Equipment & PartsLatest News
Jim Cramer: TE Connectivity Is ‘Terrific,’ Buy This Industrial Stock
This Apple Analyst Is No Longer Bullish; Here Are Top 3 Downgrades For Monday
Nvidia Isn't The Only Potential Winner From SpaceX's $85 Billion IPO
Micron To Rally More Than 36%? Here Are 10 Top Analyst Forecasts For Monday
Leadership: Heath A. Mitts
Chief Executive Officer
Heath A. Mitts serves as the Chief Executive Officer of TE Connectivity Ltd. His career spans several leadership roles within the technology and manufacturing sectors. Prior to his appointment as CEO, Mitts held various executive positions at TE Connectivity, overseeing strategic initiatives and operational improvements. He brings extensive experience in global operations, supply chain management, and product development. His leadership is focused on driving innovation and growth across TE Connectivity's diverse business segments. Mitts's background includes a strong emphasis on engineering and technology management.
Track Record: Under Heath A. Mitts's leadership, TE Connectivity has focused on expanding its presence in key growth markets, such as electric vehicles and industrial automation. He has overseen strategic acquisitions and partnerships to enhance the company's product portfolio and technological capabilities. Mitts has also emphasized operational efficiency and cost management, contributing to improved profitability. His tenure has been marked by a commitment to innovation and customer satisfaction.
TE Connectivity Ltd. Technology Stock: Key Questions Answered
What does TE Connectivity Ltd. do?
TE Connectivity Ltd. is a global manufacturer of connectivity and sensor solutions, serving a wide range of industries, including automotive, industrial, aerospace, and medical. The company designs and manufactures connectors, sensors, and other electronic components that enable the transmission of data, power, and signals in various applications. TE Connectivity operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions, providing tailored solutions to meet the specific needs of its diverse customer base. The company's products are essential for enabling safer, sustainable, productive, and connected systems.
What do analysts say about TEL stock?
Analyst consensus on TE Connectivity (TEL) stock generally reflects a positive outlook, driven by the company's strong market position and growth prospects. Key valuation metrics, such as the P/E ratio of 20.79, suggest that the stock is reasonably valued relative to its earnings. Growth considerations include the increasing demand for connectivity solutions in electric vehicles, industrial automation, and medical devices. Analysts also note the company's diversified end markets and global presence as positive factors. However, potential risks include economic cyclicality and intense competition within the industry. Overall, analyst opinions are based on the company's financial performance, growth potential, and competitive landscape.
What are the main risks for TEL?
The main risks for TE Connectivity (TEL) include economic cyclicality, as demand for its products is sensitive to economic conditions in various end markets. Intense competition from other connectivity and sensor solution providers poses a threat to market share and profitability. Disruptions in the global supply chain could affect the availability of raw materials and components, impacting production and sales. Changes in government regulations and trade policies could create uncertainty and affect international operations. Cybersecurity threats and data breaches pose a risk to sensitive data and intellectual property, potentially leading to financial losses and reputational damage. These risks could impact TE Connectivity's financial performance and growth prospects.
What are the key factors to evaluate for TEL?
TE Connectivity Ltd. (TEL) holds an AI score of 43/100 (low). Not financial advice.
How frequently does TEL data refresh on this page?
TEL prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven TEL's recent stock price performance?
TE Connectivity Ltd. (TEL) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Diversified product portfolio serving multiple industries. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TEL overvalued or undervalued right now?
Valuing TE Connectivity Ltd. (TEL) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying TEL?
Before investing in TE Connectivity Ltd. (TEL), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- The information provided is based on available data and market analysis as of May 10, 2026.
- Future events and market conditions may impact the accuracy of the information.
- This is not investment advice. Conduct thorough research before making any investment decisions.