TE Connectivity (NYSE:TEL) Releases Quarterly Earnings Results, Beats Expectations By $0.09 EPS

by · The Markets Daily

TE Connectivity (NYSE:TEL – Get Free Report) announced its earnings results on Wednesday. The electronics maker reported $2.94 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.85 by $0.09, FiscalAI reports. TE Connectivity had a net margin of 15.61% and a return on equity of 24.59%. The business had revenue of $5.16 billion for the quarter, compared to analyst estimates of $5.01 billion. During the same period last year, the firm posted $2.27 earnings per share. The company’s revenue for the quarter was up 13.8% compared to the same quarter last year. TE Connectivity updated its Q4 2026 guidance to 3.050-3.050 EPS.

Here are the key takeaways from TE Connectivity’s conference call:

  • TE Connectivity reported Q3 sales of $5.2 billion, up 14% reported and 12% organically, with adjusted EPS rising 22% to a record $2.94 and margins expanding 90 basis points.
  • Management highlighted record orders of $5.7 billion, up 27% year over year, with double-digit order growth across every business and a book-to-bill of 1.1, giving the company strong visibility into fiscal 2027.
  • The Industrial Solutions segment was a major growth driver, with 21% organic sales growth led by AI-related demand in Digital Data Networks and strong energy business performance tied to grid hardening and data center power build-outs.
  • TE raised its full-year outlook to approximately 15% sales growth and 23% adjusted EPS growth, and said it expects fourth-quarter sales of about $5.25 billion and adjusted EPS of about $3.05.
  • The company announced a $1.4 billion acquisition of Astrodyne TDI, a bolt-on deal expected to add more than $250 million in annual sales and broaden TE’s power and filter offerings for mission-critical applications.

TE Connectivity Stock Up 1.3%

Shares of TEL stock opened at $201.35 on Friday. The stock has a market cap of $58.77 billion, a PE ratio of 19.67, a price-to-earnings-growth ratio of 1.40 and a beta of 1.17. TE Connectivity has a 1 year low of $190.27 and a 1 year high of $252.56. The business’s fifty day moving average is $205.41 and its 200-day moving average is $215.09. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.20 and a current ratio of 1.88.

TE Connectivity Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 11th. Stockholders of record on Friday, August 21st will be issued a dividend of $0.78 per share. This represents a $3.12 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Friday, August 21st. TE Connectivity’s dividend payout ratio (DPR) is 30.59%.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on TEL shares. UBS Group restated a “buy” rating and issued a $241.00 price target on shares of TE Connectivity in a research report on Thursday. Jefferies Financial Group raised shares of TE Connectivity from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, April 15th. Weiss Ratings raised TE Connectivity from a “buy (b-)” rating to a “buy (b)” rating in a report on Wednesday, April 29th. Zacks Research downgraded shares of TE Connectivity from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 8th. Finally, Barclays raised their price objective on TE Connectivity from $297.00 to $300.00 and gave the company an “overweight” rating in a research note on Monday, June 15th. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $251.15.

View Our Latest Report on TE Connectivity

Insider Activity

In related news, insider Shadrak W. Kroeger sold 9,400 shares of the company’s stock in a transaction on Monday, June 1st. The shares were sold at an average price of $215.00, for a total transaction of $2,021,000.00. Following the completion of the sale, the insider directly owned 25,976 shares of the company’s stock, valued at approximately $5,584,840. This represents a 26.57% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.60% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Security National Bank of SO Dak lifted its stake in shares of TE Connectivity by 0.5% during the 2nd quarter. Security National Bank of SO Dak now owns 10,865 shares of the electronics maker’s stock worth $1,833,000 after acquiring an additional 50 shares during the last quarter. Summit Financial LLC raised its holdings in TE Connectivity by 2.6% in the fourth quarter. Summit Financial LLC now owns 2,013 shares of the electronics maker’s stock worth $458,000 after purchasing an additional 51 shares in the last quarter. FAS Wealth Partners Inc. grew its holdings in TE Connectivity by 5.5% in the fourth quarter. FAS Wealth Partners Inc. now owns 1,016 shares of the electronics maker’s stock worth $231,000 after purchasing an additional 53 shares during the last quarter. L2 Asset Management LLC increased its holdings in shares of TE Connectivity by 4.3% during the third quarter. L2 Asset Management LLC now owns 1,386 shares of the electronics maker’s stock valued at $304,000 after acquiring an additional 57 shares in the last quarter. Finally, Rehmann Capital Advisory Group grew its holdings in shares of TE Connectivity by 4.9% during the third quarter. Rehmann Capital Advisory Group now owns 1,253 shares of the electronics maker’s stock valued at $275,000 after buying an additional 58 shares during the last quarter. 91.43% of the stock is owned by institutional investors and hedge funds.

TE Connectivity Company Profile

(Get Free Report)

TE Connectivity (NYSE: TEL) is a global industrial technology company that designs and manufactures connectivity and sensor solutions used to enable the flow of power and data in a wide range of applications. Its product portfolio includes electrical connectors, cable and wire harness assemblies, sensors, relays and switches, fiber-optic and coaxial interconnects, and other passive and active components that provide mechanical and electrical connections in complex systems.

The company’s products and engineered solutions serve diverse end markets such as automotive and transportation, industrial equipment, data communications and networks, aerospace and defense, medical devices, and energy.

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