TE Connectivity (NYSE:TEL) Posts Earnings Results, Hits Expectations

TE Connectivity (NYSE:TEL) issued its earnings results on Wednesday. The electronics maker reported $1.95 earnings per share for the quarter, meeting the consensus estimate of $1.95, Briefing.com reports. TE Connectivity had a net margin of 20.15% and a return on equity of 18.48%. The firm had revenue of $4.07 billion for the quarter, compared to analysts’ expectations of $4 billion. During the same quarter last year, the company earned $1.78 earnings per share. The firm’s revenue was up .8% compared to the same quarter last year. TE Connectivity updated its Q1 2024 guidance to 1.880-1.880 EPS and its Q1 guidance to $1.88 EPS.

TE Connectivity Stock Performance

NYSE TEL opened at $150.02 on Friday. The stock has a market capitalization of $45.59 billion, a price-to-earnings ratio of 14.61, a PEG ratio of 2.00 and a beta of 1.33. The business’s 50 day moving average is $147.94 and its two-hundred day moving average is $148.45. TE Connectivity has a 12-month low of $122.30 and a 12-month high of $159.98. The company has a current ratio of 1.61, a quick ratio of 0.99 and a debt-to-equity ratio of 0.27.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on TEL shares. Wells Fargo & Company decreased their price objective on shares of TE Connectivity from $155.00 to $153.00 and set an “equal weight” rating for the company in a research report on Friday, September 20th. Truist Financial raised their target price on TE Connectivity from $151.00 to $156.00 and gave the stock a “hold” rating in a research report on Thursday, July 25th. Vertical Research assumed coverage on TE Connectivity in a report on Tuesday, July 23rd. They issued a “hold” rating and a $155.00 price target for the company. Bank of America dropped their target price on shares of TE Connectivity from $173.00 to $165.00 and set a “buy” rating on the stock in a research report on Wednesday, October 9th. Finally, Hsbc Global Res cut TE Connectivity from a “hold” rating to a “moderate sell” rating in a research note on Thursday. One investment analyst has rated the stock with a sell rating, six have given a hold rating and six have assigned a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $159.55.

TE Connectivity announced that its Board of Directors has authorized a share buyback plan on Wednesday, October 30th that allows the company to repurchase $2.50 billion in outstanding shares. This repurchase authorization allows the electronics maker to reacquire up to 5.4% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s management believes its shares are undervalued.

About TE Connectivity

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the AsiaPacific, and the Americas. The company operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions.