TE Connectivity plc (TEL), headquartered in Ballybrit, Ireland, manufactures and sells connectivity and sensor solutions. Valued at $66.4 billion by market cap, the company offers a broad range of connectivity and sensor solutions that enable the distribution of power, signal, and data for transportation, renewable energy, data centers, medical technology, and automated factories. Companies worth $10 billion or more are generally described as “large-cap stocks,” and TEL perfectly fits that description, wi ...

Core Insights - TE Connectivity (NYSE:TEL) is a significant player in the electronics industry, known for its innovative connectivity and sensor solutions, serving various sectors including automotive, industrial, and communications [1] - Truist Financial has set a new price target of $239 for TEL, indicating an 11.43% potential increase from its previous trading price of $214.49, reflecting a more conservative outlook compared to the previous target of $255 [1][5] Financial Performance - TEL is recognized for its high return on equity (ROE) and is categorized as a cash-rich company, making it attractive to investors seeking stability in volatile market conditions [2][5] - The stock's current price of $219.63 represents a 2.39% increase from its previous value, indicating growing investor confidence in TEL's financial health and growth prospects [2][5] Market Activity - Throughout the trading day, TEL's price fluctuated between a low of $213.68 and a high of $219.74, which is typical in the stock market [3] - Over the past year, TEL has experienced a high of $250.67 and a low of $116.30, showcasing its potential for significant price movements [3] Company Size and Interest - TE Connectivity has a market capitalization of approximately $64.61 billion, positioning it as a substantial player in the industry [4] - The trading volume of 901,635 shares indicates active interest in the stock, supporting its status as a favored choice among investors [4]

Core Insights - Allworth Financial LP increased its holdings in TE Connectivity by 68.1% in Q2, owning 2,422 shares valued at $409,000 [2] - TE Connectivity reported Q3 earnings of $2.44 EPS, exceeding estimates of $2.29, with revenue of $4.75 billion, up 16.7% year-over-year [5] - The company declared a quarterly dividend of $0.71, representing an annualized yield of 1.2% [6] Institutional Holdings - Nordea Investment Management AB raised its stake in TE Connectivity by 54.4%, now owning 1,605,782 shares valued at $269.72 million [3] - 91.43% of TE Connectivity's stock is owned by institutional investors and hedge funds [3] - KLP Kapitalforvaltning AS increased its holdings by 3.5%, now owning 110,533 shares valued at $18.69 million [3] Stock Performance - TE Connectivity shares opened at $237.14, with a market capitalization of $69.76 billion and a PE ratio of 38.56 [4] - The stock has a one-year low of $116.30 and a high of $250.67 [4] - The company has a debt-to-equity ratio of 0.38 and a current ratio of 1.56 [4] Insider Activity - EVP John S. Jenkins sold 25,021 shares at an average price of $247.73, representing a 54.48% decrease in ownership [7] - In the last ninety days, insiders sold 131,171 shares worth $31.38 million [7] - Insiders currently own 0.90% of the company's stock [7] Analyst Ratings - Evercore ISI raised its price target for TE Connectivity from $250.00 to $260.00, maintaining an "outperform" rating [8] - JPMorgan Chase & Co. increased its target price from $204.00 to $260.00, giving a "neutral" rating [9] - The average rating for TE Connectivity is "Moderate Buy" with a consensus target price of $241.58 [9] Company Overview - TE Connectivity manufactures and sells connectivity and sensor solutions across various regions, operating through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions [10]

Core Insights - TE Connectivity plc has appointed Dr. Ken Washington to its board of directors, effective November 17, 2025, bringing significant technology development experience to the company [1][2]. Company Overview - TE Connectivity plc is a global leader in industrial technology, focusing on connectivity and sensor solutions that support advancements in transportation, energy networks, automated factories, and data centers [4]. Leadership Experience - Dr. Washington has a robust background in technology and innovation, having served as senior vice president and chief technology & innovation officer at Medtronic plc since 2023, and previously held key positions at Amazon Lab126 and Ford Motor Company [3]. Recent Performance - TE Connectivity reported a 17% sales growth in its fiscal fourth quarter, exceeding guidance, indicating strong financial performance [5]. Upcoming Events - The company will host an Investor Day on November 20, 2025, in Philadelphia, which will provide further insights into its strategic direction and performance [6].

Market Overview - The equity markets experienced significant volatility due to strong quarterly performances from some blue-chip tech firms being overshadowed by concerns over the rising valuations of AI companies [1] - Experts predict that the growth of AI firms may not justify the substantial investments, potentially leading to a market correction [1] - The U.S. government shutdown has reached a record 38 days, contributing to investor uncertainty and increased market volatility [1] Economic Conditions - The U.S. economy showed signs of weakness with 153,000 job cuts in October, the highest for that month in 22 years, raising concerns about labor market conditions [2] - Investors are adopting a cautious "wait-and-see" approach, focusing on "cash cow" stocks that provide higher returns [2] Investment Metrics - Return on Equity (ROE) is highlighted as a crucial metric for assessing a company's financial health and efficiency in generating profits [3][4] - A high ROE indicates effective reinvestment of cash at a high rate of return, distinguishing profitable companies from less efficient ones [3][4] Stock Screening Criteria - Stocks are screened based on parameters such as Cash Flow greater than $1 billion and ROE exceeding the industry average [5] - Additional criteria include Price/Cash Flow lower than the industry average and Return on Assets (ROA) greater than the industry average [6] - A 5-Year EPS Historical Growth greater than the industry average is also considered to ensure continued earnings momentum [6] High-ROE Stocks - TE Connectivity, ZTO Express, Corning, Banco Bilbao, and VICI Properties are identified as high-ROE stocks that offer resilient investment options [7] - TE Connectivity has a long-term earnings growth expectation of 10.7% and a trailing four-quarter earnings surprise of 6.5% on average, with a Zacks Rank of 2 [9] - ZTO Express has a long-term earnings growth expectation of 1.7% and also carries a Zacks Rank of 2 [11] - Corning has a long-term earnings growth expectation of 18.2% and a trailing four-quarter earnings surprise of 4.1% on average, with a Zacks Rank of 1 [12] - Banco Bilbao has a long-term earnings growth expectation of 12% and a trailing four-quarter earnings surprise of 5.7% on average, with a Zacks Rank of 2 [13] - VICI Properties has a long-term earnings growth expectation of 4.2% and a trailing four-quarter earnings surprise of 0.4% on average, with a Zacks Rank of 2 [15]

Core Insights - The London Company reported a 6.3% return for its Large Cap Strategy in Q3 2025, underperforming the Russell 1000 Index which gained 8.0% [1] - The rally in US equities was attributed to the Fed rate cut, strong corporate earnings, and enthusiasm around AI [1] - TE Connectivity Ltd. (NYSE:TEL) was highlighted as a top performer, benefiting from AI spending and maintaining strong margins despite mixed demand [3] Company Performance - TE Connectivity Ltd. achieved a one-month return of 11.17% and a 52-week gain of 65.53%, closing at $246.87 per share with a market cap of $72.718 billion on November 3, 2025 [2] - The company is recognized for its diversified portfolio, high-value products, and market leadership, which position it for sustained growth and margin expansion [3] Investment Sentiment - TE Connectivity plc was held by 47 hedge fund portfolios at the end of Q2 2025, an increase from 45 in the previous quarter [4] - Despite its potential, some analysts believe other AI stocks may offer greater upside potential and less downside risk compared to TE Connectivity [4]

Core Insights - TE Connectivity plc achieved record sales, operating margin, and cash generation for the fiscal year 2025, with strong performance across its segments despite a challenging macro environment [3][9][12] - The company reported net sales of $4.75 billion for the fourth quarter, a 17% increase year-over-year, and $17.3 billion for the full year, up 9% [9][12] - The Industrial segment saw a 24% increase in sales, driven by innovations catering to AI and energy customers, while the Transportation segment benefited from increased data connectivity and electrified power train growth [3][9] Financial Performance - For Q4 FY2025, GAAP diluted EPS from continuing operations was $2.23, a 148% increase year-over-year, while adjusted EPS reached a record $2.44, up 25% [9][12] - The company generated cash flow from operating activities of $1.4 billion in Q4 and a record $4.1 billion for the full year, with free cash flow of $1.2 billion in Q4 and $3.2 billion for the year [9][12] - TE Connectivity returned $650 million to shareholders in Q4 and $2.2 billion for the full year, while also deploying $2.6 billion for bolt-on acquisitions [9][12] Segment Performance - The Transportation Solutions segment reported net sales of $2.4 billion in Q4, while the Industrial Solutions segment achieved $2.3 billion, reflecting strong demand across both areas [9][12] - The operating margin for the full year was 19% for GAAP and 20% for adjusted, indicating robust operational performance [9][12] - Orders increased to $4.7 billion, up 22% year-over-year, showcasing strong demand across both segments [9][12] Outlook - For Q1 FY2026, TE Connectivity expects sales of approximately $4.5 billion, representing a 17% increase on a reported basis and an 11% organic growth year-over-year [4][9] - GAAP EPS is projected to be around $2.33, a 33% increase year-over-year, with adjusted EPS expected to be approximately $2.53, up 23% [4][9] - The company is well-positioned to capitalize on long-term growth trends, supported by strong order levels and operational resilience [4][9]

Core Viewpoint - T Connectivity has reached an all-time high in stock price, driven by positive market sentiment and upcoming earnings expectations [1][4]. Company Overview - T Connectivity has a market capitalization of approximately $67.5 billion and employs around 85,000 people globally [2]. - The company is incorporated in Galway, Ireland, and operates as a global technology firm specializing in connectivity and sensor solutions across various industries, with a significant focus on transportation solutions [3]. Revenue Breakdown - Revenue distribution shows that 37% comes from Europe, the Middle East, and Africa, 34% from the Asia-Pacific region, and 29% from the Americas [3]. Market Position - T Connectivity's market cap positions it in the middle range compared to industry peers such as Amphenol, Corning, Dupont, Celestica, and TDK Corp [5]. - The company faces different competitive landscapes across its segments, including transportation, industrial solutions, and communication [6]. Earnings Expectations - Analysts are closely monitoring the book-to-bill ratio as a key indicator for the company's mixed end markets, particularly focusing on transportation sales, which have been sluggish due to weak performance in Europe [7][8]. - The company is expected to report earnings next Wednesday, with optimism stemming from recent positive reports from other companies [4]. Growth Projections - T Connectivity is projected to achieve approximately 5.4% organic growth and 8% total revenue growth for the remainder of the year, marking a recovery from the 1% revenue declines experienced over the past two years [9]. - The company has shown signs of recovery, with earnings growth expected to increase to about 14% if it meets its targets for the rest of the year [12]. Market Sentiment - The stock has rallied approximately 60% year-to-date, attributed to broader industrial performance and the influence of AI and technology trends [10]. - The financial fundamentals support the stock's rally, indicating a bounce-back year for the company [11][13].

Core Insights - TE Connectivity plc (NYSE: TEL) will report its financial results for Q4 and the full year of fiscal 2025 on October 29, 2025, before market opening [1] - A conference call for investors will take place at 8:30 a.m. ET on the same day [1] Company Overview - TE Connectivity is a global industrial technology leader focused on creating a safer, sustainable, productive, and connected future [1] - The company offers a wide range of connectivity and sensor solutions that facilitate the distribution of power, signal, and data across various sectors, including transportation, energy networks, automated factories, data centers, and medical technology [1] - TE Connectivity employs over 85,000 individuals, including 9,000 engineers, and operates in approximately 130 countries [1]

Market Overview - The broader equity markets are reaching all-time highs despite concerns over a government shutdown and inflation issues, with investors expecting the shutdown to have minimal impact on the U.S. economy [1] - Investors are adopting a "wait-and-see" approach, anticipating another rate cut by the Federal Reserve this month [2] Investment Opportunities - High-ROE stocks such as Arista Networks Inc. (ANET), TE Connectivity plc (TEL), Corning Incorporated (GLW), Banco Bilbao Vizcaya Argentaria, S.A. (BBVA), and AppLovin Corporation (APP) are highlighted for their strong earnings momentum and cash flow [2][7] - The focus on cash-rich stocks with high return on equity (ROE) is emphasized as a solid investment strategy [2] Key Metrics - ROE is defined as Net Income divided by Shareholders' Equity, serving as a crucial metric for distinguishing profit-generating companies from less efficient ones [3] - A higher ROE indicates effective management in generating returns without new equity capital, thus rewarding shareholders [4] Screening Parameters - Stocks are screened based on criteria including Cash Flow greater than $1 billion, ROE greater than the industry average, Price/Cash Flow lower than the industry average, and Return on Assets (ROA) greater than the industry average [5][6] - A Zacks Rank of 1 (Strong Buy) or 2 (Buy) is also a criterion for stock selection, indicating potential outperformance [7] Company Profiles - **Arista Networks Inc. (ANET)**: Focuses on cloud networking solutions with a long-term earnings growth expectation of 18.7% and a trailing four-quarter earnings surprise of 12.8% [9] - **TE Connectivity plc (TEL)**: A global technology company with a long-term earnings growth expectation of 9.8% and operations in over 130 countries [11] - **Corning Incorporated (GLW)**: Known for its glass technologies, with a long-term earnings growth expectation of 18.2% [12] - **Banco Bilbao Vizcaya Argentaria, S.A. (BBVA)**: Provides a range of banking services with a long-term earnings growth expectation of 10% [13] - **AppLovin Corporation (APP)**: Offers a software platform for advertisers with a long-term earnings growth expectation of 20% and a trailing four-quarter earnings surprise of 22.4% [14]