TEL
TE Connectivity plc

TE Connectivity plcTEL

Technology · Electronic Components
207.01USD
+0.31%
Nov 08, 2026
TEL overview ready
Supplier of high-current connectors and thermal hardware for AI data centers
TE Connectivity supplies the high-current connectors, cable assemblies, busbars, internal rack-power interconnects, high-speed I/O, and selected thermal/connectivity hardware that enable power delivery and system integration within AI data-center racks.
Primary theme is lagging
Connectors & Electronic Components is lagging (-11.9pp vs SPY over 21 sessions; 2 of 8 members ahead of SPY).
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
Attractive valuation
Current market expectations look undemanding relative to how much growth and cash flow it delivers per turn of revenue multiple.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Exposure to cyclical capital spending in transportation and industrial markets.
Market Nov 6Filing Jun 26Price action Nov 7Research Jul 21

Conviction Level

PriceAction3.4BusinessPerformance4.0BusinessQuality8.1Valuation8.0ThemeMomentum1.0Decelerating — Revenue is still growing (+14% YoY), but growth has slowed for 2 consecutive quarters, down from +22%. Diluted EPS is up 19% year over year at $2.55. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
vs SPY
−11.9pp
Theme return
−16.9%
Beating SPY
2 of 8
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
EntryWeak / unconfirmed recovery

The daily chart may be improving, but the weekly fast averages have not been reclaimed — the recovery is not yet confirmed on the higher timeframe.

Key Financials

Market Cap
$59.9B
Avg Volume (60D)
2.0M
60 sessions
Revenue Growth YoY
+8.9%
FY2025 vs FY2024
Gross Margin
+36.1%
Trailing twelve months
Operating Margin
+19.7%
Trailing twelve months
Free Cash Flow Yield
+5.5%
Distance from 200DMA
-2.0%
Next Earnings
2027-01-20
P/E
19.9x
EV / EBITDA
13.4x
EV / Sales
3.3x
Market metrics as of Nov 6, 2026
Financial results for the period ended Jun 26, 2026
Filed balance-sheet data as of Jun 26, 2026

Business Performance

Decelerating

Revenue is still growing (+14% YoY), but growth has slowed for 2 consecutive quarters, down from +22%. Diluted EPS is up 19% year over year at $2.55.

Latest reported: Q3 FY2026, ended Jun 26
Revenue growthSlowing
+14%
$5.16B in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +17%
  2. +22%
  3. +15%
  4. +14%
Earnings growthGrowing
+19%
Diluted EPS $2.55 vs $2.14 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. +147%
  2. +45%
  3. n/a
  4. +19%
Operating marginStable
19.0%
+0.1 pp YoY · gross margin 35.6% (+0.3 pp)

Business Quality

8.1 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Two of the three valuation perspectives say cheap; own history is the dissenting view.
TE Connectivity plc has a Cheap valuation stance because current market expectations look undemanding relative to how much growth and cash flow it delivers per turn of revenue multiple.

What changed

Company Research

Thesis
TE Connectivity supplies the high-current connectors, cable assemblies, busbars, internal rack-power interconnects, high-speed I/O, and selected thermal/connectivity hardware that enable power delivery and system integration within AI data-center racks.
Opportunity
Moderate opportunity
Hyperscaler capex on high-density AI racks requiring electrical distribution, backup power and advanced thermal capacity.
Key risk
Exposure to cyclical capital spending in transportation and industrial markets.

Economic classification

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Business & Markets

Technology · Electronic Components
What they do

TE Connectivity plc designs, manufactures, and sells connectivity and sensor solutions globally through its subsidiaries, operating mainly in two segments: Transportation Solutions and Industrial Solutions.

How it earns

The company generates revenue primarily through transactional sales of electronic components and connectivity products to industrial and transportation customers.

Products & services
Connectors
Cable assemblies
Sensors
Antennas
Fiber optics
Relays and contactors
Electromagnetic compatibility solutions
Thermal/connectivity hardware
Customers & end markets
Transportation manufacturers
Industrial equipment makers
Data center operators
Medical device manufacturers
Market position

Leader in electronic connectivity and sensor components serving diverse industrial and transportation markets.

Demand drivers
Medium cyclicality

Business is influenced by capital expenditure cycles in transportation and industrial sectors as well as data center investments.

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