TE Connectivity (NYSE:TEL) Cut to Hold at Zacks Research

Zacks Research lowered shares of TE Connectivity (NYSE:TEL) from a strong-buy rating to a hold rating in a report released on Monday, MarketBeat Ratings reports.

Several other brokerages have also recently commented on TEL. JPMorgan Chase & Co. boosted their price objective on shares of TE Connectivity from $204.00 to $260.00 and gave the company a “neutral” rating in a research note on Thursday, October 30th. Barclays raised their price target on shares of TE Connectivity from $277.00 to $297.00 and gave the company an “overweight” rating in a report on Friday, November 21st. Cowen reaffirmed a “buy” rating on shares of TE Connectivity in a report on Monday, November 17th. UBS Group increased their price objective on TE Connectivity from $260.00 to $280.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. Finally, Wall Street Zen upgraded TE Connectivity from a “buy” rating to a “strong-buy” rating in a research report on Saturday, November 1st. One equities research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $244.85.

TE Connectivity Trading Down 1.3%

Shares of TEL stock opened at $227.43 on Monday. The stock has a market capitalization of $66.91 billion, a price-to-earnings ratio of 36.98, a PEG ratio of 1.77 and a beta of 1.25. The company’s fifty day simple moving average is $233.87 and its two-hundred day simple moving average is $211.78. TE Connectivity has a 1 year low of $116.30 and a 1 year high of $250.67. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.56 and a quick ratio of 1.03.

TE Connectivity (NYSE:TEL) last posted its quarterly earnings results on Wednesday, October 29th. The electronics maker reported $2.44 EPS for the quarter, topping analysts’ consensus estimates of $2.29 by $0.15. The firm had revenue of $4.75 billion during the quarter, compared to analyst estimates of $4.57 billion. TE Connectivity had a return on equity of 21.18% and a net margin of 10.67%.The business’s revenue for the quarter was up 16.7% on a year-over-year basis. During the same period last year, the company earned $1.95 earnings per share. TE Connectivity has set its Q1 2026 guidance at 2.530-2.530 EPS. As a group, analysts anticipate that TE Connectivity will post 8.05 earnings per share for the current year.

TE Connectivity Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 13th. Investors of record on Friday, February 20th will be issued a dividend of $0.71 per share. This represents a $2.84 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date of this dividend is Friday, February 20th. TE Connectivity’s dividend payout ratio (DPR) is currently 46.18%.

Insider Activity at TE Connectivity

In other TE Connectivity news, CFO Heath A. Mitts sold 82,300 shares of the stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $247.15, for a total transaction of $20,340,445.00. Following the transaction, the chief financial officer directly owned 45,503 shares in the company, valued at $11,246,066.45. This trade represents a 64.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP John S. Jenkins sold 25,021 shares of the business’s stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $247.73, for a total transaction of $6,198,452.33. Following the completion of the sale, the executive vice president owned 20,903 shares of the company’s stock, valued at approximately $5,178,300.19. The trade was a 54.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.90% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of TEL. Brighton Jones LLC purchased a new stake in TE Connectivity during the 4th quarter valued at about $820,000. Trexquant Investment LP bought a new stake in TE Connectivity in the first quarter valued at approximately $3,757,000. Focus Partners Advisor Solutions LLC boosted its stake in shares of TE Connectivity by 9.7% during the first quarter. Focus Partners Advisor Solutions LLC now owns 8,092 shares of the electronics maker’s stock valued at $1,144,000 after purchasing an additional 717 shares during the period. EP Wealth Advisors LLC grew its holdings in shares of TE Connectivity by 22.2% in the first quarter. EP Wealth Advisors LLC now owns 2,369 shares of the electronics maker’s stock worth $335,000 after purchasing an additional 430 shares during the last quarter. Finally, Perbak Capital Partners LLP purchased a new position in shares of TE Connectivity in the first quarter worth $240,000. 91.43% of the stock is owned by institutional investors.

About TE Connectivity

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.