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How to buy TE Connectivity stock
Own TE Connectivity stock in just a few minutes.
TE Connectivity Ltd is an electronic components business based in the US. TE Connectivity shares (TEL) are listed on the NYSE and all prices are listed in US Dollars. TE Connectivity employs 80,000 staff and has a trailing 12-month revenue of around USD$12.2 billion.
How to buy shares in TE Connectivity
- Compare share trading platforms. If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio. Narrow down top brands with our comparison table.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and bank information. Fund your account with a bank transfer, credit card or debit card.
- Search for TE Connectivity Find the stock by name or ticker symbol: TEL. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until TE Connectivity reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. Weigh your budget against a diversified portfolio that can minimize risk through the market's ups and downs. You may be able to buy a fractional share of TE Connectivity, depending on your broker.
- Check in on your investment. Congratulations, you own a part of TE Connectivity. Optimize your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- TEL shares summary
- Compare share dealing platforms
- Is TEL stock a buy or sell?
- Stock performance over time
- Can I short TEL shares?
- Is TEL suitable for ethical investing?
- Are TEL shares over-valued?
- TE Connectivity's financials
- How volatile are TEL shares?
- Does TE Connectivity pay a dividend?
- Other common questions
TE Connectivity share price
Use our graph to track the performance of TEL stocks over time.TE Connectivity shares at a glance
Information last updated 2020-09-25.
| 52-week range | USD$48.62 - USD$103.2 |
|---|---|
| 50-day moving average | USD$96.3009 |
| 200-day moving average | USD$80.9556 |
| Wall St. target price | USD$104.33 |
| PE ratio | 41.9227 |
| Dividend yield | USD$1.92 (2.04%) |
| Earnings per share (TTM) | USD$2.086 |
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Is it a good time to buy TE Connectivity stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.
TE Connectivity price performance over time
Historical closes compared with the last close of $N/A
| 1 week (2020-09-16) | N/A |
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| 1 month (2020-08-23) | N/A |
| 3 months (2020-06-23) | N/A |
| 6 months (2020-03-23) | N/A |
| 1 year (2019-09-23) | N/A |
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| 2 years (2018-09-23) | N/A |
| 3 years (2017-09-23) | N/A |
| 5 years (2015-09-23) | N/A |
Is TE Connectivity under- or over-valued?
Valuing TE Connectivity stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of TE Connectivity's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
TE Connectivity's P/E ratio
TE Connectivity's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 42x. In other words, TE Connectivity shares trade at around 42x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
TE Connectivity's PEG ratio
TE Connectivity's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.334. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into TE Connectivity's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
TE Connectivity's EBITDA
TE Connectivity's EBITDA (earnings before interest, taxes, depreciation and amortisation) is USD$2.5 billion.
The EBITDA is a measure of a TE Connectivity's overall financial performance and is widely used to measure a its profitability.
TE Connectivity financials
| Revenue TTM | USD$12.2 billion |
|---|---|
| Operating margin TTM | 14.69% |
| Gross profit TTM | USD$4.4 billion |
| Return on assets TTM | 5.81% |
| Return on equity TTM | -1.12% |
| Profit margin | -0.81% |
| Book value | $27.382 |
| Market capitalisation | USD$30.9 billion |
TTM: trailing 12 months
Shorting TE Connectivity shares
There are currently 5.5 million TE Connectivity shares held short by investors – that's known as TE Connectivity's "short interest". This figure is 0.9% up from 5.5 million last month.
There are a few different ways that this level of interest in shorting TE Connectivity shares can be evaluated.
TE Connectivity's "short interest ratio" (SIR)
TE Connectivity's "short interest ratio" (SIR) is the quantity of TE Connectivity shares currently shorted divided by the average quantity of TE Connectivity shares traded daily (recently around 1.5 million). TE Connectivity's SIR currently stands at 3.73. In other words for every 100,000 TE Connectivity shares traded daily on the market, roughly 3730 shares are currently held short.
However TE Connectivity's short interest can also be evaluated against the total number of TE Connectivity shares, or, against the total number of tradable TE Connectivity shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case TE Connectivity's short interest could be expressed as 0.02% of the outstanding shares (for every 100,000 TE Connectivity shares in existence, roughly 20 shares are currently held short) or 0.0168% of the tradable shares (for every 100,000 tradable TE Connectivity shares, roughly 17 shares are currently held short).
Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against TE Connectivity.
Find out more about how you can short TE Connectivity stock.
TE Connectivity's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like TE Connectivity.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
TE Connectivity's total ESG risk score
Total ESG risk: 14.63
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and TE Connectivity's overall score of 14.63 (as at 08/01/2020) is excellent – landing it in it in the 6th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like TE Connectivity is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
TE Connectivity's environmental score
Environmental score: 7.71/100
TE Connectivity's environmental score of 7.71 puts it squarely in the 7th percentile of companies rated in the same sector. This could suggest that TE Connectivity is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
TE Connectivity's social score
Social score: 10.01/100
TE Connectivity's social score of 10.01 puts it squarely in the 7th percentile of companies rated in the same sector. This could suggest that TE Connectivity is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
TE Connectivity's governance score
Governance score: 10.91/100
TE Connectivity's governance score puts it squarely in the 7th percentile of companies rated in the same sector. That could suggest that TE Connectivity is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
TE Connectivity's controversy score
Controversy score: 1/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. TE Connectivity scored a 1 out of 5 for controversy – the highest score possible, reflecting that TE Connectivity has managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
TE Connectivity Ltd was last rated for ESG on: 2020-08-01.
| Total ESG score | 14.63 |
|---|---|
| Total ESG percentile | 6.38 |
| Environmental score | 7.71 |
| Environmental score percentile | 7 |
| Social score | 10.01 |
| Social score percentile | 7 |
| Governance score | 10.91 |
| Governance score percentile | 7 |
| Level of controversy | 1 |
TE Connectivity share dividends
Dividend payout ratio: 88.89% of net profits
Recently TE Connectivity has paid out, on average, around 88.89% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.04% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), TE Connectivity shareholders could enjoy a 2.04% return on their shares, in the form of dividend payments. In TE Connectivity's case, that would currently equate to about $1.92 per share.
TE Connectivity's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
TE Connectivity's most recent dividend payout was on 4 September 2020. The latest dividend was paid out to all shareholders who bought their shares by 20 August 2020 (the "ex-dividend date").
TE Connectivity share price volatility
Over the last 12 months, TE Connectivity's shares have ranged in value from as little as $48.62 up to $103.2. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while TE Connectivity's is 1.3751. This would suggest that TE Connectivity's shares are more volatile than the average for this exchange and represent, relatively-speaking, a higher risk (but potentially also market-beating returns).
TE Connectivity overview
TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensors solutions in Europe, the Middle East, Africa, the Asia?Pacific, and the Americas. The company operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions. The Transportation Solutions segment provides terminals and connector systems and components, sensors, antennas, relays, application tooling, wires, and heat shrink tubing products for use in the automotive, commercial transportation, and sensor markets. The Industrial Solutions segment offers terminals and connector systems and components; heat shrink tubing; relays; and wires and cables for industrial equipment, aerospace, defense, oil and gas, and energy markets. The Communications Solutions segment supplies electronic components, such as terminals and connector systems and components, relays, heat shrink tubing, and antennas for the data and devices, and appliances markets. TE Connectivity Ltd. sells its products to approximately 140 countries primarily through direct selling to manufacturers, as well as through third-party distributors. The company was formerly known as Tyco Electronics Ltd. and changed its name to TE Connectivity Ltd. in March 2011. TE Connectivity Ltd. was incorporated in 2000 and is based in Schaffhausen, Switzerland.
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