TE Connectivity Ltd (TEL) fair value: what the stock is really worth
As of Oct 7, 2026: fair value of TE Connectivity Ltd $142, price $216, upside -34.0%, quality 72 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 27, 2026.
How to read this chart
60‑month range $100.66 – $245.75 · fair‑value band $99.86 – $194.39 · the $215.83 price screens above the $142.45 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 27, 2026.
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TE Connectivity plc, together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the Asia"Pacific, and the Americas. The company operates through two reportable segments, Transportation Solutions and Industrial Solutions.
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TE Connectivity plc, together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the Asia"Pacific, and the Americas. The company operates through two reportable segments, Transportation Solutions and Industrial Solutions. It provides antennas, application tooling, cable assemblies, connectors, electromagnetic compatibility/electromagnetic interference solutions, energy and power, fiber optics, heat shrink tubing, identification and labeling, medical components, passive components, relays and contactors, sensors, switches, terminals and splices, wires and cables, and wire protection and management solutions. The company also offers training and other services, including 3D printing for production, back shells prototyping, electrical installation training, HarnWare software, machine tooling service and repair, medical device design services, microfluidic devices, and sensor manufacturing services as well as conducts automotive webinars. It serves 5G and wireless equipment, aerospace, appliances, automation and control, automotive, autosport, commercial and industrial vehicles, connected home, data centers and artificial intelligence, defense and military, energy solutions, e-mobility, industrial machinery, intelligent buildings, IoT connectivity, medical technologies, oil and gas/marine, personal electronics and wearable technology, rail, sensor applications, space, and other industries. The company was formerly known as Tyco Electronics Ltd. and changed its name to TE Connectivity plc in March 2011. TE Connectivity plc was founded in 1941 and is based in Ballybrit, Ireland.
Stock analysis
TE Connectivity Ltd (TEL) currently trades at $215.83, while our model-based Fair Value estimate is $142.45, 34.0% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of $153.63 per share, and 3 of the 23 models we run sit above the $215.83 price.
Bear case: the Asset-Based group reads lowest at $29.12, and 20 of the 23 models stay below the price. Evidence for this calculation is high.
Scenario range: $99.86 (bear) to $194.39 (bull), the price of $215.83 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 72/100 (solid quality), in the Technology sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
TE Connectivity Ltd reported revenue of $17.1B in FY2025 versus $14.9B in FY2021, a compound +3.4%/yr. Reported net income was $1.8B in FY2025, compounding −5.0%/yr from FY2021.
Key figures
Market cap $63.2B · P/E ratio 21.1 · P/S ratio 2.28 · EPS (TTM) $10.21 · Dividend yield 1.3% · Net margin 10.8% · Return on equity 23.3% · Return on assets (EBIT) 12.7%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 53 out of 100 (medium confidence).
What moves the price
The share trades about 12% below its 52-week high and 11% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −64% fair-value upside, at −34%, TEL screens cheaper than that median.
Fair Value models
Bear $99.86Fair Value $142.45Bull $194.39
Price $215.83 · Upside -34.0%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 12 months old). Earnings retained since then ($7.30 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Highest evidence
FCF DCF$105.69$155.63$225.9280
Growth DCF$109.42$156.34$219.8179
Owner Earnings$52.64$80.14$118.8576
All 23 models by family
DCF Models
FCF DCF$105.69$155.63$225.9280
Owner Earnings$52.64$80.14$118.8576
5Y Revenue Exit$90.64$139.62$199.2172
5Y EBITDA Exit$135.28$218.23$310.1675
5Y P/E Exit$104.74$164.45$223.1171
10Y Revenue Exit$92.38$136.94$190.6367
10Y EBITDA Exit$123.04$189.79$270.7668
10Y P/E Exit$104.03$153.63$207.9064
Earnings-Based
Graham-Dodd$43.26$95.06$121.1766
PEG = 1.0$15.10$21.57$28.0457
EPV$48.47$58.61$67.4974
Multiples
P/E Multiple$133.61$178.15$222.6863
P/S Multiple$81.12$108.16$135.2058
P/B Multiple$81.12$108.16$135.2055
EV/EBIT$187.25$253.79$320.3466
EV/EBITDA$176.42$239.35$302.2867
EV/Revenue$88.54$131.79$175.0553
Asset-Based
NCAV (Graham)$21.73$29.12$43.4754
Growth DCF
Growth DCF$109.42$156.34$219.8179
Rev-Margin DCF$90.64$141.20$194.7973
Economic Profit
Residual Income$43.11$52.89$71.9976
ROIC Compounder$49.15$62.65$77.8472
Growth Earnings
Growth-Adj P/E$97.74$139.63$181.5267
P/S and P/B multiple show the same value here: both are capped by the same earnings anchor (earnings per share times 17), because margin and return on equity do not support the sector multiple.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.84/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+7.9%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+1.6%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+7.0%
Start year 2020 (pandemic). Over 10 years: +3.4% a year
Revenue growth 23 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+2.4%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+1.1%
Earnings growth per share plus dividend.
Earnings per share, growth per year−0.2%
Dividend (yield on the price)1.3%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−0.2% vs 3.7%, slowing
Profit margin 2019 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.16% → 19%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Price in line with expectations
The price assumes more growth than the company has delivered so far and about what analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+10.3%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+11.0%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +7.7% a year for the price and +8.4% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (96 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Hype
Recent news coverage is unusually upbeat, far more positive than stocks are typically covered.
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Electronic Components · 642 stocks
Beats the industry median on 12/15 measures
Overall it ranks above its industry peers.
Valuation
Quality Score72 · Top 25%
Fair Value upside−34.0% · Above median
Profitability
Return on equity (TTM)23.3% · Top 25%
Return on assets9.7% · Top 25%
Net margin (TTM)15.6% · Top 25%
Operating margin (TTM)20.8% · Top 25%
Growth and dividend
Revenue growth13.8% · Above median
Dividend yield (TTM)1.3% · Above median
Balance sheet
Debt / equity0.39× · Highest 25%
Valuation Multiplesvs Electronic Components median · lower = cheaper
P/E (TTM)21.1× · Cheaper than median
P/B5.02× · Priciest 25%
P/S (TTM)3.27× · Pricier than median
P/FCF19.7× · Cheaper than median
EV/EBITDA13.5× · Cheaper than median
PEG0.92× · Cheaper than median
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 0
FUTURE (revenue growth)69· sector 62
PAST (return on equity)93· sector 28
HEALTH (low debt)81· sector 95
DIVIDEND (yield)27· sector 24
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is TE Connectivity Ltd (TEL) overvalued or undervalued?
As of Sep 27, 2026, our model estimates a fair value of $142.45 versus a price of $215.83, about −34% upside (overvalued).
What is the fair value of TEL?
Our model-based fair value for TE Connectivity Ltd is $142.45 (as of Sep 27, 2026), built from audited fundamentals. The current price: $215.83.
What is the quality score of TEL?
TE Connectivity Ltd has a Quality Score of 72/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for TE Connectivity Ltd (TEL)?
Our model-based price target is the fair value of $142.45 (as of Sep 27, 2026) from 23 valuation models. Cautious scenario $99.86, optimistic scenario $194.39. It is a calculation from audited fundamentals, not an analyst target.
What is the TE Connectivity Ltd stock forecast for 2026?
Our models put fair value at $142.45, about −34% upside versus a price of $215.83 (overvalued). Cautious scenario $99.86, optimistic scenario $194.39. The calculation is refreshed regularly with new filings.
What is the revenue of TE Connectivity Ltd (TEL)?
TE Connectivity Ltd reported trailing-twelve-month revenue of about $19.3B (latest available figure, as of Sep 27, 2026).
Does TE Connectivity Ltd pay a dividend?
TE Connectivity Ltd currently shows a dividend yield of about 1.35% relative to its recent price (as of Sep 27, 2026).
What growth is priced into TE Connectivity Ltd (TEL)?
For today's price to be fair in a discounted-cash-flow model, TE Connectivity Ltd would have to grow free cash flow by +10.3 % per year for five years (discount rate 9.6 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +7.0 % per year. As of Sep 27, 2026.
What discount rate (WACC) does the fair value of TEL use?
Our models discount TE Connectivity Ltd at 9.6 %: a base by market capitalisation (large), damped by beta 1.16, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For TE Connectivity Ltd that is +10.3 % per year a year over ten years, using the same discount rate (9.6 %) and the same formula as our fair value.
How much growth has TE Connectivity Ltd (TEL) delivered so far?
Over the past 5 years revenue at TE Connectivity Ltd grew +7.0 % a year. The price currently implies +10.3 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of TE Connectivity Ltd (TEL) growing?
The median revenue growth in the sector is +10.3 % a year. That is the yardstick for the growth priced into TE Connectivity Ltd (+10.3 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of TE Connectivity Ltd (TEL)?
The free-cash-flow yield on the price is 5.06 %: that much free cash flow TE Connectivity Ltd produces per unit of market value. When it exceeds the discount rate of our models (9.6 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of TE Connectivity Ltd (TEL)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For TE Connectivity Ltd it is $142.45 per share (as of Sep 27, 2026), against a price of $215.83. It is the blended result of 23 valuation models (cash flow, earnings, asset, dividend).
Is TE Connectivity Ltd stock overvalued or undervalued in 2026?
As of Sep 27, 2026, TEL trades above its calculated fair value: price $215.83, fair value $142.45, a gap of about −34% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of TEL?
No. The price is what the market pays today ($215.83); the fair value is what the company's own numbers justify ($142.45). For TE Connectivity Ltd the two are $73.38 per share apart. That gap is exactly why we show both numbers side by side.
How much is TE Connectivity Ltd worth?
The market values TE Connectivity Ltd at about $63.2B (market capitalisation, as of Sep 27, 2026). Per share that is $215.83; our models calculate a fair value of $142.45 per share.
What do the bullish and bearish scenarios say about TEL?
Our models span a range for TE Connectivity Ltd: cautious scenario $99.86, base $142.45, optimistic $194.39 per share (as of Sep 27, 2026, price $215.83). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of TEL?
TE Connectivity Ltd trades at a price-to-earnings ratio of 21.1 (as of Sep 27, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $142.45 is built from several models across several years. Other multiples: PEG 0.9, P/B 5.0, P/S 3.3, EV/EBITDA 13.5.
What is the PEG ratio of TEL?
The PEG ratio of TE Connectivity Ltd is 0.92 (P/E divided by earnings growth, as of Sep 27, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of TE Connectivity Ltd (TEL)?
Balance-sheet figures for TE Connectivity Ltd (as of Sep 27, 2026): return on equity 23.3%, debt of 0.39 per unit of equity. They feed the Quality Score of 72/100, which measures business quality independently of the share price.
How far is TEL from its 52-week high?
TE Connectivity Ltd trades at $215.83, about 12% below its 52-week high of $245.75 and 11% above the low of $194.33 (as of Oct 7, 2026). Distance from the high says nothing about value: that is what the fair value of $142.45 is for.
Which stocks are comparable to TE Connectivity Ltd?
From the same area (Technology) we also value Amphenol Corporation, Delta Electronics, Inc, Corning Incorporated, Hon Hai Precision Industry Co, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is TE Connectivity Ltd stock attractive at the current price?
The data as of Sep 27, 2026: price $215.83, calculated fair value $142.45 (−34%), Quality Score 72/100, from 23 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of TEL calculated?
We run TE Connectivity Ltd through 23 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $142.45, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. TE Connectivity Ltd itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of TE Connectivity Ltd (TEL)?
The closing price on Oct 7, 2026 was $215.83. Our model-based fair value is $142.45, about −34% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with TE Connectivity Ltd right now?
A high-quality business (quality 72/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety. The price sits above even our optimistic bull case ($194.39). The favourable scenario is already priced in. A fairly wide model range ($99.86 to $194.39) leaves room in how you read the outcome.
Key figures of TE Connectivity Ltd
How large is the market capitalisation of TE Connectivity Ltd (TEL)?
The market capitalisation of TE Connectivity Ltd is $63.2B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of TE Connectivity Ltd (TEL)?
The price-to-sales ratio of TE Connectivity Ltd is 2.28 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of TE Connectivity Ltd (TEL)?
Earnings per share at TE Connectivity Ltd are $10.21 (price ÷ EPS = P/E 21.1). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of TE Connectivity Ltd (TEL)?
The dividend yield of TE Connectivity Ltd is 1.3% (payout 28.5%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of TE Connectivity Ltd (TEL)?
The net margin of TE Connectivity Ltd is 10.8% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of TE Connectivity Ltd (TEL)?
The return on equity (ROE) of TE Connectivity Ltd is 23.3% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of TE Connectivity Ltd (TEL)?
On an EBIT basis the return on assets of TE Connectivity Ltd is 12.7% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of TE Connectivity Ltd (TEL)?
The operating margin of TE Connectivity Ltd is 20.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at TE Connectivity Ltd (TEL)?
Revenue at TE Connectivity Ltd is growing +13.8% versus a year earlier (3y avg +1.6%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at TE Connectivity Ltd (TEL)?
Earnings per share at TE Connectivity Ltd are growing +19.2% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does TE Connectivity Ltd (TEL) carry?
The net debt of TE Connectivity Ltd is $5.3B (fiscal year 2025, ≈ 1.7 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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