Geode Capital Management LLC Has $1.43 Billion Position in TE Connectivity Ltd. $TEL

Key Points

• Geode Capital Management increased its TE Connectivity stake by 2.6% in the fourth quarter, ending with 6.28 million shares valued at about $1.43 billion.
• TE Connectivity reported strong quarterly results, with EPS of $2.73 beating estimates and revenue of $4.74 billion topping expectations, while revenue rose 14.4% year over year.
• The company also boosted shareholder returns by approving a $3 billion share buyback and raising its quarterly dividend to $0.78 per share from $0.71.

Geode Capital Management LLC increased its stake in shares of TE Connectivity Ltd. (NYSE:TEL - Free Report) by 2.6% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 6,284,933 shares of the electronics maker's stock after buying an additional 161,967 shares during the quarter. Geode Capital Management LLC owned about 2.14% of TE Connectivity worth $1,425,669,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in the stock. Vanguard Group Inc. grew its position in TE Connectivity by 0.4% during the fourth quarter. Vanguard Group Inc. now owns 38,421,283 shares of the electronics maker's stock worth $8,741,226,000 after buying an additional 168,142 shares in the last quarter. State Street Corp grew its position in TE Connectivity by 0.8% during the third quarter. State Street Corp now owns 13,028,927 shares of the electronics maker's stock worth $2,860,244,000 after buying an additional 100,194 shares in the last quarter. Bank of America Corp DE grew its position in TE Connectivity by 27.5% during the second quarter. Bank of America Corp DE now owns 6,274,917 shares of the electronics maker's stock worth $1,058,390,000 after buying an additional 1,352,152 shares in the last quarter. Invesco Ltd. grew its position in TE Connectivity by 11.0% during the third quarter. Invesco Ltd. now owns 2,954,244 shares of the electronics maker's stock worth $648,545,000 after buying an additional 292,154 shares in the last quarter. Finally, Northern Trust Corp grew its position in TE Connectivity by 0.7% during the third quarter. Northern Trust Corp now owns 2,792,473 shares of the electronics maker's stock worth $613,032,000 after buying an additional 18,294 shares in the last quarter. Institutional investors and hedge funds own 91.43% of the company's stock.

Insider Activity at TE Connectivity

In other news, insider Shadrak W. Kroeger sold 9,400 shares of the stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $215.00, for a total value of $2,021,000.00. Following the completion of the transaction, the insider directly owned 25,976 shares in the company, valued at approximately $5,584,840. This represents a 26.57% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 28,200 shares of company stock valued at $6,211,332. 0.60% of the stock is currently owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on TEL. Truist Financial reduced their price target on TE Connectivity from $244.00 to $240.00 and set a "hold" rating on the stock in a research report on Thursday, April 23rd. Jefferies Financial Group raised TE Connectivity from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, April 15th. Oppenheimer increased their price target on TE Connectivity from $270.00 to $285.00 and gave the stock an "outperform" rating in a research report on Friday, February 13th. UBS Group reduced their target price on TE Connectivity from $272.00 to $261.00 and set a "buy" rating on the stock in a report on Thursday, April 23rd. Finally, Wells Fargo & Company raised their target price on TE Connectivity from $214.00 to $226.00 and gave the company an "equal weight" rating in a report on Thursday, April 23rd. Two analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $256.57.

TE Connectivity Stock Up 1.0%

Shares of TEL opened at $210.85 on Friday. TE Connectivity Ltd. has a 52 week low of $158.09 and a 52 week high of $252.56. The stock has a market capitalization of $61.55 billion, a price-to-earnings ratio of 21.54, a PEG ratio of 1.48 and a beta of 1.18. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.20 and a current ratio of 1.89. The stock has a fifty day moving average of $212.58 and a 200-day moving average of $222.32.

TE Connectivity (NYSE:TEL - Get Free Report) last announced its quarterly earnings results on Wednesday, April 22nd. The electronics maker reported $2.73 EPS for the quarter, beating analysts' consensus estimates of $2.70 by $0.03. TE Connectivity had a return on equity of 23.56% and a net margin of 15.54%.The company had revenue of $4.74 billion during the quarter, compared to analysts' expectations of $4.72 billion. During the same period in the prior year, the company earned $2.10 EPS. TE Connectivity's revenue was up 14.4% compared to the same quarter last year. TE Connectivity has set its Q3 2026 guidance at 2.830-2.830 EPS. As a group, sell-side analysts anticipate that TE Connectivity Ltd. will post 11.28 earnings per share for the current fiscal year.

TE Connectivity declared that its Board of Directors has approved a share buyback plan on Wednesday, March 11th that permits the company to repurchase $3.00 billion in shares. This repurchase authorization permits the electronics maker to purchase up to 5% of its stock through open market purchases. Stock repurchase plans are often a sign that the company's board believes its shares are undervalued.

TE Connectivity Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, June 12th. Stockholders of record on Friday, May 22nd will be paid a $0.78 dividend. This represents a $3.12 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date is Friday, May 22nd. This is a positive change from TE Connectivity's previous quarterly dividend of $0.71. TE Connectivity's dividend payout ratio is currently 31.87%.

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.

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