Value Sense
TEL
TE Connectivity Ltd. (TEL)
Last Price$150.6(2.2%)
Market Cap$45.9B
LTM Rule of 40 (EBIT margin)
16.9%
5Y avg
17.1%
Hardware, Equipment & Parts industry median
0.7%
Stock quality & Intrinsic value
6/10
0.2% undervalued
TEL
is 23.2% undervalued
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TE Connectivity Ltd. Rule of 40 (EBIT margin)

Annual
Quarterly
LTM
Industry median
Company stand-alone
TEL
Technology
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Sep'05Sep'06Sep'07Sep'08Sep'09Sep'10Sep'11Sep'12Sep'13Sep'14Sep'15Sep'16Sep'17Sep'18Sep'19Sep'20Sep'21Sep'22Sep'23Sep'24
Rule of 40 (EBIT margin)
26.3%
28.3%
10.7%
22.0%
(64.7%)
30.2%
30.7%
4.2%
11.7%
19.5%
2.2%
15.6%
22.8%
23.3%
10.8%
5.0%
38.9%
26.0%
12.9%
17.6%
TEL
Key metrics and insights to make informed decisions.
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TE Connectivity Ltd. (TEL) Rule of 40 (EBIT margin) comparison analysis

General

LTM Rule of 40 (EBIT margin)

OTHER METRICS

Company name

Revenue growth

EPS growth

Net Income margin

TE Connectivity Ltd. logo
TE Connectivity Ltd.TEL
16.9%
(1.2%)
71.6%
20.2%
Median Peer Set
11.5%
2.0%
3.2%
10.3%
Garmin Ltd. logo
Garmin Ltd.GRMN
45.8%
20.4%
9.1%
22.4%
Amphenol Corporation logo
Amphenol CorporationAPH
42.4%
21.3%
24.1%
15.9%
Fortive Corporation logo
Fortive CorporationFTV
33.1%
4.1%
16.0%
14.3%
Teledyne Technologies Incorporated logo
Teledyne Technologies IncorporatedTDY
18.0%
0.6%
(6.8%)
14.4%
Corning Incorporated logo
Corning IncorporatedGLW
14.1%
4.2%
(15.9%)
3.9%
Trimble Inc. logo
Trimble Inc.TRMB
8.9%
3.3%
(30.4%)
8.2%
Keysight Technologies, Inc. logo
Keysight Technologies, Inc.KEYS
(12.5%)
(8.9%)
(40.6%)
12.3%
Jabil Inc. logo
Jabil Inc.JBL
(13.6%)
(16.8%)
84.4%
4.8%
Flex Ltd. logo
Flex Ltd.FLEX
(14.1%)
(13.0%)
32.0%
3.8%
Coherent, Inc. logo
Coherent, Inc.COHR
(580.2%)
(8.8%)
(2.6%)
(5.9%)

TEL key stats

USD
Millions
Billions
Annual
Quarterly
Trailing
Key stats
Income statement
Balance sheet
Cash Flow Statement
Valuation
Ratios
Per share
Per employee
Dividends & Yields
Sep'05Sep'06Sep'07Sep'08Sep'09Sep'10Sep'11Sep'12Sep'13Sep'14Sep'15Sep'16Sep'17Sep'18Sep'19Sep'20Sep'21Sep'22Sep'23Sep'24
Revenue
% growth
10,924.0
8.4%
12,812.0
17.3%
13,460.0
5.1%
14,834.0
10.2%
10,256.0
(30.9%)
12,070.0
17.7%
14,312.0
18.6%
13,282.0
(7.2%)
13,280.0
(0.0%)
13,912.0
4.8%
12,233.0
(12.1%)
12,238.0
0.0%
13,113.0
7.1%
13,988.0
6.7%
13,448.0
(3.9%)
12,172.0
(9.5%)
14,923.0
22.6%
16,281.0
9.1%
16,034.0
(1.5%)
15,845.0
(1.2%)
Cost of Goods Sold (COGS)7,946.09,447.010,012.011,064.07,720.08,293.09,890.09,236.08,951.09,220.08,146.08,205.08,663.09,243.09,054.08,437.010,036.011,037.010,979.010,389.0
Gross Profit
% margin
2,978.0
27.3%
3,365.0
26.3%
3,448.0
25.6%
3,770.0
25.4%
2,536.0
24.7%
3,777.0
31.3%
4,422.0
30.9%
4,046.0
30.5%
4,329.0
32.6%
4,692.0
33.7%
4,087.0
33.4%
4,033.0
33.0%
4,450.0
33.9%
4,745.0
33.9%
4,394.0
32.7%
3,735.0
30.7%
4,887.0
32.7%
5,244.0
32.2%
5,055.0
31.5%
5,456.0
34.4%
Operating Expenses(1,017.0)1,956.02,596.01,839.01,944.02,123.02,513.02,373.02,448.02,557.02,131.02,107.02,249.02,274.02,134.02,005.02,189.02,302.02,378.02,473.0
Research & Development Expenses (R&D)0.00.00.00.0536.0585.0733.0688.0675.0675.0627.0644.0658.0680.0644.0613.0677.0718.0708.0741.0
Selling, General & Administrative Expenses (SG&A)0.01,627.01,664.01,680.01,408.01,538.01,780.01,685.01,773.01,882.01,504.01,463.01,591.01,594.01,490.01,392.01,512.01,584.01,670.01,732.0
Operating Income
% margin
1,961.0
18.0%
1,409.0
11.0%
753.0
5.6%
1,746.0
11.8%
(3,474.0)
(33.9%)
1,516.0
12.6%
1,741.0
12.2%
1,518.0
11.4%
1,556.0
11.7%
2,045.0
14.7%
1,749.0
14.3%
1,902.0
15.5%
2,047.0
15.6%
2,331.0
16.7%
1,978.0
14.7%
1,765.0
14.5%
2,434.0
16.3%
2,756.0
16.9%
2,304.0
14.4%
2,983.0
18.8%
Interest Income0.00.00.032.017.020.022.023.017.019.017.019.020.015.019.015.017.015.060.087.0
Interest Expense0.0184.02,162.0190.0165.0155.0161.0176.0142.0131.0136.0127.0130.0107.068.048.056.066.080.070.0
Pre-tax Income0.01,201.0356.02,157.0(3,670.0)1,558.01,629.01,415.01,248.01,996.01,575.01,162.01,928.02,240.01,931.0524.02,378.02,733.02,268.02,797.0
Income Tax
% effective tax rate
817.0
0.0%
32.0
2.7%
494.0
138.8%
558.0
25.9%
(576.0)
15.7%
493.0
31.6%
376.0
23.1%
249.0
17.6%
(29.0)
(2.3%)
207.0
10.4%
337.0
21.4%
(779.0)
(67.0%)
255.0
13.2%
(344.0)
(15.4%)
(15.0)
(0.8%)
783.0
149.4%
123.0
5.2%
306.0
11.2%
364.0
16.0%
(397.0)
(14.2%)
Net Income
% margin
1,144.0
10.5%
1,193.0
9.3%
(554.0)
(4.1%)
1,782.0
12.0%
(3,256.0)
(31.7%)
1,103.0
9.1%
1,245.0
8.7%
1,112.0
8.4%
1,276.0
9.6%
1,781.0
12.8%
2,420.0
19.8%
2,009.0
16.4%
1,683.0
12.8%
2,565.0
18.3%
1,844.0
13.7%
(259.0)
(2.1%)
2,261.0
15.2%
2,428.0
14.9%
1,910.0
11.9%
3,193.0
20.2%
EPS2.302.40(1.11)3.69(7.09)2.432.842.613.054.345.985.494.747.335.71(0.78)6.857.526.0610.40
Diluted EPS2.302.40(1.11)3.67(7.09)2.412.812.593.024.275.895.444.707.275.68(0.78)6.797.476.0310.33
EBITDA
% margin
10,924.0
100.0%
1,940.0
15.1%
1,121.0
8.3%
2,898.0
19.5%
(2,991.0)
(29.2%)
2,229.0
18.5%
2,364.0
16.5%
2,197.0
16.5%
1,755.0
13.2%
2,438.0
17.5%
2,327.0
19.0%
1,874.0
15.3%
2,461.0
18.8%
3,014.0
21.5%
2,689.0
20.0%
1,283.0
10.5%
3,479.0
23.3%
3,584.0
22.0%
3,142.0
19.6%
3,848.0
24.3%

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FAQ

1) What is TE Connectivity Ltd.'s Rule of 40 (EBIT margin)?

As of today, Microsoft Corp's last 12-month Rule of 40 (EBIT margin) is 16.9%, based on the financial report for Dec 27, 2024 (Q4’2024). The average annual Rule of 40 (EBIT margin) for TE Connectivity Ltd. have been 23.4% over the past three years, and 17.9% over the past five years.

2) Is TE Connectivity Ltd.'s Rule of 40 (EBIT margin) Good?

As of today, TE Connectivity Ltd.'s Rule of 40 (EBIT margin) is 16.9%, which is higher than industry median of 0.7%. It indicates that TE Connectivity Ltd.'s Rule of 40 (EBIT margin) is Good.

3) How does TE Connectivity Ltd.'s Rule of 40 (EBIT margin) compare to its peers?

As of today, TE Connectivity Ltd.'s Rule of 40 (EBIT margin) is 16.9%, which is higher than peer median of 11.5%. The list of peers includes GRMN, APH, FTV, TDY, GLW, TRMB, KEYS, JBL, FLEX, COHR.