TE Connectivity (NYSE:TEL) Sees Unusually-High Trading Volume on Strong Earnings

TE Connectivity Ltd. (NYSE:TEL) saw an uptick in trading volume on Wednesday following a better than expected earnings announcement. 1,444,906 shares were traded during mid-day trading, a decline of 33% from the previous session’s volume of 2,142,973 shares.The stock last traded at $141.62 and had previously closed at $143.23.

The electronics maker reported $1.86 earnings per share for the quarter, beating the consensus estimate of $1.83 by $0.03. TE Connectivity had a return on equity of 18.80% and a net margin of 21.63%. The company had revenue of $3.97 billion for the quarter, compared to analyst estimates of $3.96 billion. During the same quarter in the prior year, the firm posted $1.65 EPS. TE Connectivity’s quarterly revenue was down 4.6% compared to the same quarter last year.

TE Connectivity Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 7th. Stockholders of record on Friday, February 21st will be paid a dividend of $0.65 per share. The ex-dividend date is Friday, February 21st. This represents a $2.60 dividend on an annualized basis and a dividend yield of 1.85%. TE Connectivity’s dividend payout ratio is 21.59%.

Analysts Set New Price Targets

A number of brokerages have commented on TEL. JPMorgan Chase & Co. dropped their target price on shares of TE Connectivity from $170.00 to $169.00 and set a “neutral” rating on the stock in a research note on Thursday. Robert W. Baird dropped their price objective on TE Connectivity from $159.00 to $158.00 and set an “outperform” rating on the stock in a research note on Thursday. Truist Financial lifted their target price on TE Connectivity from $148.00 to $153.00 and gave the company a “hold” rating in a research report on Thursday, January 25th. The Goldman Sachs Group reissued a “buy” rating on shares of TE Connectivity in a research report on Monday, April 1st. Finally, Citigroup initiated coverage on shares of TE Connectivity in a research report on Friday, January 5th. They set a “neutral” rating and a $146.00 target price on the stock. Five investment analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $153.50.

Insider Buying and Selling at TE Connectivity

In other news, insider Steven T. Merkt sold 99,777 shares of TE Connectivity stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $144.00, for a total value of $14,367,888.00. Following the transaction, the insider now owns 30,459 shares of the company’s stock, valued at approximately $4,386,096. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 0.86% of the company’s stock.

Hedge Funds Weigh In On TE Connectivity

Several institutional investors and hedge funds have recently bought and sold shares of TEL. Norges Bank acquired a new stake in shares of TE Connectivity in the 4th quarter worth $693,985,000. Qube Research & Technologies Ltd acquired a new stake in TE Connectivity in the third quarter worth about $165,640,000. First Trust Advisors LP grew its stake in shares of TE Connectivity by 150.9% during the fourth quarter. First Trust Advisors LP now owns 2,143,423 shares of the electronics maker’s stock worth $301,151,000 after acquiring an additional 1,289,230 shares during the last quarter. Assenagon Asset Management S.A. increased its holdings in shares of TE Connectivity by 1,000.5% during the first quarter. Assenagon Asset Management S.A. now owns 1,335,477 shares of the electronics maker’s stock valued at $193,965,000 after acquiring an additional 1,214,122 shares in the last quarter. Finally, Wellington Management Group LLP raised its position in shares of TE Connectivity by 12.5% in the 4th quarter. Wellington Management Group LLP now owns 3,630,003 shares of the electronics maker’s stock valued at $510,015,000 after purchasing an additional 403,750 shares during the last quarter. 91.43% of the stock is owned by hedge funds and other institutional investors.

TE Connectivity Stock Up 0.3 %

The company has a market capitalization of $43.65 billion, a price-to-earnings ratio of 12.85, a PEG ratio of 1.99 and a beta of 1.39. The company has a debt-to-equity ratio of 0.24, a quick ratio of 1.16 and a current ratio of 1.45. The business’s 50 day moving average is $142.59 and its 200 day moving average is $136.06.

TE Connectivity Company Profile

TE Connectivity Ltd., together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the AsiaPacific, and the Americas. The company operates through three segments: Transportation Solutions, Industrial Solutions, and Communications Solutions.