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TE Connectivity Ltd
NYSE:TEL

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TE Connectivity Ltd
NYSE:TEL
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Price: 207.43 USD -2% Market Closed
Market Cap: $60.9B

P/FCFE

18.1
Current
9%
More Expensive
vs 3-y average of 16.6

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
18.1
=
Market Cap
$61.2B
/
Free Cash Flow to Equity
$3.3B

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
18.1
=
Market Cap
$61.2B
/
Free Cash Flow to Equity
$3.3B

Valuation Scenarios

TE Connectivity Ltd is trading above its 3-year average

If P/FCFE returns to its 3-Year Average (16.6), the stock would be worth $190.51 (8% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-8%
Maximum Upside
+47%
Average Upside
12%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple 18.1 $207.43
0%
3-Year Average 16.6 $190.51
-8%
5-Year Average 17.6 $201.41
-3%
Industry Average 26.6 $305.21
+47%
Country Average 20.4 $233.6
+13%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close
Market Cap P/FCFE P/E
CH
TE Connectivity Ltd
NYSE:TEL
60.6B USD 18.1 20.9
CN
Foxconn Industrial Internet Co Ltd
SSE:601138
1.2T CNY 36 30.7
TW
Hon Hai Precision Industry Co Ltd
TWSE:2317
3.1T TWD 9.1 16.2
CA
Celestica Inc
TSX:CLS
64.1B CAD 123.7 57
US
Jabil Inc
NYSE:JBL
36.2B USD 18.2 44.8
SG
Flex Ltd
NASDAQ:FLEX
34.6B USD 18.5 40.7
KY
Fabrinet
NYSE:FN
25.3B USD 246.9 66.5
US
TTM Technologies Inc
NASDAQ:TTMI
16.4B USD -376.7 92.2
TW
FIH Mobile Ltd
F:FW3
11.5B EUR -19.3 252.8
US
Sollensys Corp
OTC:SOLS
12.8B USD 6 53.3
CN
Goertek Inc
SZSE:002241
85.1B CNY 13.6 21.4

Market Distribution

In line with most companies in Switzerland
Percentile
45th
Based on 862 companies
45th percentile
18.1
Low
0.1 — 13.4
Typical Range
13.4 — 31.1
High
31.1 —
Distribution Statistics
Switzerland
Min 0.1
30th Percentile 13.4
Median 20.4
70th Percentile 31.1
Max 931.4

TE Connectivity Ltd
Glance View

TE Connectivity Ltd. is a remarkable story in the landscape of modern engineering companies, seamlessly weaving innovation with necessity in an intricate tapestry of connectivity solutions. Originally a part of the Tyco conglomerate, this Swiss domiciled entity has carved out its niche as a global leader in the design and manufacture of high-performance products crucial for a wide array of dynamic industries. Their offerings range from sensor technology to electronic components, enabling the seamless transmission of data and power across automotive, industrial equipment, communications, and consumer electronics sectors, among others. Key to their prowess is an unyielding commitment to precision engineering and customization, tailoring their solutions to meet the specific needs of their diverse clientele. At the heart of TE Connectivity’s business model is its ability to capitalize on global megatrends such as the rise of electric vehicles, the continued expansion of high-speed data applications, and the growing need for automated industrial solutions. Through innovation-driven development and a keen understanding of emerging market demands, the company has sustained its revenue streams by positioning itself as an indispensable partner in facilitating connectivity. Margins are buoyed by a strategic focus on high-growth areas like IoT and industrial automation, leveraging economies of scale and a robust supply chain to maintain competitive pricing while ensuring quality and reliability. This symbiotic approach not only keeps TE Connectivity relevant but also ensures steady financial performance, making the company a vital fixture in the complex ecosystem of global technological advancement.

TEL Intrinsic Value
186.52 USD
Overvaluation 10%
Intrinsic Value
Price $207.43
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