Stock fact sheet · data as of
TE Connectivity plc (TEL): fair value, margin of safety and Wheel Score
Technology · Semiconductors · Ireland · Blend
Is TEL undervalued?
At 210.33 (close of 16 Oct 2026), TEL trades 19% over the GLS average fair value of 177.44. 3 of the 9 models land above the price and 6 below. A negative margin of safety costs Value points in the Wheel Score (5 of 25 here) - the models see no discount, which does not make the business a poor one, only the price a full one.
There is a wide gap between DDM (43.85) and Graham Growth (335.17). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files TEL under Blend.
Nine valuation models for TEL
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 156.29 | -26% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 103.03 | -51% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 335.17 | +59% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 127.34 | -39% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 98.04 | -53% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 324.58 | +54% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 293.54 | +40% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 43.85 | -79% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 115.16 | -45% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -15.12 | -107% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 253.22 | +20% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
TE Connectivity plc scores 8 of 9 on the Piotroski F-score, the nine yes/no tests of profitability, leverage and efficiency on the latest annual accounts - a strong reading that passes the Sunday Scan's "6 or more" rule with room to spare. On durability TEL scores 6.3/10 on the GLS Moat - a middle reading; the Scorecard on the Quote page's Financials tab shows which ten-year lines are steady and which are not.
Returns on capital are moderate - ROIC 9.6%, ROE 14.6%, ROA 7.3% - with debt at 0.52 times equity and a free-cash-flow yield of 6.0%.
The dividend yield is 1.42% with a payout ratio of 28% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Industrial Solutions 50%, Transportation Solutions 50% (quarter Q3 FY2026).
Institutional ownership scores 10/10, insider activity 2/10 and Congressional trading 10/10 on the GLS smart-money scales.
| Piotroski F-score | 8 / 9 | ROIC | 9.6% |
|---|---|---|---|
| GLS Moat | 6.3 / 10 | ROE | 14.6% |
| Debt / equity | 0.52 | ROA | 7.3% |
| Free-cash-flow yield | 6.0% | Payout ratio | 28% |
| Institutions | 10 / 10 | Insiders · Congress | 2 · 10 / 10 |
Wheel Score 71: Good
With a Wheel Score of 71 - the Good band - TE Connectivity plc clears the Sunday Scan's "70 or higher" rule. The parts: Value 5/25, Health 18/20, Moat 9/15, Premium 20/20, Stability 19/20; Value (5/25) scores lowest.
Implied volatility is 51% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 16,721 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 1.4M shares a day on a market cap of $61.0B, with a beta of 1.14; the Stability part of the Wheel Score gives that 19 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 5 / 25 | -19% margin of safety | |
| Health | 18 / 20 | Piotroski 8/9 | |
| Moat | 9 / 15 | moat 6.3/10 | |
| Premium | 20 / 20 | implied volatility 51% | |
| Stability | 19 / 20 | 1.4M shares/day, $61.0B cap, beta 1.14 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
TE Connectivity plc reports earnings on 28 Oct 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk. The next ex-dividend date is 20 Nov 2026 (0.7800 per share).
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Semiconductors
The 12 companies below are the closest to TE Connectivity plc by market cap within the Semiconductors industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| MPWR Monolithic Power Systems, Inc. | 1,249.20 | 395.03 | -216% | 61Fair | $61.4B |
| NXPI NXP Semiconductors N.V. | 231.09 | 146.50 | -58% | 62Fair | $58.3B |
| TER Teradyne, Inc. | 359.44 | 121.24 | -196% | 58Fair | $56.2B |
| UMC United Microelectronics Corporation | 21.40 | 108.87 | +80% | 84Prime | $53.4B |
| ALAB Astera Labs, Inc. Common Stock | 301.98 | 64.71 | -367% | 46Weak | $52.4B |
| STM STMicroelectronics N.V. | 46.90 | 13.03 | -260% | 58Fair | $41.9B |
| ASX ASE Technology Holding Co., Ltd. | 41.89 | 91.23 | +54% | 85Prime | $92.1B |
| MCHP Microchip Technology Incorporated | 74.26 | 22.65 | -228% | 55Fair | $40.3B |
| CRDO Credo Technology Group Holding Ltd | 178.50 | 83.67 | -113% | 45Weak | $33.5B |
| CBRS Cerebras Systems Inc. | 142.17 | - | - | 45Weak | $32.2B |
| ON ON Semiconductor Corporation | 73.70 | 45.63 | -62% | 56Fair | $28.7B |
| GFS GLOBALFOUNDRIES Inc. | 48.76 | 26.92 | -81% | 59Fair | $26.8B |
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Start free See the Sunday ScanQuestions about TEL
Is TEL undervalued right now?
No: at 210.33 the stock trades 19% above the GLS average fair value of 177.44 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of TEL and what does it mean?
TEL scores 71 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for TEL?
177.44 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does TE Connectivity plc report earnings next?
The next earnings report is due on 28 Oct 2026 (before the open), 12 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does TEL have listed options, and how liquid are they?
Yes. The nightly snapshot found 748 listed contracts with 16,721 open interest across all expiries and implied volatility of 51% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.