TE Connectivity Stock Analysis, Valuation (NYSE:TEL)
Watch the robo advisor video of TE Connectivity stock analysis on Amigobulls. Our analyst opinion covering the buy and sell arguments for TEL stock is shown in the video.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
TE Connectivity Ltd Stock Rating 3.5/5
Amigobulls TEL stock analysis takes into account various financial ratios like relative valuation, TE Connectivity revenue, growth and return on equity based on latest quarter 2018 Q3 financial statements. We also check TE Connectivity dividend performance. TE Connectivity valuation forms a crucial part of our stock analysis. TE Connectivity stock rating is our opinion about the business fundamentals of the company.
Should you buy TEL stock?
- TE Connectivity's average operating margin of 16.03 was exceptional.
- LTM Net margins were good at 9.3% for TE Connectivity.
- The operating cash flow looks good at 1.7621 times the net income.
- The price to earnings multiple of 16.9 is attractive when compared with the sector average PE ratio of 25.4.
- TE Connectivity generates a high return on invested capital of 9.4.
- Return On Equity (ROE) which is a measure of the company's profitability, looks great for TE Connectivity at 14.1.
- The company has a good Free Cash Flow (FCF) margin of 15.2.
Should you sell TEL stock?
- Over the last 5 years, the company registered a poor revenue growth of 1.8.
- TE Connectivity has a debt/equity ratio of 0.42, which is worse than the average in the Computer and Technology sector.
Investors can make use of the Amigobulls TE Connectivity stock analysis to ascertain how TEL stock fares in fundamental analysis investment criteria. Company's fundamentals remain one of the key driver of TEL stock and helps investors in making good buy and sell decision.
While doing a study of the company financials, TE Connectivity revenue growth and profit or net income are two main metrics which help in identifying whether TEL stock is overvalued or undervalued. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of TE Connectivity stock.