TE Connectivity Ltd. (TEL) Financial Ratios
23 years of historical data (2003–2025) · Technology · Hardware, Equipment & Parts
EV/EBITDA
↑
17.08
↑+23% vs avg
5yr avg: 13.89
30Y Low5.7·High17.3
P/FCF
↓
19.94
+1% vs avg
5yr avg: 19.71
30Y Low10.2·High36.3
P/B Ratio
↑
5.11
↑+28% vs avg
5yr avg: 3.99
30Y Low1.2·High5.1
ROE
↓
14.6%
↑-29% vs avg
5yr avg: 20.6%
30Y Low-37%·High26%
Debt/EBITDA
↑
1.62
+13% vs avg
5yr avg: 1.44
30Y Low0.7·High2.0
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
TEL Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
TE Connectivity Ltd. trades at 35.3x earnings, 66% above its 5-year average of 21.3x, sitting at the 100th percentile of its historical range. Compared to the Technology sector median P/E of 29.0x, the stock trades at a premium of 22%. On a free-cash-flow basis, the stock trades at 19.9x P/FCF, roughly in line with the 5-year average of 19.7x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $63.9B | $64.9B | $46.7B | $39.2B | $35.9B | $48.0B | $31.7B | $31.7B | $31.0B | $29.7B | $23.8B |
| Enterprise Value | $69.2B | $70.2B | $50.4B | $42.4B | $39.7B | $51.6B | $35.7B | $34.7B | $34.2B | $32.9B | $27.2B |
| P/E Ratio → | 35.33 | 35.23 | 14.64 | 20.49 | 14.77 | 21.22 | — | 16.40 | 12.09 | 17.67 | 11.83 |
| P/S Ratio | 3.74 | 3.80 | 2.95 | 2.44 | 2.20 | 3.21 | 2.60 | 2.36 | 2.22 | 2.27 | 1.94 |
| P/B Ratio | 5.11 | 5.10 | 3.74 | 3.36 | 3.29 | 4.46 | 3.33 | 3.00 | 2.87 | 3.05 | 2.80 |
| P/FCF | 19.94 | 20.26 | 16.71 | 16.32 | 21.10 | 24.15 | 22.11 | 18.94 | 20.47 | 18.37 | 18.36 |
| P/OCF | 15.43 | 15.68 | 13.44 | 12.50 | 14.53 | 17.93 | 15.89 | 13.08 | 12.66 | 12.81 | 12.36 |
P/E links to full P/E history page with 30-year chart
TEL EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
TE Connectivity Ltd.'s enterprise value stands at 17.1x EBITDA, 23% above its 5-year average of 13.9x. This is roughly in line with the Technology sector median of 16.7x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.11 | 3.18 | 2.64 | 2.44 | 3.46 | 2.93 | 2.58 | 2.44 | 2.51 | 2.22 |
| EV / EBITDA | 17.08 | 17.34 | 13.91 | 12.08 | 10.88 | 15.27 | 14.33 | 12.04 | 10.97 | 12.18 | 10.82 |
| EV / EBIT | 21.54 | 21.39 | 17.57 | 18.05 | 14.19 | 21.22 | 62.37 | 17.37 | 14.57 | 17.76 | 21.09 |
| EV / FCF | — | 21.91 | 18.01 | 17.66 | 23.37 | 26.00 | 24.91 | 20.75 | 22.55 | 20.30 | 21.00 |
TEL Profitability
Margins and return-on-capital ratios measuring operating efficiency
TE Connectivity Ltd. earns an operating margin of 18.8%. Operating margins have expanded from 16.9% to 18.8% over the past 3 years, signaling improving operational efficiency. ROE of 14.6% is modest. ROIC of 14.1% represents solid returns on invested capital.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 34.6% | 34.6% | 34.4% | 31.1% | 31.5% | 31.7% | 30.1% | 32.1% | 33.4% | 31.4% | 32.3% |
| Operating Margin | 18.8% | 18.8% | 17.6% | 16.9% | 17.6% | 17.5% | 14.6% | 16.3% | 17.5% | 15.9% | 15.7% |
| Net Profit Margin | 10.8% | 10.8% | 20.2% | 11.9% | 14.9% | 15.2% | -2.0% | 14.4% | 18.4% | 12.8% | 16.2% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.6% | 14.6% | 26.5% | 16.9% | 22.4% | 22.3% | -2.4% | 18.0% | 24.9% | 18.4% | 21.9% |
| ROA | 7.7% | 7.7% | 14.3% | 9.0% | 11.5% | 11.1% | -1.2% | 9.6% | 12.9% | 9.1% | 10.4% |
| ROIC | 14.1% | 14.1% | 13.5% | 13.7% | 14.7% | 14.0% | 9.8% | 11.9% | 13.7% | 12.6% | 13.1% |
| ROCE | 16.9% | 16.9% | 15.8% | 16.3% | 17.4% | 16.1% | 11.2% | 13.7% | 15.5% | 13.9% | 12.2% |
TEL Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
TE Connectivity Ltd. carries a Debt/EBITDA ratio of 1.6x, which is manageable (45% below the sector average of 2.9x). Net debt stands at $5.3B ($6.5B total debt minus $1.3B cash). Interest coverage of 42.6x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.51 | 0.51 | 0.40 | 0.42 | 0.45 | 0.45 | 0.52 | 0.38 | 0.37 | 0.45 | 0.48 |
| Debt / EBITDA | 1.62 | 1.62 | 1.37 | 1.39 | 1.36 | 1.44 | 1.99 | 1.37 | 1.28 | 1.61 | 1.62 |
| Net Debt / Equity | — | 0.42 | 0.29 | 0.28 | 0.35 | 0.34 | 0.42 | 0.29 | 0.29 | 0.32 | 0.40 |
| Net Debt / EBITDA | 1.31 | 1.31 | 1.00 | 0.92 | 1.06 | 1.09 | 1.61 | 1.05 | 1.01 | 1.16 | 1.36 |
| Debt / FCF | — | 1.65 | 1.30 | 1.34 | 2.27 | 1.85 | 2.80 | 1.82 | 2.08 | 1.93 | 2.65 |
| Interest Coverage | 42.61 | 42.61 | 40.96 | 29.35 | 42.41 | 43.46 | 11.92 | 29.40 | 21.93 | 14.23 | 10.15 |
TEL Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.56x means TE Connectivity Ltd. can comfortably meet its short-term obligations, though there is limited excess liquidity. The quick ratio of 1.03x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has declined from 1.77x to 1.56x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.56 | 1.56 | 1.61 | 1.77 | 1.57 | 1.56 | 1.57 | 1.57 | 1.41 | 1.54 | 1.56 |
| Quick Ratio | 1.03 | 1.03 | 1.08 | 1.20 | 0.99 | 1.02 | 1.04 | 1.05 | 0.98 | 1.07 | 1.04 |
| Cash Ratio | 0.25 | 0.25 | 0.28 | 0.37 | 0.23 | 0.26 | 0.26 | 0.26 | 0.19 | 0.32 | 0.21 |
| Asset Turnover | — | 0.68 | 0.69 | 0.74 | 0.78 | 0.70 | 0.63 | 0.68 | 0.69 | 0.68 | 0.70 |
| Inventory Turnover | 4.14 | 4.14 | 4.13 | 4.33 | 4.17 | 4.06 | 4.36 | 4.97 | 5.02 | 4.45 | 5.19 |
| Days Sales Outstanding | — | 72.68 | 70.37 | 67.54 | 64.23 | 71.62 | 71.28 | 62.97 | 61.61 | 59.51 | 61.02 |
TEL Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
TE Connectivity Ltd. returns 3.3% to shareholders annually — split between a 1.2% dividend yield and 2.1% buyback yield. A payout ratio of 43.6% is moderate and appears sustainable, balancing shareholder returns with reinvestment capacity. The earnings yield of 2.8% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.2% | 1.2% | 1.6% | 1.9% | 1.9% | 1.3% | 2.0% | 1.9% | 1.9% | 1.8% | 2.1% |
| Payout Ratio | 43.6% | 43.6% | 23.8% | 38.0% | 28.2% | 28.6% | — | 31.5% | 22.9% | 32.5% | 25.7% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.8% | 2.8% | 6.8% | 4.9% | 6.8% | 4.7% | — | 6.1% | 8.3% | 5.7% | 8.4% |
| FCF Yield | 5.0% | 4.9% | 6.0% | 6.1% | 4.7% | 4.1% | 4.5% | 5.3% | 4.9% | 5.4% | 5.4% |
| Buyback Yield | 2.1% | 2.1% | 4.4% | 2.4% | 3.9% | 1.7% | 1.7% | 3.4% | 2.8% | 2.1% | 11.7% |
| Total Shareholder Yield | 3.3% | 3.3% | 6.0% | 4.3% | 5.8% | 3.1% | 3.6% | 5.4% | 4.7% | 3.9% | 13.9% |
| Shares Outstanding | — | $299M | $309M | $317M | $325M | $333M | $332M | $340M | $353M | $358M | $369M |
Peer Comparison
Compare TEL with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 TELYou | $64B | 35.3 | 17.1 | 19.9 | 34.6% | 18.8% | 14.6% | 14.1% | 1.6 |
 APH | $202B | 49.1 | 29.9 | 46.0 | 36.9% | 25.9% | 36.6% | 28.3% | 2.2 |
 HUBB | $28B | 31.7 | 22.0 | 31.8 | 35.5% | 20.8% | 24.8% | 17.1% | 1.9 |
 ROG | $3B | -48.4 | 26.1 | 40.8 | 31.7% | 6.4% | -5.1% | 3.6% | 0.4 |
 BDC | $5B | 20.9 | 12.8 | 21.9 | 36.0% | 12.2% | 18.6% | 11.0% | 3.2 |
 GLW | $168B | 105.4 | 47.9 | 118.5 | 35.3% | 14.9% | 13.7% | 9.1% | 2.8 |
 CRS | $29B | 79.0 | 44.7 | 101.8 | 26.7% | 18.1% | 21.4% | 17.5% | 1.1 |
 LDOS | $13B | 9.6 | 7.6 | 8.3 | 17.7% | 12.3% | 30.9% | 17.1% | 2.5 |
 VICR | $15B | 127.0 | 252.6 | 125.3 | 52.6% | 9.0% | 18.5% | 8.9% | 0.2 |
 TTEC | $104M | -0.5 | 5.5 | 1.3 | 21.8% | 4.5% | -101.0% | 6.3% | 5.4 |
 KFRC | $830M | 23.2 | 16.1 | 17.7 | 26.8% | 3.8% | 24.9% | 19.1% | 1.3 |
| Technology Median | — | 29.0 | 16.7 | 19.2 | 48.8% | 0.2% | 1.6% | 2.7% | 2.9 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 23 years · Updated daily
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TEL — Frequently Asked Questions
Quick answers to the most common questions about buying TEL stock.
What is TE Connectivity Ltd.'s P/E ratio?
TE Connectivity Ltd.'s current P/E ratio is 35.3x. The historical average is 15.5x. This places it at the 100th percentile of its historical range.
What is TE Connectivity Ltd.'s EV/EBITDA?
TE Connectivity Ltd.'s current EV/EBITDA is 17.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.7x.
What is TE Connectivity Ltd.'s ROE?
TE Connectivity Ltd.'s return on equity (ROE) is 14.6%. The historical average is 12.3%.
Is TEL stock overvalued?
Based on historical data, TE Connectivity Ltd. is trading at a P/E of 35.3x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is TE Connectivity Ltd.'s dividend yield?
TE Connectivity Ltd.'s current dividend yield is 1.23% with a payout ratio of 43.6%.
What are TE Connectivity Ltd.'s profit margins?
TE Connectivity Ltd. has 34.6% gross margin and 18.8% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does TE Connectivity Ltd. have?
TE Connectivity Ltd.'s Debt/EBITDA ratio is 1.6x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.