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TE Connectivity to Report Q4 Earnings: Buy, Sell or Hold TEL Stock?

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TE Connectivity (TEL - Free Report) is scheduled to report its fourth-quarter fiscal 2024 results on Oct. 30.

For the fiscal fourth quarter, TE Connectivity expects net sales of $4 billion, with year-over-year organic growth, driven by the Transportation and Communications segments.

The Zacks Consensus Estimate for revenues is pegged at $4.01 billion, suggesting a year-over-year decline of 0.72%.

Adjusted earnings are projected at $1.94 per share, indicating year-over-year growth of 9%. The consensus mark for fiscal fourth-quarter earnings has been unchanged at $1.95 per share over the past 30 days, implying a year-over-year rise of 9.55%.

TE Connectivity beat the Zacks Consensus Estimate for earnings in the trailing four quarters, the average surprise being 3.11%.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

TE Connectivity Ltd. Price and EPS Surprise

 

TE Connectivity Ltd. Price and EPS Surprise

TE Connectivity Ltd. price-eps-surprise | TE Connectivity Ltd. Quote

Let us see how things have shaped up for the upcoming announcement.

Factors to Note Ahead of TEL’s Q4 Results

TEL’s Transportation segment is expected to have benefited from a strong backlog in the automotive sector, while the Communications segment is anticipated to have gained from record orders, fueled by a solid position in AI programs with multiple clients.

An improving automotive market is expected to have benefited the Transportation segment in the fiscal fourth quarter. Growth in China is anticipated to have offset weakness in Europe.

However, sluggishness in the Commercial Transportation business is expected to have continued in the fiscal fourth quarter.

Weakness in the industrial equipment end market is expected to have hurt TE Connectivity’s top-line growth.

What Our Model Says

According to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is the exact case here.

TE Connectivity currently has an Earnings ESP of +0.19% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Other Stocks to Consider

Here are some other companies worth considering, as our model shows that these, too, have the right combination of elements to beat on earnings in their upcoming releases:

Meta Platforms (META - Free Report) presently has an Earnings ESP of +2.83% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Meta Platforms’ shares have gained 60.9% year to date. META is set to report its third-quarter 2024 results on Oct 30.

Check Point Software (CHKP - Free Report) currently has an Earnings ESP of +1.26% and a Zacks Rank #2.

CHKP shares have gained 34.4% year to date. Check Point is set to report its third-quarter 2024 results on Oct. 29.

Garmin (GRMN - Free Report) has an Earnings ESP of +1.03% and a Zacks Rank of 2 at present.

Gramin shares have gained 27.8% year to date. GRMN is set to report its third-quarter 2024 results on Oct 30.

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