TE Connectivity (TEL) Reports Record Q1 2026 Earnings with $5.1 Billion in Orders
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Significant Growth: TE Connectivity reported Q1 sales of $4.7 billion, reflecting a 22% year-over-year increase, with the Industrial Solutions segment achieving a remarkable 38% growth, indicating strong demand for data and power connectivity.
- Record Orders: The company announced record orders exceeding $5.1 billion with a book-to-bill ratio of 1.1, showcasing broad market demand and robust business momentum, suggesting continued growth potential ahead.
- Improved Profitability: Adjusted earnings per share reached $2.72, up over 30% year-over-year, with adjusted operating margins at 22%, an increase of 180 basis points from the previous year, highlighting significant operational efficiency improvements.
- Upward AI Revenue Revision: Management expects AI revenues for fiscal 2026 to be $200 million higher than previous forecasts made 90 days ago, indicating accelerated returns on investments in emerging technologies and further solidifying the company's market position.
Analyst Views on TEL
Wall Street analysts forecast TEL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TEL is 270.70 USD with a low forecast of 240.00 USD and a high forecast of 297.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
7 Buy
3 Hold
0 Sell
Moderate Buy
Current: 233.270
Low
240.00
Averages
270.70
High
297.00
Current: 233.270
Low
240.00
Averages
270.70
High
297.00
About TEL
TE Connectivity plc is a global industrial technology company. The Company’s range of connectivity and sensor solutions enable the distribution of power, signal, and data to advance next generation transportation, renewable energy, automated factories, data centers, medical technology, and more. The Company operates through two segments: Transportation Solutions and Industrial Solutions. Transportation Solutions segment includes its automotive, commercial transportation, and sensor businesses. The Industrial Solutions segment includes its aerospace, defense, and marine; medical; energy; digital data networks, and automation and connected living businesses. Its services and training include 3D Printing For Production (3D4P), Backshells Prototyping - BIT Workx, Electrical Installation Trainings, HarnWare Software, Machine Tooling Service & Repair, Medical Device Design Services, Microfluidic Devices and THE ACADEMY - Automotive Webinars.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
