TE Connectivity (TEL) to Report Q4 Earnings: What's in Store?
TE Connectivity Ltd TEL is scheduled to report its fourth-quarter fiscal 2023 results on Nov 1.
The company expects fourth-quarter fiscal 2023 sales of $4 billion.
The Zacks Consensus Estimate for revenues is pegged at $4.01 billion, suggesting a decrease of 8.08% year over year.
The consensus mark for fiscal fourth-quarter earnings has been steady at $1.76 per share over the past 30 days, suggesting a year-over-year decline of 6.38%.
TE Connectivity Ltd. Price and EPS Surprise
TE Connectivity Ltd. price-eps-surprise | TE Connectivity Ltd. Quote
TE Connectivity beat the Zacks Consensus Estimate for earnings in all the trailing four quarters, the average surprise being 3.57%.
Let’s see how things have shaped up for the upcoming announcement.
Factors to Note
TE Connectivity’s fiscal fourth-quarter results are expected to have benefited from the growing adoption of its solutions by electric vehicle manufacturers.
The company’s top line is also expected to have benefited from a recovery in the commercial aerospace and medical business, which has been witnessing increases in interventional procedures.
However, sluggishness in sensor and commercial transportation businesses is expected to have impacted the segment negatively.
Our model estimate for the Transportation segment sales is pegged at $2.45 billion, suggesting a 0.3% increase year over year.
The company’s strong position in the renewable energy markets, both in wind and solar applications, has been a key catalyst.
Our model estimate for industrial solutions sales is pegged at $1.25 billion, flat year over year.
Our model estimate for Communication segment sales is pegged at $295.6 million, indicating a decline of 55.2% from the year-ago quarter’s reported figure.
What Our Model Says
Per 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. But that’s not the case here.
TE Connectivity currently has an Earnings ESP of +0.08% and a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
GoDaddy GDDY has an Earnings ESP of +8.11% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
GoDaddy shares have declined 4.2% in the year-to-date period. GDDY is set to report its third-quarter 2023 results on Nov 2.
Itron ITRI has an Earnings ESP of +23.18% and a Zacks Rank of 1 at present.
Itron shares have gained 12.9% in the year-to-date period. ITRI is set to report its third-quarter 2023 results on Nov 2.
Qorvo QRVO has an Earnings ESP of +4.46% and a Zacks Rank #1.
Qorvo shares have declined 4.6% year to date. QRVO is set to report its second-quarter fiscal 2024 results on Nov 1.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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