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TEL Gears Up to Report Q1 Earnings: What's in Store for the Stock?

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Key Takeaways

  • TEL expects Q1 EPS of $2.53 and sales of $4.5B, up 23% and 17% year over year, respectively.
  • Strong Q4 orders of $4.7B, up 22% YoY, are expected to support Q1 despite seasonal weakness.
  • TEL's Transportation and Industrial segments are driven by AI, electrification, and hyperscaler demand.

TE Connectivity (TEL - Free Report) is scheduled to report its first-quarter fiscal 2026 earnings results on Jan. 21.

TEL expects fiscal first-quarter adjusted earnings to be $2.53 per share, suggesting 23% year-over-year growth. The Zacks Consensus Estimate for earnings is pegged at $2.54 per share, unchanged over the past 30 days, and indicates 30.3% growth from the figure reported in the year-ago quarter.

TE Connectivity expects net sales of approximately $4.5 billion in the first quarter of fiscal 2026, indicating roughly 17% year-over-year growth on a reported basis and 11% on an organic basis. The Zacks Consensus Estimate for fiscal first-quarter sales is pegged at $4.51 billion, suggesting 17.5% growth from the figure reported in the year-ago quarter.

TE Connectivity beat the Zacks Consensus Estimate for earnings in all the trailing four quarters, with the average surprise being 6.5%. 
 

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’s see how things have shaped up for the upcoming announcement.

Key Factors to Consider for TEL’s Q1 Earnings

TE Connectivity’s first-quarter fiscal 2026 performance is expected to have benefited from strong order volumes. TEL reported orders of $4.7 billion in the fourth quarter of fiscal 2025, which increased 22% year over year and 5% sequentially. This momentum is expected to have continued in the seasonally weaker fiscal first quarter. 

In the Transportation segment (50.8% of fiscal fourth-quarter sales), TE Connectivity is well-positioned to capture increasing value as the industry transitions toward data connectivity and electrification of powertrain. 

TE Connectivity’s Industrial segment (49.2% of fourth-quarter fiscal 2025 sales) is expected to have benefited from strong demand for artificial intelligence (AI) applications, Energy, and Aerospace, Defense and Marine. The company’s to-be-reported results are expected to have benefited from strong demand from hyperscaler platforms.

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. But that is not the exact case here.

TE Connectivity currently has an Earnings ESP of 0.00% and a Zacks Rank #1. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks to Consider

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

Sandisk (SNDK - Free Report) has an Earnings ESP of +3.07% and a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. Sandisk is set to report second-quarter fiscal 2026 results on Jan. 29. 

Amphenol (APH - Free Report) has an Earnings ESP of +3.78% and a Zacks Rank #2 at present. Amphenol is slated to report fourth-quarter 2025 results on Jan. 28. 

Fair Isaac (FICO - Free Report) has an Earnings ESP of +2.95% and a Zacks Rank #2 at present. Fair Isaac is scheduled to report first-quarter fiscal 2026 results on Jan. 28.

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