NEW YORK, Jan 24, 2026, 19:29 EST — Market closed.
- Shares of TE Connectivity dropped 3.25% on Friday, closing at $223.84.
- Truist maintained its Hold rating but raised the price target; Barclays stuck with Overweight and bumped up its target as well.
- Attention shifts to Monday’s open ahead of a Fed decision week that may rattle rate-sensitive stocks.
TE Connectivity shares dropped 3.25% Friday, closing at $223.84, lagging the flat S&P 500 as the weekend approached. Volume topped around 2.9 million shares, exceeding the stock’s 50-day average. The stock remains roughly 11% shy of its 52-week peak from early November. 1
U.S. markets were closed Saturday, shifting investors’ focus to Monday and the Federal Reserve’s two-day meeting on Jan. 27-28. These meetings tend to compress trading ranges before a decisive move. For industrial-tech names tied to the AI surge, shifts in rate expectations carry as much weight as any buzz around new orders. 2
TE dropped after unveiling fiscal first-quarter results and its outlook for the next quarter. The firm reported record orders hitting $5.1 billion, with adjusted EPS climbing to $2.72—a non-GAAP number that strips out certain expenses. It expects second-quarter adjusted EPS around $2.65 on roughly $4.7 billion in sales. CEO Terrence Curtin highlighted a “broadening of growth” driven by data and power connectivity across AI, energy grid projects, and next-gen vehicles. 3
Truist Securities nudged up its price target to $244 from $240 this week, maintaining a Hold rating. The firm highlighted a book-to-bill ratio of 1.1x, indicating orders outpace shipments—a signal that demand is outstripping current revenue. 4
Barclays jumped in with a target hike, pushing it to $302 from $297 and keeping its Overweight call intact, a note outlined Friday. The bank pitched the thesis as partly AI-driven but also “non-AI,” suggesting TE Connectivity shares are appealing compared to rival Amphenol. 5
The company is clearly pushing the AI angle. TE reported earlier this week that demand for data-center and network equipment linked to artificial intelligence is driving growth. Its industrial solutions segment saw sales jump over 38% year-on-year, while transportation solutions increased by 10%. 6
The blend of data centers and autos explains why the stock jumps on news unrelated to connectors. Traders see the group as a clearer gauge of capex and electrification trends than many big-name chipmakers.
The risk scenario is straightforward. A slowdown in data-center spending, weaker auto sales in China, or margin erosion from pricing and product mix could quickly turn “record orders” into just a fleeting story. If the Fed resists easing rate-cut bets, stocks with premium multiples usually take the first hit from rising discount rates.
Monday’s key question: Was Friday’s selloff just traders repositioning ahead of a packed macro calendar, or is there a deeper issue at play? Keep an eye on fresh analyst reports and any updates on Chinese EV demand, especially after Truist flagged that ending incentives pulled orders forward, creating a temporary lull.
TE’s board announced a quarterly dividend of $0.71 per share, set to be paid on March 13 to shareholders recorded by the close of business on Feb. 20. These dates fall just beyond the upcoming week but will be key checkpoints for long-only investors. 7
The key event is Wednesday’s Fed announcement: the policy decision drops at 2:00 p.m. ET, with the press conference starting at 2:30 p.m. ET. For TEL, the tone set by that rate signal could steer the market before any fresh company news emerges. 8
