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TE Connectivity (NYSE:TEL) Asset Turnover

: 0.18 (As of Dec. 2022)
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Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. TE Connectivity's Revenue for the three months ended in Dec. 2022 was $3,841 Mil. TE Connectivity's Total Assets for the quarter that ended in Dec. 2022 was $21,068 Mil. Therefore, TE Connectivity's Asset Turnover for the quarter that ended in Dec. 2022 was 0.18.

Asset Turnover is linked to ROE % through Du Pont Formula. TE Connectivity's annualized ROE % for the quarter that ended in Dec. 2022 was 14.33%. It is also linked to ROA % through Du Pont Formula. TE Connectivity's annualized ROA % for the quarter that ended in Dec. 2022 was 7.54%.


TE Connectivity Asset Turnover Historical Data

The historical data trend for TE Connectivity's Asset Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

TE Connectivity Annual Data
Trend Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22
Asset Turnover
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.70 0.67 0.63 0.73 0.77

TE Connectivity Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
Asset Turnover Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.18 0.19 0.19 0.21 0.18

Competitive Comparison

For the Electronic Components subindustry, TE Connectivity's Asset Turnover, along with its competitors' market caps and Asset Turnover data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

TE Connectivity Asset Turnover Distribution

For the Hardware industry and Technology sector, TE Connectivity's Asset Turnover distribution charts can be found below:

* The bar in red indicates where TE Connectivity's Asset Turnover falls in comparison to its industry or sector. The grey bar indicates the Asset Turnover's extreme value range as defined by GuruFocus.



TE Connectivity Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

TE Connectivity's Asset Turnover for the fiscal year that ended in Sep. 2022 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Sep. 2022 )/( (Total Assets (A: Sep. 2021 )+Total Assets (A: Sep. 2022 ))/ count )
=16281/( (21462+20782)/ 2 )
=16281/21122
=0.77

TE Connectivity's Asset Turnover for the quarter that ended in Dec. 2022 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Dec. 2022 )/( (Total Assets (Q: Sep. 2022 )+Total Assets (Q: Dec. 2022 ))/ count )
=3841/( (20782+21353)/ 2 )
=3841/21067.5
=0.18

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.


TE Connectivity  (NYSE:TEL) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

TE Connectivity's annulized ROE % for the quarter that ended in Dec. 2022 is

ROE %**(Q: Dec. 2022 )
=Net Income/Total Stockholders Equity
=1588/11083
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1588 / 15364)*(15364 / 21067.5)*(21067.5/ 11083)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.34 %*0.7293*1.9009
=ROA %*Equity Multiplier
=7.54 %*1.9009
=14.33 %

Note: The Net Income data used here is four times the quarterly (Dec. 2022) net income data. The Revenue data used here is four times the quarterly (Dec. 2022) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

TE Connectivity's annulized ROA % for the quarter that ended in Dec. 2022 is

ROA %(Q: Dec. 2022 )
=Net Income/Total Assets
=1588/21067.5
=(Net Income / Revenue)*(Revenue / Total Assets)
=(1588 / 15364)*(15364 / 21067.5)
=Net Margin %*Asset Turnover
=10.34 %*0.7293
=7.54 %

Note: The Net Income data used here is four times the quarterly (Dec. 2022) net income data. The Revenue data used here is four times the quarterly (Dec. 2022) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


TE Connectivity Asset Turnover Related Terms

Thank you for viewing the detailed overview of TE Connectivity's Asset Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.


TE Connectivity (NYSE:TEL) Business Description

TE Connectivity logo
Traded in Other Exchanges
Address
Muhlenstrasse 26, Schaffhausen, CHE, CH-8200
TE Connectivity is the largest electrical connector supplier in the world, supplying interconnect and sensor solutions to the transportation, industrial, and communications markets. With operations in 150 countries and over 500,000 stock-keeping units, TE Connectivity has a broad portfolio that forms the electrical architecture of its end customers' cutting-edge innovations.
Executives
Syaru Shirley Lin director
Aaron Kyle Stucki officer: Pres. Communications Solutions 1050 WESTLAKES DRIVE, BERWYN PA 19312
Lynn A Dugle director 4803 STONECROFT BOULEVARD, CHANTILLY VA 20151
Dawn C Willoughby director 1221 BROADWAY, OAKLAND CA 94612
Kevin N Rock officer: President, Industrial Solution 1050 WESTLAKES DRIVE, BERWYN PA 19312
David M Kerko director C/O KKR, 9 WEST 57TH STREET, 41ST FLOOR, NEW YORK NY 10019
Shadrak W Kroeger officer: Pres., Communications Solution 1050 WESTLAKES DRIVE, BERWYN PA 19312
Abhijit Y Talwalkar director ONE AMD PLACE, PO BOX 3453, SUNNYVALE CA 94088
Heath A Mitts officer: EVP & Chief Financial Officer 1925 WEST FIELD COURT, SUITE 200, LAKE FOREST IL 60045
Tim Murphy officer: SVP & CHRO 1050 WESTLAKES DRIVE, BERWYN PA 19312
Mark Trudeau director COVIDIEN PLC, 15 HAMPSHIRE STREET, MANSFIELD MA 02048
Carol Anthony Davidson director
Laura Wright director 2702 LOVE FIELD DRIVE, P.O. BOX 36611, DALLAS TX 75235-1611
John S Jenkins officer: EVP & General Counsel 1050 WESTLAKES DRIVE, BERWYN PA 19312
Bradley Alan Gambill officer: SVP, Strategy & Business Dev. 1050 WESTLAKES DRIVE, BERWYN PA 19312

TE Connectivity (NYSE:TEL) Headlines

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