TE Connectivity Ltd. (TEL) FCF Payout Ratio: 25.49%
Is TE Connectivity Ltd.’s FCF payout ratio high or low?
TE Connectivity Ltd.'s FCF payout ratio of 25.49% is 18% below its 4-year average of 31.06%, near the low end of its 4-year range (25.07%–40.29%).
2.42% below its 12-month average of 26.12%.
TEL FCF Payout Ratio Chart
TEL Average FCF Payout Ratio Chart
TEL Current vs Average FCF Payout Ratio Chart
TEL FCF Payout Ratio Metrics
FCF PAYOUT RATIO
25.49%
FCF PAYOUT RATIO AVG TTM
26.12%
FCF PAYOUT RATIO AVG 3Y
30.69%
FCF PAYOUT RATIO AVG 5Y
31.06%
FCF PAYOUT RATIO AVG 10Y
35.04%
FCF PAYOUT RATIO AVG 15Y
32.14%
FCF PAYOUT RATIO AVG 20Y
N/A
CURRENT VS TTM AVG
-2.42%
CURRENT VS 3Y AVG
-16.93%
CURRENT VS 5Y AVG
-17.95%
CURRENT VS 10Y AVG
-27.24%
CURRENT VS 15Y AVG
-20.68%
CURRENT VS 20Y AVG
N/A
Payout Ratio Comparison
FCF Payout Ratio
25.5%
Earnings Payout Ratio
46.9%
Dividend Yield
1.34%
FCF Yield
5.28%
Annual FCF Payout Ratio History
| Year | Free Cash Flow | Dividends Paid | FCF Payout Ratio |
|---|---|---|---|
| 2025 | $3.20B | $803.00M | 25.1% |
| 2024 | $2.80B | $760.00M | 27.2% |
| 2023 | $2.40B | $725.00M | 30.2% |
| 2022 | $1.70B | $685.00M | 40.3% |
| 2021 | $1.99B | $647.00M | 32.6% |
| 2020 | $1.43B | $625.00M | 43.6% |
| 2019 | $1.67B | $608.00M | 36.3% |
| 2018 | $1.52B | $588.00M | 38.8% |
| 2017 | $1.62B | $546.00M | 33.7% |
| 2016 | $1.29B | $509.00M | 39.3% |
| 2015 | $1.31B | $502.00M | 38.2% |
| 2014 | $1.41B | $443.00M | 31.4% |
| 2013 | $1.43B | $384.00M | 26.8% |
| 2012 | $1.41B | $332.00M | 23.5% |
| 2011 | $1.20B | $296.00M | 24.7% |
| 2010 | $1.29B | $289.00M | 22.3% |
| 2009 | $1.00B | $294.00M | 29.4% |
| 2008 | $370.00M | $271.00M | 73.2% |
| 2007 | $626.00M | $0 | 0.0% |
| 2006 | $1.11B | $0 | 0.0% |
| 2005 | $677.00M | $0 | 0.0% |
| 2004 | $378.00M | $0 | 0.0% |
| 2003 | ($667.00M) | $0 | N/A (Loss) |
Formula: FCF Payout Ratio = Dividends Paid / Free Cash Flow × 100
FCF payout and earnings payout:
- FCF represents operating cash flow after capital expenditures
- FCF payout compares dividends paid with free cash flow
- FCF payout above 100% means dividends paid exceeded free cash flow for the period
- Earnings payout compares dividends paid with net income
Reading the series: Use the chart and table to compare dividend payments with cash generation over time.
TE Connectivity Ltd. FCF Payout Ratio Formula & Definition
FCF Payout Ratio measures what percentage of free cash flow is paid out as dividends. Unlike earnings-based payout, it compares dividends with cash generated after capital expenditures.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
TE Connectivity Ltd. FCF Payout Ratio FAQ
- What is the FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The FCF payout ratio for TEL stock is 25.49%.
- Is TE Connectivity Ltd.'s FCF payout ratio high or low?
- TE Connectivity Ltd.'s FCF payout ratio of 25.49% is 18% below its 4-year average of 31.06%, near the low end of its 4-year range (25.07%–40.29%).
- What is the TTM average FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The TTM average FCF payout ratio for TEL stock is 26.12%.
- What is the 3Y average FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The 3Y average FCF payout ratio for TEL stock is 30.69%.
- What is the 5Y average FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The 5Y average FCF payout ratio for TEL stock is 31.06%.
- What is the 10Y average FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The 10Y average FCF payout ratio for TEL stock is 35.04%.
- What is the 15Y average FCF payout ratio for TE Connectivity Ltd. (TEL)?
- The 15Y average FCF payout ratio for TEL stock is 32.14%.
TE Connectivity Ltd. FCF Payout Ratio History
| DATE | FCF PAYOUT RATIO |
|---|---|
| 2025-09-26 | 25.07% |
| 2024-09-27 | 27.17% |
| 2023-09-29 | 30.21% |
| 2022-09-30 | 40.29% |
| 2021-09-24 | 32.58% |
| 2020-09-25 | 43.65% |
| 2019-09-30 | 36.34% |
| 2018-09-30 | 38.79% |
| 2017-09-30 | 33.72% |
| 2016-09-30 | 39.34% |
| 2015-09-30 | 38.23% |
| 2014-09-30 | 31.42% |
| 2013-09-30 | 26.83% |
| 2012-09-30 | 23.48% |
| 2011-09-30 | 24.71% |
| 2010-09-30 | 22.33% |
| 2009-09-30 | 29.37% |
| 2008-09-30 | 73.24% |
About TE Connectivity Ltd.
Operating globally across Europe, the Middle East & Africa, Asia Pacific, and the Americas, TE Connectivity Ltd. (TEL) specializes in the engineering and distribution of advanced connectivity and sensor technologies. The company structures its diverse operations into three primary business units: 1. Transportation Solutions: This segment delivers critical components such as terminals, sophisticated connector systems, various sensors, relays, antennas, heat shrink tubing, and specialized application tooling. These products are vital for the automotive, commercial vehicle, and broader sensor manufacturing sectors. 2. Industrial Solutions: This division provides an array of components including terminals, connector systems, heat shrink tubing, interventional medical devices, relays, and an assortment of wires and cables. Its extensive client base spans industries like aerospace, defense, oil & gas, general industrial equipment, medical devices, and energy. 3. Communications Solutions: Focused on electronic components, this unit supplies terminals, connector systems, relays, heat shrink tubing, and antennas, primarily serving the data & devices and appliance markets. TE Connectivity Ltd. distributes its offerings to customers in approximately 140 nations, predominantly through direct sales to original equipment manufacturers, supplemented by a network of third-party distributors. Established in 2000, the company is headquartered in Schaffhausen, Switzerland, and changed its name from Tyco Electronics Ltd. to TE Connectivity Ltd. in March 2011.
- Sector
- Technology
- Industry
- Hardware, Equipment & Parts
- CEO
- Heath A. Mitts