Is TE Connectivity plc (TEL) Halal?

NYSE Technology Ireland $59.3B
✓ HALAL
Confidence: 95/100
TE Connectivity plc (TEL) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 9.6% against the AAOIFI threshold of 30%, TE Connectivity plc comfortably passes the key financial ratio tests. The company operates in the Technology sector (Electronic Components), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from September 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 9.6%
/ 30%
2.1%
/ 30%
5.6%
/ 30%
0.48%
/ 5%
✓ HALAL
DJIM 9.6%
/ 33%
2.1%
/ 33%
5.6%
/ 33%
0.48%
/ 5%
✓ HALAL
MSCI 23.2%
/ 33%
5.0%
/ 33%
13.6%
/ 33%
0.48%
/ 5%
✓ HALAL
S&P 9.6%
/ 33%
2.1%
/ 33%
5.6%
/ 33%
0.48%
/ 5%
✓ HALAL
FTSE 23.2%
/ 33%
5.0%
/ 33%
13.6%
/ 50%
0.48%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
29.2
Forward: 16.3
EPS
$6.93
Dividend Yield
144.0%
Payout: 40.1%
P/B Ratio
4.6
EV/EBITDA
14.2
EV: $64.2B
Revenue
$17.3B
Growth: 21.7%
Beta
1.2
High volatility
Current Ratio
1.7

Profitability

Gross Margin 35.7%
Operating Margin 20.9%
Net Margin 11.4%
Return on Equity (ROE) 16.1%
Return on Assets (ROA) 9.4%

Cash Flow & Balance Sheet

Operating Cash Flow$4.1B
Free Cash Flow$3.2B
Total Debt$5.8B
Debt-to-Equity45.7
Current Ratio1.7
Total Assets$25.1B

Price & Trading

Last Close$203.20
50-Day MA$219.19
200-Day MA$214.18
Avg Volume2.2M
Beta1.2
52-Week Range
$116.30
$250.67

About TE Connectivity plc (TEL)

CEO
Mr. Terrence R. Curtin CPA
Employees
90,000
Website
Sector
Technology
Industry
Electronic Components
Country
Ireland
Exchange
NYSE
Market Cap
$59.3B
Currency
USD

TE Connectivity plc, together with its subsidiaries, manufactures and sells connectivity and sensor solutions in Europe, the Middle East, Africa, the Asia–Pacific, and the Americas. The company operates through two reportable segments, Transportation Solutions and Industrial Solutions. It provides antennas, application tooling, cable assemblies, connectors, electromagnetic compatibility/electromagnetic interference solutions, energy and power, fiber optics, heat shrink tubing, identification and labeling, medical components, passive components, relays and contactors, sensors, switches, terminals and splices, wires and cables, and wire protection and management solutions. The company also offers training and other services, including 3D printing for production, back shells prototyping, electrical installation training, HarnWare software, machine tooling service and repair, medical device design services, microfluidic devices, and sensor manufacturing services as well as conducts automotive webinars. It serves 5G and wireless equipment, aerospace, appliances, automation and control, automotive, autosport, commercial and industrial vehicles, connected home, data centers and artificial intelligence, defense and military, energy solutions, e-mobility, industrial machinery, intelligent buildings, IoT connectivity, medical technologies, oil and gas/marine, personal electronics and wearable technology, rail, sensor applications, space, and other industries. The company was formerly known as Tyco Electronics Ltd. and changed its name to TE Connectivity plc in March 2011. TE Connectivity plc was founded in 1941 and is based in Ballybrit, Ireland.

Purification Calculator

As a halal stock with 0.48% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is TE Connectivity plc (TEL) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), TE Connectivity plc is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is TE Connectivity plc's debt ratio?

TE Connectivity plc's debt ratio is 9.6% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 23.2%.

Does TE Connectivity plc require dividend purification?

Yes, TE Connectivity plc has an impermissible income ratio of 0.48%, which means 0.48% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are TE Connectivity plc's key financial metrics?

TE Connectivity plc has a market capitalization of $59.3B, trailing P/E ratio of 29.2, and revenue of $17.3B. The company maintains a gross margin of 35.7% and a net margin of 11.4%. Return on equity stands at 16.1%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.