TE Connectivity Ltd. (NYSE: TEL) saw its shares advance 3.46% on Friday, closing at $215.91 and extending gains slightly in after-hours trading. This recovery followed a 3.29% decline on Thursday, yet the stock finished the week approximately 5% lower and remains about 14% below its 52-week peak.
The industrial technology company is set to finalize a $750 million senior notes offering on Monday, February 9. Additionally, it will distribute a quarterly dividend of $0.71 per share on March 13 to shareholders of record as of February 20.
Market sentiment for TE Connectivity, a provider of connectivity and sensor solutions for industries including transportation, industrial automation, and data centers, continues to be influenced by the broader narrative around artificial intelligence infrastructure investment. The company's most recent quarterly report, issued in January, highlighted growth in AI-related applications.
CEO Terrence Curtin pointed to expansion in "key applications such as AI," with the firm projecting second-quarter adjusted earnings per share around $2.65 and sales near $4.7 billion.
Wall Street's broader rebound on Friday, which saw the Dow Jones Industrial Average close above 50,000 for the first time, provided a supportive backdrop. "There's enough evidence that there's real demand for AI products," commented Ross Mayfield, an investment strategy analyst at Baird.
Looking ahead, a key macroeconomic event awaits investors. The U.S. Bureau of Labor Statistics is scheduled to release the Consumer Price Index (CPI) report for January on Friday, February 13. This inflation reading is widely anticipated as a major catalyst for market direction.
The immediate risk for TE Connectivity and similar industrial and data-center suppliers is twofold: a hotter-than-expected inflation print or any sign of wavering market confidence in the AI spending thesis could prompt swift selling pressure. The stock's volatile two-day swing into the weekend underscored this sensitivity.