-- TE Connectivity (TEL) is expected to report earnings Wednesday following a stock recovery that reflects the company's strong market position despite recent stock price volatility, Oppenheimer said in a report Tuesday.
The company's shares recently rebounded from eight-month lows, the report said. The previous selloff was "narrowly focused" on fears that new data center "architectures" would disrupt its artificial intelligence portfolio, but the firm is poised for "net market expansion" driven by the massive scale of AI infrastructure, according to the report.
The company has issued fiscal year 2026 AI revenue guidance of $2.2 billion, the report said. Oppenheimer said TE Connectivity is "particularly well-positioned" in power connectivity for "higher-voltage data centers" and is seeing broad-based growth across every major "hyperscaler" customer.
Oppenheimer has an outperform rating on TE Connectivity with a $285 price target.
Price: $248.51, Change: $+0.85, Percent Change: +0.34%