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Amphenol Corporation (APH), a global leader in interconnect and sensor solutions, was founded in 1932 and is headquartered in Wallingford, Connecticut. With a market cap of $88.2 billion, Amphenol is a major force in the electronics and communications industry. The company designs and manufactures various advanced technologies, including connectors, cable assemblies, and sensors, serving diverse industries.
Companies with a market value of $10 billion or more are classified as “large-cap stocks,” and Amphenol firmly belongs in this category. With strong financials and a focus on innovation, the company continues to excel in diverse sectors such as automotive, aerospace, and telecommunications - demonstrating that its success is built not just on its size but on its commitment to advancing technology and connectivity worldwide.
Amphenol is currently trading slightly below its 52-week high of $74.93, reached on Nov. 25. Shares of Amphenol gained 21.4% over the three months, significantly outperforming the broader S&P 500 Index ($SPX) 10.3% gains during the same time frame.
Over the longer term, APH has delivered a 50.1% on a YTD basis gain, significantly outperforming SPX's 27.6% return. Similarly, over the past 52 weeks, APH gained 62%, surpassing SPX's 33.2% growth during the same period.
To confirm the recent bullish trend, APH has consistently traded above its 50-day moving average since early October and has remained above its 200-day moving average over the past year.
Amphenol's shares gained 2.4% following the release of its strong Q3 earnings on Oct. 23. The company reported record sales of $4.04 billion, reflecting a 26% increase and 15% organic growth year-over-year. Additionally, adjusted EPS reached a record $0.50, representing a 28% improvement compared to last year's period.
Looking ahead, Amphenol issued solid guidance for Q4 2024, expecting sales between $3.95 billion and $4.05 billion, with adjusted EPS ranging from $0.48 to $0.50. For the full year, sales are projected to be between $14.85 billion and $14.95 billion, with adjusted EPS expected to range from $1.82 to $1.84.
Amphenol has also outpaced its competitor, TE Connectivity Ltd. (TEL). TEL has gained 17% over the past 52 weeks and 9% on a YTD basis.
Analysts maintain a cautiously optimistic outlook on APH as the stock continues to outperform the broader sector. The stock has a consensus rating of “Moderate Buy” from the 15 analysts covering the stock and has a mean price target of $77.86, suggesting a potential upside of 4.7% from its current price.
