Capital World Investors Cuts TE Connectivity Stake to 7.7%

TL;DR

**Capital World Investors trimmed its TE Connectivity stake to 7.7% as of Dec 29, 2023.**

AI Summary

Capital World Investors, a Delaware-based investment firm, filed an amended SC 13G/A on February 9, 2024, disclosing its ownership in TE Connectivity Ltd. As of December 29, 2023, Capital World Investors beneficially owned 24,975,819 Common Shares, representing 7.7% of the company's outstanding shares. This is an update to their previous filing, indicating a slight decrease in their holdings, which could signal a shift in their investment strategy or portfolio rebalancing. For investors, this matters because a major institutional investor reducing its stake might suggest a less bullish outlook on TE Connectivity's future performance.

Why It Matters

This filing shows a significant institutional investor, Capital World Investors, has slightly reduced its stake in TE Connectivity, which could be interpreted as a minor loss of confidence or a portfolio adjustment.

Risk Assessment

Risk Level: low — The change in ownership by a large institutional investor is relatively small and does not indicate an immediate, significant risk to the company or its stock price.

Analyst Insight

An investor should monitor TE Connectivity's next earnings report and any further institutional ownership changes to understand if this reduction by Capital World Investors is part of a broader trend or an isolated portfolio adjustment.

Key Numbers

• 24,975,819 — Common Shares beneficially owned (This is the total number of shares Capital World Investors holds in TE Connectivity Ltd.)
• 7.7% — Percentage of class outstanding (This represents the proportion of TE Connectivity Ltd. that Capital World Investors owns, indicating their significant but not controlling stake.)
• December 29, 2023 — Date of Event (This is the snapshot date for the reported ownership, showing the holdings at the end of last year.)

Key Players & Entities

• Capital World Investors (company) — the reporting person and institutional investor
• TE Connectivity Ltd. (company) — the subject company whose shares are being reported
• 24,975,819 (dollar_amount) — number of shares beneficially owned by Capital World Investors
• 7.7% (dollar_amount) — percentage of TE Connectivity's outstanding shares owned by Capital World Investors
• December 29, 2023 (date) — the date of the event requiring the filing
• February 9, 2024 (date) — the filing date of the SC 13G/A amendment

Forward-Looking Statements

• TE Connectivity's stock price may experience minor downward pressure due to the institutional selling. (TE Connectivity Ltd.) — low confidence, target: Q1 2024
• Capital World Investors will continue to adjust its position in TE Connectivity, potentially further reducing its stake. (Capital World Investors) — medium confidence, target: Q2 2024

FAQ

Filing Documents

• SEC13G_Filing.htm (SC 13G/A) — 16KB
• 0001422848-24-000201.txt ( ) — 18KB

From the Filing

SC 13G/A 1 SEC13G_Filing.htm SEC SCHEDULE 13G UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13G Under the Securities Exchange Act of 1934 (Amendment No. 4 ) * TE Connectivity Ltd. (Name of Issuer) Common Shares (Title of Class of Securities) H84989104 (CUSIP Number) December 29, 2023 (Date of Event Which Requires Filing of this Statement) Check the appropriate box to designate the rule pursuant to which this Schedule is filed: [X] Rule 13d-1(b) [ ] Rule 13d-1(c) [ ] Rule 13d-1(d) * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter the disclosures provided in a prior cover page. The information required in the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 (the "Act") or otherwise subject to the liabilities of that section of the Act, but shall be subject to all other provisions of the Act (however, see the Notes.) CUSIP No. H84989104 1. NAMES OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Capital World Investors 95-1411037 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ] (b) [ ] 3. SEC USE ONLY 4. CITIZENSHIP OR PLACE OF ORGANIZATION Delaware NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH 5. SOLE VOTING POWER 24,888,420 6. SHARED VOTING POWER 0 7. SOLE DISPOSITIVE POWER 24,975,819 8. SHARED DISPOSITIVE POWER 0 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 24,975,819 Beneficial ownership disclaimed pursuant to Rule 13d-4 10. CHECK IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ] 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 8.0% 12. TYPE OF REPORTING PERSON IA Item 1. (a) Name of Issuer TE Connectivity Ltd. (b) Address of Issuer's Principal Executive Offices Muhlenstrasse 26, Schaffhausen CH-8200, Switzerland Item 2. (a) Name of Person Filing Capital World Investors (b) Address of Principal Business Office or, if None, Residence 333 SOUTH HOPE STREET, 55TH FLOOR, LOS ANGELES, CALIFORNIA 90071 (c) Citizenship N/A (d) Title of Class of Securities Common Shares (e) CUSIP Number H84989104 Item 3. If This Statement is Filed Pursuant to Rule 13d-1(b), or 13d-2(b) or (c), Check Whether the Person Filing is a: (a) [ ] Broker or dealer registered under Section 15 of the Act (15 U.S.C. 78o). (b) [ ] Bank as defined in Section 3(a)(6) of the Act (15 U.S.C. 78c). (c) [ ] Insurance Company as defined in Section 3(a)(19) of the Act (15 U.S.C. 78c). (d) [ ] Investment Company registered under Section 8 of the Investment Company Act of 1940 (15 U.S.C. 80a-8). (e) [X] An investment adviser in accordance with Rule 240.13d-1(b)(1)(ii)(E); (f) [ ] An employee benefit plan or endowment fund in accordance with Rule 240.13d-1(b)(1)(ii)(F); (g) [ ] A parent holding company or control person in accordance with Rule 240.13d-1(b)(1)(ii)(G); (h) [ ] A savings association as defined in Section 3(b) of the Federal Deposit Insurance Act (12 U.S.C. 1813); (i) [ ] A church plan that is excluded from the definition of an investment company under Section 3(c)(14) of the Investment Company Act of 1940 (15 U.S.C. 80a-3); (j) [ ] Group, in accordance with Rule 240.13d-1(b)(1)(ii)(J). Item 4. Ownership. Provide the following information regarding the aggregate number and percentage of the class of securities of the issuer identified in Item 1. (a) Amount Beneficially Owned: 24,975,819 ** (b) Percent of Class: 8.0% (c) Number of shares as to which such person has: (i) sole power to vote or to direct the vote 24,888,420 (ii) shared power to vote or to direct the vote 0 (iii) sole power to dispose or to direct the disposition of 24,975,819 (iv) shared power to dispose or to direct the disposition of 0 **Capital World Investors ("CWI") is a division of Capital Research and Management Company ("CRMC"), as well as its investment management subsidiaries and affiliates Capital Bank and Trust Company, Capital International, Inc., Capital International Limited, Capital International Sarl, Capital International K.K., Capital Group Private Client Services, Inc., and Capital Group Investment Management Private Limited (together with CRMC, the "investment management entities"). CWI's divisions of each of the investment management entities collectively provide investment management services under the name "Capital World Investors." CWI is deemed to be the beneficial owner of 24,975,819 shares or 8.0% of the 310,779,275 shares believed to be outstanding. Item 5. Ownership of Five Percent or Less of Class. If this statement is being filed to report the fact that as of the date hereof the reporting