BEL FUSE INC-CL B (BELFB) Stock Fundamental Analysis
NASDAQ:BELFB - Nasdaq - US0773473006 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to BELFB. BELFB was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. While BELFB has a great profitability rating, there are some minor concerns on its financial health. BELFB may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make BELFB suitable for value investing!
1. Profitability
1.1 Basic Checks
BELFB had positive earnings in the past year.
In the past year BELFB had a positive cash flow from operations.
In the past 5 years BELFB has always been profitable.
Each year in the past 5 years BELFB had a positive operating cash flow.
1.2 Ratios
BELFB has a Return On Assets of 4.31%. This is in the better half of the industry: BELFB outperforms 70.97% of its industry peers.
BELFB has a better Return On Equity (11.36%) than 79.84% of its industry peers.
BELFB has a Return On Invested Capital of 6.98%. This is in the better half of the industry: BELFB outperforms 70.16% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BELFB is above the industry average of 9.14%.
The last Return On Invested Capital (6.98%) for BELFB is well below the 3 year average (13.11%), which needs to be investigated, but indicates that BELFB had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 11.36% | ||
| ROIC | 6.98% |
ROA(3y)8.88%
ROA(5y)6.86%
ROE(3y)17.71%
ROE(5y)14.38%
ROIC(3y)13.11%
ROIC(5y)9.78%
1.3 Margins
BELFB's Profit Margin of 7.66% is fine compared to the rest of the industry. BELFB outperforms 77.42% of its industry peers.
BELFB's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 12.74%, BELFB belongs to the best of the industry, outperforming 85.48% of the companies in the same industry.
BELFB's Operating Margin has improved in the last couple of years.
BELFB has a Gross Margin of 37.84%. This is in the better half of the industry: BELFB outperforms 66.13% of its industry peers.
In the last couple of years the Gross Margin of BELFB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.74% | ||
| PM (TTM) | 7.66% | ||
| GM | 37.84% |
OM growth 3Y44.92%
OM growth 5Y65.85%
PM growth 3Y18.84%
PM growth 5YN/A
GM growth 3Y15.23%
GM growth 5Y11.11%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BELFB is still creating some value.
Compared to 1 year ago, BELFB has less shares outstanding
The number of shares outstanding for BELFB has been increased compared to 5 years ago.
BELFB has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.47 indicates that BELFB is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of BELFB (2.47) is comparable to the rest of the industry.
The Debt to FCF ratio of BELFB is 4.88, which is a neutral value as it means it would take BELFB, 4.88 years of fcf income to pay off all of its debts.
BELFB has a better Debt to FCF ratio (4.88) than 60.48% of its industry peers.
BELFB has a Debt/Equity ratio of 0.81. This is a neutral value indicating BELFB is somewhat dependend on debt financing.
BELFB has a worse Debt to Equity ratio (0.81) than 85.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 4.88 | ||
| Altman-Z | 2.47 |
ROIC/WACC0.83
WACC8.44%
2.3 Liquidity
BELFB has a Current Ratio of 2.92. This indicates that BELFB is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of BELFB (2.92) is better than 62.10% of its industry peers.
A Quick Ratio of 1.66 indicates that BELFB should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.66, BELFB is in line with its industry, outperforming 46.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.92 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
BELFB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.22%.
BELFB shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 48.64% yearly.
BELFB shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.41%.
The Revenue has been growing slightly by 1.67% on average over the past years.
EPS 1Y (TTM)-16.22%
EPS 3Y48.64%
EPS 5YN/A
EPS Q2Q%11.68%
Revenue 1Y (TTM)-16.41%
Revenue growth 3Y-0.54%
Revenue growth 5Y1.67%
Sales Q2Q%7.03%
3.2 Future
The Earnings Per Share is expected to grow by 8.14% on average over the next years. This is quite good.
BELFB is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.19% yearly.
EPS Next Y8.03%
EPS Next 2Y8.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year25.93%
Revenue Next 2Y15.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.77, which indicates a correct valuation of BELFB.
Based on the Price/Earnings ratio, BELFB is valued cheaper than 88.71% of the companies in the same industry.
BELFB is valuated cheaply when we compare the Price/Earnings ratio to 28.64, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.82, the valuation of BELFB can be described as reasonable.
Based on the Price/Forward Earnings ratio, BELFB is valued cheaper than 85.48% of the companies in the same industry.
BELFB is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 11.82 |
4.2 Price Multiples
69.35% of the companies in the same industry are more expensive than BELFB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BELFB is valued cheaply inside the industry as 81.45% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.36 | ||
| EV/EBITDA | 12.47 |
4.3 Compensation for Growth
BELFB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of BELFB may justify a higher PE ratio.
PEG (NY)1.59
PEG (5Y)N/A
EPS Next 2Y8.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BELFB has a yearly dividend return of 0.36%, which is pretty low.
BELFB's Dividend Yield is rather good when compared to the industry average which is at 2.40. BELFB pays more dividend than 80.65% of the companies in the same industry.
With a Dividend Yield of 0.36, BELFB pays less dividend than the S&P500 average, which is at 2.52.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
5.2 History
The dividend of BELFB has a limited annual growth rate of 0.04%.
BELFB has paid a dividend for at least 10 years, which is a reliable track record.
BELFB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years25
5.3 Sustainability
BELFB pays out 8.43% of its income as dividend. This is a sustainable payout ratio.
BELFB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP8.43%
EPS Next 2Y8.14%
EPS Next 3YN/A
67.94
+2.21 (+3.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners51.12%
Inst Owner Change-0.61%
Ins Owners24.52%
Ins Owner Change7%
Market Cap860.80M
Analysts84.44
Price TargetN/A
Short Float %26.72%
Short Ratio4.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
Yearly Dividend0.27
Dividend Growth(5Y)0.04%
DP8.43%
Div Incr Years0
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)53.4%
Min EPS beat(2)16.36%
Max EPS beat(2)90.44%
EPS beat(4)4
Avg EPS beat(4)50.74%
Min EPS beat(4)16.36%
Max EPS beat(4)90.44%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)10.48%
Min Revenue beat(2)-0.8%
Max Revenue beat(2)21.75%
Revenue beat(4)2
Avg Revenue beat(4)4.74%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)21.75%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)40.24%
EPS NY rev (1m)28.28%
EPS NY rev (3m)28.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)23.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)24.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 11.82 | ||
| P/S | 1.61 | ||
| P/FCF | 14.36 | ||
| P/OCF | 11.62 | ||
| P/B | 2.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.47 |
EPS(TTM)5.32
EY7.83%
EPS(NY)5.75
Fwd EY8.46%
FCF(TTM)4.73
FCFY6.97%
OCF(TTM)5.85
OCFY8.6%
SpS42.21
BVpS28.46
TBVpS-6.27
PEG (NY)1.59
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 11.36% | ||
| ROCE | 8.29% | ||
| ROIC | 6.98% | ||
| ROICexc | 7.62% | ||
| ROICexgc | 18.34% | ||
| OM | 12.74% | ||
| PM (TTM) | 7.66% | ||
| GM | 37.84% | ||
| FCFM | 11.21% |
ROA(3y)8.88%
ROA(5y)6.86%
ROE(3y)17.71%
ROE(5y)14.38%
ROIC(3y)13.11%
ROIC(5y)9.78%
ROICexc(3y)15.67%
ROICexc(5y)11.77%
ROICexgc(3y)23.26%
ROICexgc(5y)17.27%
ROCE(3y)15.59%
ROCE(5y)11.63%
ROICexcg growth 3Y33.85%
ROICexcg growth 5Y56.02%
ROICexc growth 3Y10.39%
ROICexc growth 5Y40.88%
OM growth 3Y44.92%
OM growth 5Y65.85%
PM growth 3Y18.84%
PM growth 5YN/A
GM growth 3Y15.23%
GM growth 5Y11.11%
F-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 4.88 | ||
| Debt/EBITDA | 3.46 | ||
| Cap/Depr | 85.73% | ||
| Cap/Sales | 2.64% | ||
| Interest Coverage | 11.76 | ||
| Cash Conversion | 87.53% | ||
| Profit Quality | 146.38% | ||
| Current Ratio | 2.92 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z | 2.47 |
F-Score5
WACC8.44%
ROIC/WACC0.83
Cap/Depr(3y)78.75%
Cap/Depr(5y)65.07%
Cap/Sales(3y)1.96%
Cap/Sales(5y)1.76%
Profit Quality(3y)112.12%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.22%
EPS 3Y48.64%
EPS 5YN/A
EPS Q2Q%11.68%
EPS Next Y8.03%
EPS Next 2Y8.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-16.41%
Revenue growth 3Y-0.54%
Revenue growth 5Y1.67%
Sales Q2Q%7.03%
Revenue Next Year25.93%
Revenue Next 2Y15.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-23.4%
EBIT growth 3Y44.14%
EBIT growth 5Y68.62%
EBIT Next Year65.25%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-37.69%
FCF growth 3YN/A
FCF growth 5Y32.72%
OCF growth 1Y-31.64%
OCF growth 3Y151.97%
OCF growth 5Y24.81%