BENCHMARK ELECTRONICS INC (BHE) Stock Fundamental Analysis
USA - NYSE:BHE - US08160H1014 - Common Stock
43.82 USD
+0.27 (+0.62%)
43.82 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to BHE. BHE was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. BHE has an average financial health and profitability rating. BHE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year BHE was profitable.
BHE had a positive operating cash flow in the past year.
Each year in the past 5 years BHE has been profitable.
In multiple years BHE reported negative operating cash flow during the last 5 years.
1.2 Ratios
BHE has a Return On Assets (1.89%) which is in line with its industry peers.
BHE has a Return On Equity of 3.47%. This is comparable to the rest of the industry: BHE outperforms 55.65% of its industry peers.
BHE's Return On Invested Capital of 5.61% is fine compared to the rest of the industry. BHE outperforms 62.10% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BHE is below the industry average of 9.38%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.89% | ||
| ROE | 3.47% | ||
| ROIC | 5.61% |
ROA(3y)2.95%
ROA(5y)2.31%
ROE(3y)6.1%
ROE(5y)4.68%
ROIC(3y)5.67%
ROIC(5y)4.78%
1.3 Margins
BHE has a Profit Margin (1.48%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BHE has grown nicely.
BHE has a Operating Margin (4.03%) which is in line with its industry peers.
In the last couple of years the Operating Margin of BHE has grown nicely.
Looking at the Gross Margin, with a value of 10.14%, BHE is doing worse than 80.65% of the companies in the same industry.
In the last couple of years the Gross Margin of BHE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.03% | ||
| PM (TTM) | 1.48% | ||
| GM | 10.14% |
OM growth 3Y13.76%
OM growth 5Y18.87%
PM growth 3Y14.55%
PM growth 5Y18.21%
GM growth 3Y3.65%
GM growth 5Y4.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BHE is destroying value.
The number of shares outstanding for BHE has been increased compared to 1 year ago.
Compared to 5 years ago, BHE has less shares outstanding
Compared to 1 year ago, BHE has an improved debt to assets ratio.
2.2 Solvency
BHE has an Altman-Z score of 3.34. This indicates that BHE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of BHE (3.34) is comparable to the rest of the industry.
BHE has a debt to FCF ratio of 2.65. This is a good value and a sign of high solvency as BHE would need 2.65 years to pay back of all of its debts.
BHE's Debt to FCF ratio of 2.65 is fine compared to the rest of the industry. BHE outperforms 71.77% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that BHE is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.18, BHE perfoms like the industry average, outperforming 46.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.65 | ||
| Altman-Z | 3.34 |
ROIC/WACC0.59
WACC9.58%
2.3 Liquidity
BHE has a Current Ratio of 2.36. This indicates that BHE is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of BHE (2.36) is comparable to the rest of the industry.
BHE has a Quick Ratio of 1.46. This is a normal value and indicates that BHE is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of BHE (1.46) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
The earnings per share for BHE have decreased by -0.88% in the last year.
Measured over the past years, BHE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.75% on average per year.
Looking at the last year, BHE shows a decrease in Revenue. The Revenue has decreased by -5.95% in the last year.
Measured over the past years, BHE shows a small growth in Revenue. The Revenue has been growing by 3.21% on average per year.
EPS 1Y (TTM)-0.88%
EPS 3Y19.43%
EPS 5Y11.75%
EPS Q2Q%-3.51%
Revenue 1Y (TTM)-5.95%
Revenue growth 3Y5.6%
Revenue growth 5Y3.21%
Sales Q2Q%-3.54%
3.2 Future
The Earnings Per Share is expected to grow by 5.67% on average over the next years.
The Revenue is expected to grow by 2.34% on average over the next years.
EPS Next Y1.11%
EPS Next 2Y5.67%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.04%
Revenue Next 2Y2.34%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.48, BHE is valued on the expensive side.
Based on the Price/Earnings ratio, BHE is valued cheaply inside the industry as 81.45% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.11. BHE is valued slightly cheaper when compared to this.
BHE is valuated rather expensively with a Price/Forward Earnings ratio of 17.06.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BHE indicates a rather cheap valuation: BHE is cheaper than 81.45% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.55, BHE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.48 | ||
| Fwd PE | 17.06 |
4.2 Price Multiples
BHE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BHE is cheaper than 85.48% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BHE is valued cheaper than 83.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.09 | ||
| EV/EBITDA | 10.03 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BHE does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)17.55
PEG (5Y)1.66
EPS Next 2Y5.67%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BHE has a Yearly Dividend Yield of 1.56%.
Compared to an average industry Dividend Yield of 2.06, BHE pays a better dividend. On top of this BHE pays more dividend than 92.74% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 2.37, BHE is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.56% |
5.2 History
The dividend of BHE has a limited annual growth rate of 2.33%.
BHE has been paying a dividend for over 5 years, so it has already some track record.
BHE has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.33%
Div Incr Years1
Div Non Decr Years6
5.3 Sustainability
BHE pays out 63.34% of its income as dividend. This is not a sustainable payout ratio.
BHE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP63.34%
EPS Next 2Y5.67%
EPS Next 3YN/A
43.82
+0.27 (+0.62%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners102.62%
Inst Owner Change0.25%
Ins Owners1.28%
Ins Owner Change0.54%
Market Cap1.57B
Revenue(TTM)2.59B
Net Income(TTM)38.41M
Analysts77.5
Price Target45.65 (4.18%)
Short Float %3.16%
Short Ratio4.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.56% |
Yearly Dividend0.67
Dividend Growth(5Y)2.33%
DP63.34%
Div Incr Years1
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.42%
Min EPS beat(2)0.38%
Max EPS beat(2)2.46%
EPS beat(4)4
Avg EPS beat(4)3.67%
Min EPS beat(4)0.38%
Max EPS beat(4)7.56%
EPS beat(8)8
Avg EPS beat(8)6.77%
EPS beat(12)11
Avg EPS beat(12)5.36%
EPS beat(16)15
Avg EPS beat(16)8.08%
Revenue beat(2)0
Avg Revenue beat(2)-1.37%
Min Revenue beat(2)-2.26%
Max Revenue beat(2)-0.47%
Revenue beat(4)1
Avg Revenue beat(4)-1.03%
Min Revenue beat(4)-2.26%
Max Revenue beat(4)0.19%
Revenue beat(8)4
Avg Revenue beat(8)0.2%
Revenue beat(12)7
Avg Revenue beat(12)0.85%
Revenue beat(16)10
Avg Revenue beat(16)2.34%
PT rev (1m)0%
PT rev (3m)-0.56%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.98%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.48 | ||
| Fwd PE | 17.06 | ||
| P/S | 0.61 | ||
| P/FCF | 20.09 | ||
| P/OCF | 13.85 | ||
| P/B | 1.42 | ||
| P/tB | 1.8 | ||
| EV/EBITDA | 10.03 |
EPS(TTM)2.25
EY5.13%
EPS(NY)2.57
Fwd EY5.86%
FCF(TTM)2.18
FCFY4.98%
OCF(TTM)3.16
OCFY7.22%
SpS72.09
BVpS30.82
TBVpS24.33
PEG (NY)17.55
PEG (5Y)1.66
Graham Number39.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.89% | ||
| ROE | 3.47% | ||
| ROCE | 7.25% | ||
| ROIC | 5.61% | ||
| ROICexc | 6.87% | ||
| ROICexgc | 8.57% | ||
| OM | 4.03% | ||
| PM (TTM) | 1.48% | ||
| GM | 10.14% | ||
| FCFM | 3.03% |
ROA(3y)2.95%
ROA(5y)2.31%
ROE(3y)6.1%
ROE(5y)4.68%
ROIC(3y)5.67%
ROIC(5y)4.78%
ROICexc(3y)6.91%
ROICexc(5y)6%
ROICexgc(3y)8.59%
ROICexgc(5y)7.73%
ROCE(3y)7.33%
ROCE(5y)6.18%
ROICexgc growth 3Y10.04%
ROICexgc growth 5Y15.2%
ROICexc growth 3Y12.99%
ROICexc growth 5Y17.65%
OM growth 3Y13.76%
OM growth 5Y18.87%
PM growth 3Y14.55%
PM growth 5Y18.21%
GM growth 3Y3.65%
GM growth 5Y4.44%
F-Score7
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.65 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | 75.27% | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | 4.39 | ||
| Cash Conversion | 75.14% | ||
| Profit Quality | 203.9% | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | 3.34 |
F-Score7
WACC9.58%
ROIC/WACC0.59
Cap/Depr(3y)116.32%
Cap/Depr(5y)105.1%
Cap/Sales(3y)1.87%
Cap/Sales(5y)1.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.88%
EPS 3Y19.43%
EPS 5Y11.75%
EPS Q2Q%-3.51%
EPS Next Y1.11%
EPS Next 2Y5.67%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-5.95%
Revenue growth 3Y5.6%
Revenue growth 5Y3.21%
Sales Q2Q%-3.54%
Revenue Next Year-1.04%
Revenue Next 2Y2.34%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-15.68%
EBIT growth 3Y20.13%
EBIT growth 5Y22.68%
EBIT Next Year49.04%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y151.13%
FCF growth 3YN/A
FCF growth 5Y21.87%
OCF growth 1Y234.75%
OCF growth 3YN/A
OCF growth 5Y15.23%
BENCHMARK ELECTRONICS INC / BHE FAQ
What is the fundamental rating for BHE stock?
ChartMill assigns a fundamental rating of 5 / 10 to BHE.
What is the valuation status of BENCHMARK ELECTRONICS INC (BHE) stock?
ChartMill assigns a valuation rating of 5 / 10 to BENCHMARK ELECTRONICS INC (BHE). This can be considered as Fairly Valued.
How profitable is BENCHMARK ELECTRONICS INC (BHE) stock?
BENCHMARK ELECTRONICS INC (BHE) has a profitability rating of 5 / 10.
Can you provide the expected EPS growth for BHE stock?
The Earnings per Share (EPS) of BENCHMARK ELECTRONICS INC (BHE) is expected to grow by 1.11% in the next year.
Is the dividend of BENCHMARK ELECTRONICS INC sustainable?
The dividend rating of BENCHMARK ELECTRONICS INC (BHE) is 5 / 10 and the dividend payout ratio is 63.34%.