Benchmark Electronics, Inc. (BHE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Why is Benchmark Electronics, Inc. ?

Company has a low Debt to Equity ratio (avg) at times

Low Debt Company with Strong Long Term Fundamental Strength

Flat results in Jun 25

ROCE(HY) Lowest at 3.49%
INTEREST(Q) At USD 6.35 MM has Grown at 19.89%
INTEREST COVERAGE RATIO(Q) Lowest at 541.3

With ROCE of 10.52%, it has a fair valuation with a 1.25 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 1.05%, its profits have fallen by -16.9%

Underperformed the market in the last 1 year

The stock has generated a return of 1.05% in the last 1 year, much lower than market (S&P 500) returns of 14.11%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Benchmark Electronics, Inc. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Benchmark Electronics, Inc. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Benchmark Electronics, Inc.

35.08%

0.53

38.86%

S&P 500

14.9%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.31%

EBIT Growth (5y)

19.12%

EBIT to Interest (avg)

5.48

Debt to EBITDA (avg)

0.32

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

1.95

Tax Ratio

27.63%

Dividend Payout Ratio

100.00%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

8.67%

ROE (avg)

5.52%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.76

EV to EBIT

17.34

EV to EBITDA

13.01

EV to Capital Employed

1.84

EV to Sales

0.68

PEG Ratio

Dividend Yield

1.27%

ROCE (Latest)

10.62%

ROE (Latest)

3.30%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Bullish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

8What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 4.62 times

DIVIDEND PAYOUT RATIO(Y)

Highest at 101.55%

RAW MATERIAL COST(Y)

Fallen by -2.03% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -1.19 %

NET SALES(Q)

Highest at USD 704.33 MM

PRE-TAX PROFIT(Q)

Highest at USD 30.06 MM

-11What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 123.97 MM

NET PROFIT(HY)

At USD 27.02 MM has Grown at -25.4%

ROCE(HY)

Lowest at 2.25%

OPERATING PROFIT MARGIN(Q)

Lowest at 4.86 %

Here's what is working for Benchmark Electronics, Inc.

Inventory Turnover Ratio

Highest at 4.62 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales

Highest at USD 704.33 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Pre-Tax Profit

Highest at USD 30.06 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 30.06 MM has Grown at 39.11%

over average net sales of the previous four periods of USD 21.61 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Debt-Equity Ratio

Lowest at -1.19 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend Payout Ratio

Highest at 101.55%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -2.03% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Benchmark Electronics, Inc.

Net Profit

At USD 27.02 MM has Grown at -25.4%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 123.97 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Operating Profit Margin

Lowest at 4.86 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales