Electronic Components Stocks Q3 In Review: Bel Fuse (NASDAQ:BELFA) Vs Peers
Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Bel Fuse (NASDAQ:BELFA) and the best and worst performers in the electronic components industry.
Like many equipment and component manufacturers, electronic components companies are buoyed by secular trends such as connectivity and industrial automation. More specific pockets of strong demand include data centers and telecommunications, which can benefit companies whose optical and transceiver offerings fit those markets. But like the broader industrials sector, these companies are also at the whim of economic cycles. Consumer spending, for example, can greatly impact these companies’ volumes.
The 12 electronic components stocks we track reported a satisfactory Q3. As a group, revenues beat analysts’ consensus estimates by 1.3% while next quarter’s revenue guidance was 3.6% below.
While some electronic components stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3% since the latest earnings results.
Bel Fuse (NASDAQ:BELFA)
Founded by 26-year-old Elliot Bernstein during the electronics boom after WW2, Bel Fuse (NASDAQ:BELF.A) provides electronic systems and devices to the telecommunications, networking, transportation, and industrial sectors.
Bel Fuse reported revenues of $123.6 million, down 22.1% year on year. This print exceeded analysts’ expectations by 0.8%. Despite the top-line beat, it was still a slower quarter for the company with a significant miss of analysts’ EPS estimates and revenue guidance for next quarter missing analysts’ expectations.
“We were pleased that our third quarter results landed above the midpoint of guidance for both sales and gross margin,” said Daniel Bernstein, President and CEO.
Bel Fuse Total Revenue
Bel Fuse delivered the slowest revenue growth of the whole group. Unsurprisingly, the stock is down 20.2% since reporting and currently trades at $82.21.
Founded by a researcher at the Massachusetts Institute of Technology, Vicor (NASDAQ:VICR) provides electrical power conversion and delivery products for a range of industries.
Vicor reported revenues of $93.17 million, down 13.6% year on year, outperforming analysts’ expectations by 9.3%. The business had an incredible quarter with an impressive beat of analysts’ EPS estimates.
Vicor Total Revenue
Vicor pulled off the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 10.6% since reporting. It currently trades at $48.
Originally a pioneer in the laser scanning industry during the late 1960s, Novanta (NASDAQ:NOVT) offers medicine and manufacturing technology to the medical, life sciences, and manufacturing industries.
Novanta reported revenues of $244.4 million, up 10.3% year on year, exceeding analysts’ expectations by 0.9%. Still, it was a softer quarter as it posted full-year EBITDA guidance missing analysts’ expectations.
As expected, the stock is down 19.2% since the results and currently trades at $141.01.
Founded in 1962, Allient (NASDAQ:ALNT) develops and manufactures precision and specialty-controlled motion components and systems.
Allient reported revenues of $125.2 million, down 13.8% year on year. This number surpassed analysts’ expectations by 0.6%. It was an exceptional quarter as it also recorded an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
The stock is up 18.9% since reporting and currently trades at $24.36.
With its enamel-coated copper wire used in WWI for the Allied forces, Belden (NYSE:BDC) designs, manufactures, and sells electronic components to various industries.
Belden reported revenues of $654.9 million, up 4.5% year on year. This print beat analysts’ expectations by 1.7%. Overall, it was a very strong quarter as it also logged an impressive beat of analysts’ adjusted operating income estimates.
The stock is up 7.2% since reporting and currently trades at $125.99.
Thanks to the Fed's series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market has thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% each in November and December), and a notable surge followed Donald Trump's presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by the pace and magnitude of future rate cuts as well as potential changes in trade policy and corporate taxes once the Trump administration takes over. The path forward is marked by uncertainty.
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