Bel Fuse (BELFA) AI Stock Analysis

• Market Cap: $2.93B
• Dividend Yield: 0.15%
• Average Volume (3M): 24.50K
• Price to Earnings (P/E): 46.5
• Beta (1Y): 1.29
• Revenue Growth: 23.70%
• EPS Growth: 14.78%
• Country: US
• Employees: 5,370
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 1.98
• Shares Outstanding: 2,115,263
• 10 Day Avg. Volume: 41,410
• 30 Day Avg. Volume: 24,500
• PEG Ratio: 0.11
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 5.28
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 4.66
• Enterprise Value/Gross Profit: 11.90
• Enterprise Value/Ebitda: 21.44
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 7.35
• Revenue Forecast (FY): $725.26M

• Rating: 76 Outperform
• Price Target: $234.00 ▲(46.76% Upside)
• Action: Reiterated Date: 02/19/26
• Date: Action: Reiterated 02/19/26

Overall score is driven primarily by stronger financial performance (material margin expansion and improved leverage) and supportive technical momentum (price above key moving averages with positive MACD). This is tempered by a demanding P/E valuation despite a high dividend yield, and earnings-call guidance that flags near-term margin headwinds from input costs and FX.

Positive Factors

Sustained Margin Expansion

Bel Fuse has materially expanded gross margins over multiple years, driven by improved fixed-cost absorption and a higher-value product mix. Sustained margin improvement strengthens operating leverage, supports internal cash generation and reinvestment, and improves resilience to cyclicality in end markets.

Deleveraging and Cash Generation

Meaningful debt paydown and rising free cash flow materially improve financial flexibility. Lower leverage reduces interest and refinancing risk, enabling disciplined M&A, capex, and dividends while preserving liquidity to navigate multi‑year design cycles in aerospace and industrial markets.

Diversified End-Market Demand & Strong Orders

A healthy book-to-bill and multi-segment growth indicate broad-based demand across aerospace, defense, networking and AI-related applications. Diversification lowers single-customer concentration risk and supports sustained revenue ramps as multi-quarter design wins convert to production.

Negative Factors

Raw Material Inflation

Persistent increases in key commodity inputs raise unit costs and compress margins if pricing pass-through lags. For a components manufacturer, prolonged raw-material inflation can erode gross margins and force tradeoffs between customer pricing, share maintenance and margin preservation.

Foreign-Exchange Exposure

Material FX swings and incomplete hedging create recurring translation and transaction volatility to revenue and margins. Given global manufacturing and cross-border sales, FX pressure can offset operating gains and complicate medium-term planning for pricing, sourcing and investment decisions.

Revenue Visibility & Long Design Cycles

Long multimodal design and qualification cycles in aerospace and defense delay revenue realization from new wins. This structural lag increases execution risk, slows the payoff from R&D or acquisitions, and can cause revenue volatility despite a healthy funnel and strong backlog.

Bel Fuse Business Overview & Revenue Model

Company Description

Bel Fuse Inc. designs, manufactures, markets, and sells products that are used in the networking, telecommunication, high-speed data transmission, commercial aerospace, military, broadcasting, transportation, e-Mobility and broadcasting, and consumer electronic industries in the United States, Macao, the United Kingdom, Slovakia, Germany, Switzerland, and internationally. It offers magnetic products, such as integrated connector modules; power transformers; SMD power inductors and SMPS transformers; and ethernet discrete components. The company also provides power solutions and protection products comprising front-end power supplies; board-mount power; industrial power; external power; and circuit protection products. In addition, it offers connectivity solutions, which includes expanded beam fiber optic connectors, cable assemblies, and active optical devices; copper-based connectors/cable assemblies; radio frequency connectors, cable assemblies, microwave devices, and low loss cables; and ethernet, I/O, and industrial and power connectivity. The company sells its products under the Bel, TRP Connector, MagJack, Signal, Bel Power Solutions, Melcher, CUI, Stratos, Fibreco, Cinch, Johnson, Trompeter, Midwest Microwave, Semflex, and Stewart Connector brands through direct strategic account managers, regional sales managers working with independent sales representative organizations, and authorized distributors. Bel Fuse Inc. was incorporated in 1949 and is headquartered in Jersey City, New Jersey.

How the Company Makes Money

Bel Fuse generates revenue through the sale of its core products in the Connectivity Solutions and Power Solutions segments. The company earns money by selling its magnetic components, power supplies, and other electronic devices to original equipment manufacturers (OEMs) and distributors worldwide. Key revenue streams include the production of custom and standard products that meet specific industry standards. Additionally, Bel Fuse benefits from long-term partnerships with major clients in sectors like telecommunications and military, which provide a steady stream of orders. The company also capitalizes on product innovation and expansion into emerging markets, enhancing its revenue potential.

Bel Fuse Financial Statement Overview

Summary

Improving profitability and balance-sheet strength support the score: TTM gross margin expanded materially (~39% vs ~26% in 2020) and leverage improved sharply (debt-to-equity ~0.24 TTM). Offsetting this, revenue has been volatile (notable 2024 decline, modest TTM growth) and cash conversion has been uneven (OCF/EBIT ~0.47 TTM).

Income Statement

Profitability has improved meaningfully over time, with gross margin rising from ~25.7% (2020) to ~39.1% in TTM (Trailing-Twelve-Months) and operating profitability strengthening (EBIT margin ~14.4% TTM vs ~3.6% in 2020). Net margin remains solid at ~9.1% TTM, though it is below the 2023 peak (~11.5%), indicating some normalization. Top-line growth is mixed: TTM revenue is up ~4.0%, but 2024 saw a notable revenue decline, suggesting demand volatility despite the margin expansion.

Balance Sheet

Leverage looks manageable overall, with debt-to-equity improving sharply to ~0.24 in TTM (Trailing-Twelve-Months) from ~0.88 in 2024, signaling meaningful de-risking. Equity has grown versus earlier years, supporting balance sheet stability. Returns on equity are steady around ~11–12% in TTM/2024, but down from the stronger 2022–2023 levels (~20–22%), implying profitability on the equity base has cooled even as leverage improved.

Cash Flow

Cash generation is positive and improving, with free cash flow up strongly in TTM (Trailing-Twelve-Months) (growth ~53.8%) and free cash flow covering ~75% of net income, which is reasonably healthy. However, cash conversion is less consistent across the period: operating cash flow relative to EBIT is moderate in TTM (~0.47) and dipped materially in weaker periods (notably 2021), highlighting some variability in working capital/cash realization even though recent results are better.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	675.46M	534.79M	639.81M	654.23M	543.49M
Gross Profit	264.42M	202.36M	215.85M	183.45M	134.38M
EBITDA	136.39M	82.34M	99.46M	77.30M	47.73M
Net Income	61.54M	40.96M	73.83M	52.69M	24.82M
Balance Sheet
Total Assets	935.20M	949.79M	571.63M	560.47M	511.85M
Cash, Cash Equivalents and Short-Term Investments	57.80M	69.20M	126.92M	70.27M	61.76M
Total Debt	237.26M	318.21M	82.10M	118.67M	134.05M
Total Liabilities	416.53M	508.63M	231.07M	298.12M	303.10M
Stockholders Equity	425.51M	360.58M	340.56M	262.35M	208.74M
Cash Flow
Free Cash Flow	67.93M	59.96M	96.22M	31.43M	-4.76M
Operating Cash Flow	79.93M	74.06M	108.35M	40.26M	4.63M
Investing Cash Flow	-3.25M	-297.89M	-53.53M	-7.00M	-18.88M
Financing Cash Flow	-93.47M	206.26M	-38.60M	-21.26M	-8.40M

Bel Fuse Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 159.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BELFA, the sentiment is Positive. The current price of 159.44 is below the 20-day moving average (MA) of 206.68, below the 50-day MA of 181.55, and above the 200-day MA of 126.26, indicating a bullish trend. The MACD of 10.38 indicates Positive momentum. The RSI at 64.70 is Neutral, neither overbought nor oversold. The STOCH value of 53.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BELFA.

Bel Fuse Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BELFA	76 Outperform	$2.93B	46.53	16.40%	0.15%	23.70%	14.78%
VICR	71 Outperform	$8.50B	75.56	18.50%	―	11.55%	1745.46%
CTS	68 Neutral	$1.54B	24.16	10.98%	0.36%	3.70%	1.68%
ROG	68 Neutral	$1.93B	-32.82	-5.34%	―	-4.87%	-235.48%
BHE	66 Neutral	$2.13B	87.04	3.37%	1.44%	-2.93%	-40.33%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
MEI	56 Neutral	$309.47M	-5.14	-8.87%	5.93%	-9.51%	29.57%

Bel Fuse Corporate Events

Bel Fuse Announces New Connectivity Solutions Leadership

On January 12, 2026, Bel Fuse’s board approved the retirement of Pete Bittner, longtime President of Connectivity Solutions, effective April 3, 2026, and the appointment of industry veteran Thomas Smelker as Vice President and President of Bel Connectivity Solutions, effective January 26, 2026, formalized via a detailed employment agreement that includes a $450,000 base salary, substantial variable and equity-based incentives, and change-in-control severance protections. Bittner, who joined Bel in 1990 and helped double the profitability of the Connectivity Solutions business over the past four years, leaves a strong operational legacy, while Smelker, bringing nearly 30 years of experience from Mercury Systems and Raytheon across engineering, manufacturing and program management, is positioned to sustain growth and strategic execution in a key division that underpins Bel’s competitiveness across its core end markets.

The most recent analyst rating on (BELFA) stock is a Hold with a $193.00 price target. To see the full list of analyst forecasts on Bel Fuse stock, see the BELFA Stock Forecast page.

Bel Fuse Announces Impairment Charge on Innolectric Investment

On December 3, 2025, Bel Fuse Inc. announced an anticipated impairment charge of up to $14 million related to its noncontrolling minority investment in Innolectric AG, a Germany-based e-Mobility technology company. Despite Innolectric’s innovative offerings, the company faced challenges such as market exits, reduced government incentives, and a weak global EV sector, leading to operating losses and insolvency proceedings initiated on November 26, 2025. Bel decided against acquiring the remaining stake in Innolectric, anticipating reduced future cash outflows as a result of the potential exit from this investment.

The most recent analyst rating on (BELFA) stock is a Buy with a $137.00 price target. To see the full list of analyst forecasts on Bel Fuse stock, see the BELFA Stock Forecast page.