Bel Fuse (BELFA) AI Stock Analysis

• Market Cap: $2.64B
• Dividend Yield: 0.15%
• Average Volume (3M): 24.50K
• Price to Earnings (P/E): 37.8
• Beta (1Y): 1.33
• Revenue Growth: 23.70%
• EPS Growth: 14.78%
• Country: US
• Employees: 5,370
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 2.09
• Shares Outstanding: 2,115,263
• 10 Day Avg. Volume: 41,410
• 30 Day Avg. Volume: 24,500
• PEG Ratio: -0.58
• Price to Book (P/B): 2.87
• Price to Sales (P/S): 1.93
• P/FCF Ratio: 17.26
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 4.33
• Enterprise Value/Gross Profit: 11.20
• Enterprise Value/Ebitda: 21.15
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $196.00 ▲(22.93% Upside)

The score is driven primarily by strong financial profitability and a very positive earnings call highlighting rapid YoY growth, margin expansion, and supportive guidance. Technicals also support the rating with a strong uptrend, though overbought signals add near-term risk. Valuation is the main offset due to the high P/E, and corporate events are mixed due to the impairment charge despite a positive leadership update.

Positive Factors

Diversified, High Revenue Growth

Sustained double-digit organic growth across all three product segments demonstrates durable demand diversification. Revenue expansion driven by aerospace, defense, networking and the Enercon acquisition reduces single-market exposure and supports repeatable order flow over the medium term.

Margin Expansion and Operational Efficiency

Improved gross margins reflect better absorption of fixed costs and operational execution, including facility consolidations and manufacturing shifts. Higher structural margins increase cash generation potential and resilience to cost inflation over the coming quarters.

Moderate Leverage and Solid ROE

A balanced leverage profile coupled with mid-teens ROE indicates effective capital deployment and financial flexibility. This provides capacity for targeted investments, acquisitions, and restructuring without excessive strain on the balance sheet over the medium term.

Negative Factors

Declining Free Cash Flow Growth

Falling free cash flow growth undermines the company's ability to self-fund capex, acquisitions, and dividends. If the trend persists, reliance on external financing could rise, constraining strategic initiatives and reducing financial resilience over the next several quarters.

Rising Total Debt Trend

An increasing debt stock, even with a moderate current ratio, raises interest and refinancing risk, especially if cash conversion weakens. Higher leverage can limit strategic flexibility and magnify earnings volatility if end-market demand softens in the medium term.

Impairment and eMobility Exposure

A material impairment tied to an e-mobility minority stake reveals execution and market-risk in that end market. This signals potential losses from non-core investments and highlights exposure to weak EV incentives and sector cyclicality, weighing on capital allocation quality.

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

Strong profitability and improving revenue trajectory (TTM revenue up 9.32%, solid gross/EBITDA margins), supported by a balanced leverage profile (debt-to-equity 0.68). The score is held back by weakening cash generation (TTM free cash flow growth down 7.14%) and rising debt levels over time.

Income Statement

Bel Fuse has demonstrated strong revenue growth with a 9.32% increase in TTM, indicating a positive trajectory. The gross profit margin of 37.84% and net profit margin of 8.59% reflect solid profitability. The EBIT margin of 14.72% and EBITDA margin of 18.53% further highlight efficient operations. However, the company experienced a revenue decline in the previous year, which could pose a risk if not managed.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.68, suggesting a balanced approach to leveraging. The return on equity of 13.52% indicates effective use of equity to generate profits. The equity ratio stands at 100%, showing a strong equity base. However, the increase in total debt over the years could be a potential risk if not controlled.

Cash Flow

Bel Fuse's cash flow performance shows a decline in free cash flow growth by 7.14% in TTM, which is a concern. The operating cash flow to net income ratio of 0.52 and free cash flow to net income ratio of 0.74 suggest moderate cash flow efficiency. The company needs to focus on improving cash flow generation to support future growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	649.38M	534.79M	639.81M	654.23M	543.49M	465.77M
Gross Profit	251.25M	202.36M	215.85M	183.45M	134.38M	119.73M
EBITDA	133.10M	82.34M	99.46M	77.30M	47.73M	33.30M
Net Income	65.19M	40.96M	73.83M	52.69M	24.82M	12.79M
Balance Sheet
Total Assets	952.80M	949.79M	571.63M	560.47M	511.85M	453.87M
Cash, Cash Equivalents and Short-Term Investments	57.74M	69.20M	126.92M	70.27M	61.76M	84.94M
Total Debt	249.46M	318.21M	82.10M	118.67M	134.05M	130.24M
Total Liabilities	443.77M	508.63M	231.07M	298.12M	303.10M	268.07M
Stockholders Equity	427.76M	360.58M	340.56M	262.35M	208.74M	185.80M
Cash Flow
Free Cash Flow	44.61M	59.96M	96.22M	31.43M	-4.76M	40.63M
Operating Cash Flow	59.39M	74.06M	108.35M	40.26M	4.63M	46.11M
Investing Cash Flow	-298.16M	-297.89M	-53.53M	-7.00M	-18.88M	-1.51M
Financing Cash Flow	159.45M	206.26M	-38.60M	-21.26M	-8.40M	-32.14M

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 183.66, below the 50-day MA of 162.05, and above the 200-day MA of 116.48, indicating a bullish trend. The MACD of 9.58 indicates Positive momentum. The RSI at 60.62 is Neutral, neither overbought nor oversold. The STOCH value of 65.43 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	74 Outperform	$2.64B	37.80	16.40%	0.15%	23.70%	14.78%
CTS	73 Outperform	$1.56B	27.36	10.98%	0.36%	3.70%	1.68%
VICR	71 Outperform	$6.79B	81.18	13.89%	―	11.55%	1745.46%
BHE	64 Neutral	$2.00B	82.32	3.37%	1.44%	-2.93%	-40.33%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ROG	58 Neutral	$1.84B	-28.15	-5.34%	―	-4.87%	-235.48%
MEI	50 Neutral	$305.93M	-4.99	-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.