Benchmark Electronics Q4 revenue and adj EPS beat estimates

Overview

• Electronics solutions provider's Q4 revenue rose, beating analyst expectations

• Adjusted EPS for Q4 beat analyst expectations

• CEO Jeff Benck to transition out, David Moezidis to take over

Outlook

• Benchmark Electronics forecasts Q1 2026 revenue between $655 mln and $695 mln

• Company expects Q1 2026 diluted GAAP EPS between $0.31 and $0.37

• Benchmark sees Q1 2026 non-GAAP EPS between $0.53 and $0.59

Result Drivers

• SECTOR GROWTH - Revenue growth in Q4 was driven by the Semi-Cap and A&D sectors

• GROSS MARGIN IMPROVEMENT - Gross margin improved to 10.5% in Q4, attributed to operational efficiencies

• OPERATING MARGIN DECLINE - Operating margin fell to 2.9% due to higher restructuring charges and other costs

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electronic equipment & parts peer group is "buy"

• Wall Street's median 12-month price target for Benchmark Electronics Inc is $55.00, about 2.1% above its February 2 closing price of $53.88

• The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nBw3qlrmJa

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