BHE: Buybacks And Stable Outlook Will Support A Balanced Future

Analysts have modestly refined their valuation framework for Benchmark Electronics, keeping the fair value estimate steady at approximately 47.33 dollars while making only negligible downward adjustments to the discount rate, revenue growth, profit margin, and future P E assumptions.

What's in the News

• Benchmark Electronics updated its earnings outlook for the fourth quarter of 2025, guiding revenue to a range of 670 million dollars to 720 million dollars and diluted GAAP earnings per share between 0.44 dollars and 0.50 dollars (Company guidance filing).
• The company reported that between July 1, 2025 and September 30, 2025, it repurchased 255,435 shares for 9.99 million dollars, representing about 0.71 percent of shares outstanding (Company buyback update).
• Benchmark has now completed repurchases totaling 14,387,384 shares, or roughly 34.94 percent of its shares, for an aggregate 375.98 million dollars under the buyback program first announced on March 8, 2018 (Company buyback update).

Valuation Changes

• The fair value estimate is unchanged at approximately 47.33 dollars per share, indicating no material revision to the intrinsic value assessment.
• The discount rate has fallen slightly from about 8.97 percent to about 8.96 percent, reflecting a marginally lower required return on equity.
• Revenue growth is effectively unchanged at about 5.05 percent, signaling a stable outlook for top line expansion.
• The net profit margin is effectively unchanged at about 3.48 percent, suggesting no meaningful shift in long term profitability assumptions.
• The future P/E multiple has been revised from about 19.74 times to about 19.74 times, indicating a marginally more conservative valuation multiple applied to future earnings.