NYSE:BHE

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Benchmark Electronics

Executive Summary

Benchmark Electronics, Inc., together with its subsidiaries, provides product design, engineering services, technology solutions, and advanced manufacturing services in the Americas, Asia, and Europe. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Benchmark Electronics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BHE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: BHE's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

4.9%

BHE

-2.7%

US Electronic

-0.4%

US Market


1 Year Return

10.1%

BHE

52.1%

US Electronic

36.2%

US Market

Return vs Industry: BHE underperformed the US Electronic industry which returned 52.1% over the past year.

Return vs Market: BHE underperformed the US Market which returned 36.2% over the past year.


Shareholder returns

BHEIndustryMarket
7 Day4.9%-2.7%-0.4%
30 Day8.3%-1.3%-2.9%
90 Day14.9%8.4%5.0%
1 Year13.5%10.1%55.8%52.1%39.1%36.2%
3 Year1.0%-6.3%45.2%39.0%48.4%39.0%
5 Year44.3%33.9%148.7%132.5%116.5%92.4%

Long-Term Price Volatility Vs. Market

How volatile is Benchmark Electronics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Benchmark Electronics undervalued compared to its fair value and its price relative to the market?

12.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BHE ($29.79) is trading below our estimate of fair value ($34.15)

Significantly Below Fair Value: BHE is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BHE is poor value based on its PE Ratio (77.4x) compared to the US Electronic industry average (30.1x).

PE vs Market: BHE is poor value based on its PE Ratio (77.4x) compared to the US market (21.5x).


Price to Earnings Growth Ratio

PEG Ratio: BHE is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: BHE is good value based on its PB Ratio (1.1x) compared to the US Electronic industry average (2.6x).


Next Steps

Future Growth

How is Benchmark Electronics forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

47.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BHE's forecast earnings growth (47.5% per year) is above the savings rate (2%).

Earnings vs Market: BHE's earnings (47.5% per year) are forecast to grow faster than the US market (19.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BHE's revenue (5.4% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: BHE's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BHE's Return on Equity is forecast to be low in 3 years time (6.4%).


Next Steps

Past Performance

How has Benchmark Electronics performed over the past 5 years?

-29.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BHE has a large one-off loss of $18.6M impacting its December 31 2020 financial results.

Growing Profit Margin: BHE's current net profit margins (0.7%) are lower than last year (1%).


Past Earnings Growth Analysis

Earnings Trend: BHE's earnings have declined by 29.6% per year over the past 5 years.

Accelerating Growth: BHE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BHE had negative earnings growth (-39.7%) over the past year, making it difficult to compare to the Electronic industry average (-9.3%).


Return on Equity

High ROE: BHE's Return on Equity (1.4%) is considered low.


Next Steps

Financial Health

How is Benchmark Electronics's financial position?


Financial Position Analysis

Short Term Liabilities: BHE's short term assets ($1.2B) exceed its short term liabilities ($481.1M).

Long Term Liabilities: BHE's short term assets ($1.2B) exceed its long term liabilities ($273.5M).


Debt to Equity History and Analysis

Debt Level: BHE's debt to equity ratio (14.6%) is considered satisfactory.

Reducing Debt: BHE's debt to equity ratio has reduced from 17.1% to 14.6% over the past 5 years.

Debt Coverage: BHE's debt is well covered by operating cash flow (83.2%).

Interest Coverage: BHE's interest payments on its debt are well covered by EBIT (6.1x coverage).


Balance Sheet


Next Steps

Dividend

What is Benchmark Electronics's current dividend yield, its reliability and sustainability?

2.15%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BHE's dividend (2.15%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: BHE's dividend (2.15%) is low compared to the top 25% of dividend payers in the US market (3.64%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, BHE has been paying a dividend for less than 10 years.

Growing Dividend: BHE's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (166.3%), BHE's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Jeff Benck (55 yo)

2yrs

Tenure

US$6,178,171

Compensation

Mr. Jeffrey W. Benck, also known as Jeff, has been the President, CEO and Director of Benchmark Electronics, Inc since March 18, 2019. He had been the Chief Executive Officer and President of Lantronix, In...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD6.18M) is above average for companies of similar size in the US market ($USD2.21M).

Compensation vs Earnings: Insufficient data to compare Jeff's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jeffrey Benck
President2yrsUS$6.18m0.083%
$ 901.3k
Roop Lakkaraju
Executive VP & CFO3.17yrsUS$1.79m0.064%
$ 690.6k
Michael Buseman
Executive VP & COO3.67yrsUS$1.13m0.043%
$ 465.4k
Jan Janick
Senior VP & CTO5.67yrsUS$1.33m0.063%
$ 679.3k
Stephen Beaver
Senior VP2.58yrsUS$913.10k0.025%
$ 269.5k
Scott Hicar
Senior VP & Chief Information Officer3.5yrsno data0.017%
$ 179.4k
Rhonda Turner
Senior VP & Chief Human Resources Officer1.67yrsno data0.013%
$ 140.8k
Lisa Weeks
Senior VP & Chief Strategy Officer0.17yrUS$958.74k0.024%
$ 257.3k
John Russell
Senior VP & Chief Procurement Officer0.17yrno datano data
Robert Crawford
Senior VP & Chief Revenue Officer1.67yrsno data0.012%
$ 128.1k
Jon King
3.58yrsUS$1.47mno data

2.6yrs

Average Tenure

54yo

Average Age

Experienced Management: BHE's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeffrey Benck
President2yrsUS$6.18m0.083%
$ 901.3k
Merilee Raines
Independent Director2.83yrsUS$229.52k0.015%
$ 161.9k
David Scheible
Independent Chairman of the Board5yrsUS$308.02k0.12%
$ 1.3m
Douglas Duncan
Independent Director14.83yrsUS$240.52k0.047%
$ 505.5k
Kenneth Lamneck
Independent Director7.75yrsUS$248.02k0.084%
$ 907.5k
Anne De Greef-Safft
Independent Director1.25yrsUS$67.42kno data
Robert Gifford
Independent Director4.83yrsUS$243.02k0.036%
$ 392.4k
Jeffrey McCreary
Independent Director4.83yrsUS$228.02k0.16%
$ 1.8m
Bruce Carlson
Independent Director3.67yrsUS$228.02k0.025%
$ 273.8k

4.8yrs

Average Tenure

64yo

Average Age

Experienced Board: BHE's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: BHE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Benchmark Electronics, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Benchmark Electronics, Inc.
  • Ticker: BHE
  • Exchange: NYSE
  • Founded: 1979
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Market Cap: US$1.082b
  • Shares outstanding: 36.33m
  • Website: https://www.bench.com

Number of Employees


Location

  • Benchmark Electronics, Inc.
  • 56 South Rockford Drive
  • Tempe
  • Arizona
  • 85281
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHENYSE (New York Stock Exchange)YesCommon SharesUSUSDJun 1990
BMUDB (Deutsche Boerse AG)YesCommon SharesDEEURJun 1990

Biography

Benchmark Electronics, Inc., together with its subsidiaries, provides product design, engineering services, technology solutions, and advanced manufacturing services in the Americas, Asia, and Europe. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/07 23:38
End of Day Share Price2021/03/05 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.