Benchmark Electronics (NYSE:BHE) Releases Earnings Results, Beats Estimates By $0.06 EPS

Benchmark Electronics (NYSE:BHE) posted its quarterly earnings data on Wednesday. The technology company reported $0.75 earnings per share for the quarter, beating the consensus estimate of $0.69 by $0.06, FiscalAI reports. Benchmark Electronics had a return on equity of 6.63% and a net margin of 1.27%.The company had revenue of $755.98 million during the quarter, compared to analysts’ expectations of $720.00 million. During the same period in the prior year, the business earned $0.03 earnings per share. Benchmark Electronics’s revenue for the quarter was up 17.7% compared to the same quarter last year. Benchmark Electronics updated its Q3 2026 guidance to 0.760-0.820 EPS.

Here are the key takeaways from Benchmark Electronics’ conference call:

• Q2 results exceeded guidance, with revenue up 18% year over year to $756 million and non-GAAP EPS up 36% to $0.75. Gross and operating margins also improved, supported by higher volume and favorable mix.
• Benchmark raised its 2026 revenue outlook to approximately $3 billion, or 13% growth and a company record, while maintaining its target for operating income and EPS growth at 1.5 to 2 times revenue growth.
• Demand broadened across the business, led by AC&C revenue growth of 71% from AI-related program ramps, Semi-Cap growth of 17%, Medical growth of 22%, and Industrial growth of 13%. Management expects Semi-Cap momentum to accelerate in the second half and sees additional HPC opportunities emerging in late Q4 and 2027.
• Aerospace and Defense revenue fell 12% year over year during a previously expected program-transition period, though it generated the quarter’s largest bookings contribution. Management expects A&D revenue to be roughly flat in 2026 and return to growth in 2027 as new programs ramp.
• Component supply remains tight, with lead times for some complex parts extending from three to five months to as much as 12 months, including pressure in memory. Benchmark is mitigating the risk through advance purchasing and supply-chain management while investing in new Penang and Thailand capacity.

Benchmark Electronics Stock Performance

BHE stock traded up $4.63 during midday trading on Thursday, hitting $78.74. The stock had a trading volume of 710,383 shares, compared to its average volume of 411,788. The firm has a market capitalization of $2.83 billion, a price-to-earnings ratio of 82.89 and a beta of 1.24. Benchmark Electronics has a 52 week low of $34.44 and a 52 week high of $100.41. The stock has a 50-day simple moving average of $86.25 and a 200 day simple moving average of $69.79. The company has a current ratio of 2.18, a quick ratio of 1.42 and a debt-to-equity ratio of 0.18.

Benchmark Electronics Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, July 10th. Investors of record on Tuesday, June 30th were given a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend was Tuesday, June 30th. Benchmark Electronics’s dividend payout ratio (DPR) is 71.58%.

Benchmark Electronics News Roundup

Here are the key news stories impacting Benchmark Electronics this week:

• Positive Sentiment: Q2 earnings and revenue exceeded expectations: Benchmark reported $756 million in revenue, up 18% year over year, and non-GAAP diluted EPS of $0.75, compared with analysts’ estimates of $720 million in revenue and $0.69 EPS. EPS also increased substantially from $0.03 in the year-ago quarter. Benchmark Reports Strong Second Quarter Results
• Positive Sentiment: Optimistic third-quarter outlook: Management forecast adjusted EPS of $0.76 to $0.82 and revenue of $755 million to $795 million, both above analyst consensus of $0.72 EPS and $744.3 million in revenue. The guidance suggests continued operating momentum. Benchmark Electronics Earnings Report
• Positive Sentiment: Analyst raises price target: Needham increased its price target on BHE from $80 to $90 and maintained a “Buy” rating, signaling greater confidence in the company’s earnings outlook and potential upside. Benzinga Analyst Coverage
• Positive Sentiment: Cash generation remained positive: Benchmark produced $35 million in operating cash flow and $22 million in free cash flow during the quarter, supporting financial flexibility.
• Neutral Sentiment: Investor focus remains on execution: Despite the strong quarter, Benchmark’s reported GAAP EPS was $0.55 versus $0.75 on a non-GAAP basis, while its net margin remained relatively modest at 1.27%. Sustaining growth and converting revenue gains into durable profitability will be important.

Analyst Ratings Changes

A number of analysts have weighed in on the stock. Lake Street Capital reissued a “buy” rating and issued a $92.00 price target on shares of Benchmark Electronics in a report on Thursday, April 30th. Weiss Ratings restated a “hold (c)” rating on shares of Benchmark Electronics in a report on Friday, July 17th. Finally, Needham & Company LLC upped their price objective on shares of Benchmark Electronics from $80.00 to $90.00 and gave the company a “buy” rating in a research report on Thursday. Two investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, Benchmark Electronics presently has an average rating of “Moderate Buy” and a consensus price target of $91.00.

Insider Transactions at Benchmark Electronics

In other news, Director Kenneth T. Lamneck sold 24,263 shares of Benchmark Electronics stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $81.49, for a total transaction of $1,977,191.87. Following the sale, the director directly owned 47,418 shares in the company, valued at approximately $3,864,092.82. The trade was a 33.85% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO David Moezidis sold 12,500 shares of the company’s stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $87.57, for a total transaction of $1,094,625.00. Following the completion of the sale, the chief executive officer directly owned 85,564 shares in the company, valued at approximately $7,492,839.48. The trade was a 12.75% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 86,352 shares of company stock worth $7,312,806. 1.10% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Benchmark Electronics

A number of institutional investors have recently added to or reduced their stakes in the stock. Kestra Advisory Services LLC acquired a new position in shares of Benchmark Electronics in the 4th quarter worth approximately $42,000. Parkside Financial Bank & Trust boosted its stake in Benchmark Electronics by 28.6% in the 4th quarter. Parkside Financial Bank & Trust now owns 1,446 shares of the technology company’s stock valued at $62,000 after buying an additional 322 shares in the last quarter. Kemnay Advisory Services Inc. acquired a new stake in Benchmark Electronics in the 4th quarter valued at $79,000. Tower Research Capital LLC TRC grew its position in Benchmark Electronics by 215.1% in the second quarter. Tower Research Capital LLC TRC now owns 3,000 shares of the technology company’s stock valued at $116,000 after acquiring an additional 2,048 shares during the period. Finally, State of Wyoming bought a new stake in Benchmark Electronics in the second quarter valued at $137,000. 92.29% of the stock is owned by institutional investors and hedge funds.

About Benchmark Electronics

Benchmark Electronics, Inc is a global provider of comprehensive electronics manufacturing services (EMS) and integrated engineering solutions. The company offers a full suite of services that span the entire product lifecycle, from early‐stage design and prototyping to high‐volume production and aftermarket support. Benchmark serves diverse end markets, including industrial automation, medical devices, communications, aerospace and defense, and semiconductor equipment.

At the core of Benchmark’s offering are printed circuit board assemblies (PCBA), system integration, box build assemblies and turnkey manufacturing.