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1. Company Snapshot

1.a. Company Description

Belden Inc.provides portfolio of signal transmission solutions in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific.It operates in two segments, Enterprise Solutions and Industrial Solutions.


The Enterprise Solutions segment offers copper cable and connectivity solutions, fiber cable and connectivity solutions, interconnect panels, racks and enclosures, and signal extension and matrix switching systems for use in applications, such as local area networks, data centers, access control, 5G, fiber, and home and building automation.It also provides power, cooling, and airflow management products for mission-critical data center operations; and end-to-end copper and fiber network systems.This segment serves commercial real estate, hospitality, healthcare, education, financial, government, and broadband and wireless service providers, as well as end-markets, including sport venues, stadiums, data centers, military installations, and academia.


The Industrial Solutions segment offers infrastructure components and on-machine connectivity systems; and industrial Ethernet switches, network management software, routers, firewalls, gateways, input/output (I/O) connectors/systems, industrial Ethernet cables, optical fiber industrial Ethernet cables, Fieldbus cables, IP and networking cables, I/O modules, distribution boxes, and customer specific wiring solutions.This segment provides its products for use in applications comprising network and fieldbus infrastructure; sensor and actuator connectivity; and power, control, and data transmission; and supplies heat-shrinkable tubing and wire management products to protect and organize wire and cable assemblies.It serves distributors, original equipment manufacturers, installers, and end-users.


The company was formerly known as Belden CDT Inc.and changed its name to Belden Inc.in May 2007.


Belden Inc.was founded in 1902 and is based in St. Louis, Missouri.

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1.b. Last Insights on BDC

Belden Inc.'s recent performance was positively driven by strong earnings and a resilient business model. The company's Q2 earnings highlight a stable risk profile, with a solid foundation for risk management and income stability. Its valuation remains attractive versus historical averages, providing a margin of safety and boosting earnings yield for investors. Additionally, the company's focus on first lien loans and defensive portfolio structure contribute to its stability. With a high dividend yield and reasonable valuations, Belden's prospects remain favorable.

1.c. Company Highlights

2. Belden's Q3 2025 Earnings: A Strong Performance

Belden reported a robust third quarter, with revenue reaching $698 million, up 7% year-over-year, and adjusted earnings per share (EPS) growing to $1.97, surpassing the high end of guidance and analysts' estimates of $1.9. The company's Automation Solutions segment demonstrated particular strength, achieving 10% organic revenue growth driven by broad momentum, including double-digit gains in discrete manufacturing. The company's gross margin was impacted by copper prices, with Jeremy Parks stating that the impact was around 50 basis points year-over-year, mainly due to the pass-through of higher copper costs.

Publication Date: Nov -02

📋 Highlights
  • Record Revenue and EPS Growth:: Q3 revenue reached $698M, up 7% YoY, with adjusted EPS of $1.97, surpassing high-end guidance and setting new quarterly records.
  • Automation Segment Strength:: Automation Solutions grew 10% organically YoY, driven by double-digit gains in discrete manufacturing and a $14M utility infrastructure contract.
  • Balance Sheet Resilience:: Cash and equivalents totaled $314M, with financial leverage at 2.1x net debt/EBITDA, supporting disciplined capital allocation.
  • Margin Impact Factors:: Copper prices reduced gross margins by 50 bps YoY, while reshoring trends in manufacturing (e.g., pharma, automotive) position Belden for 3–5-year growth opportunities.
  • Strategic R&D & Solutions:: $14M utility project highlights expertise in secure networks, and Horizon orchestration platform investments support edge compute and IT/OT convergence for Physical AI applications.

Segment Performance

The Automation Solutions segment saw significant growth, with 10% organic revenue growth, driven by the reshoring trend, with multiple customers looking to bring manufacturing back to the US. The Smart Infrastructure Solutions segment saw organic revenue decline by 1%, but the company is optimistic about the buildings portion of that business, especially in growth verticals. The broadband segment experienced some technical interoperability-based slowdown in the short term, but the BEAD announcements have provided clarity, and accounts served in the MSO market are benefiting from the announcements.

Valuation and Outlook

With a P/E Ratio of 21.12 and an EV/EBITDA of 13.95, Belden's valuation suggests that the market is pricing in moderate growth expectations. However, with analysts estimating revenue growth at 5.2% next year, and the company's strong track record of execution, there is potential for upside. The company's focus on R&D, particularly in software capability and hardware upgrades, is expected to drive future growth. The net debt to EBITDA ratio of 2.51x is reasonable, and the company's disciplined capital allocation strategy is expected to create lasting value for shareholders.

Growth Drivers

Belden's growth drivers include the reshoring trend, the need for MSOs to spend money on their networks due to BEAD funding, and the company's differentiated offering in the buildings portion of the Smart Infrastructure Solutions segment. The company's go-to-market strategy, which involves a sales structure change, is expected to drive future growth, with a focus on building a comprehensive consulting organization and maintaining a solutions-oriented sales organization.

3. NewsRoom

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Belden Inc. (BDC) Presents at Goldman Sachs Industrials and Materials Conference 2025 Transcript

Dec -04

Source: seekingalpha.com

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Why I'm Parking 45% Of My BDC Capital In These 2 Names

Dec -02

Source: seekingalpha.com

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The Hidden Risk In BDC Market That Nobody Is Talking About

Dec -01

Source: seekingalpha.com

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Crescent Capital BDC: Attractive BDC, But More Downside Could Be Likely

Nov -28

Source: seekingalpha.com

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Barings BDC: A Rare Moment When Common Stock Beat Bonds

Nov -27

Source: seekingalpha.com

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Don't Fear The Pivot: 2 BDCs Built For 10%+ Yields In New Rate Regime

Nov -26

Source: seekingalpha.com

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Chicago Atlantic BDC, Inc. to Participate in Noble Capital Markets 21st Annual Emerging Growth Equity Conference

Nov -21

Source: globenewswire.com

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Belden Declares Quarterly Dividend

Nov -20

Source: businesswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (3.95%)

6. Segments

Industrial Automation Solutions

Expected Growth: 3.5%

Belden's Industrial Automation Solutions growth is driven by increasing demand for industrial IoT, rising need for operational efficiency, and growing adoption of Industry 4.0 technologies. Additionally, the company's strategic acquisitions and investments in R&D have enhanced its product offerings, further contributing to the 3.5% growth.

Enterprise Solutions

Expected Growth: 4.5%

Belden's Enterprise Solutions segment growth is driven by increasing demand for industrial automation, IoT, and cybersecurity solutions. The company's strong portfolio of brands, including GarrettCom and Hirschmann, positions it well to capitalize on trends in industrial networking and cybersecurity. Additionally, Belden's focus on innovation and R&D investments enables it to stay ahead of the competition and drive growth.

7. Detailed Products

Industrial Connectivity Solutions

Belden's industrial connectivity solutions provide reliable and secure connections for industrial automation, process control, and building automation applications.

Industrial Networking Solutions

Belden's industrial networking solutions provide secure and reliable networking infrastructure for industrial automation, process control, and building automation applications.

Cybersecurity Solutions

Belden's cybersecurity solutions provide advanced threat detection and protection for industrial control systems and operational technology (OT) environments.

Broadcast Solutions

Belden's broadcast solutions provide high-quality video and audio transmission, processing, and monitoring solutions for the broadcast industry.

Enterprise Connectivity Solutions

Belden's enterprise connectivity solutions provide reliable and secure connections for enterprise networks, data centers, and cloud infrastructure.

Industrial Internet of Things (IIoT) Solutions

Belden's IIoT solutions provide secure and reliable connectivity for industrial devices and systems, enabling real-time data analytics and insights.

8. Belden Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Belden Inc. operates in the industrial sector, which has a moderate threat of substitutes. While there are some substitutes available, they are not a significant threat to the company's business.

Bargaining Power Of Customers

Belden Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products are often customized, making it difficult for customers to switch to alternative suppliers.

Bargaining Power Of Suppliers

Belden Inc. relies on a few key suppliers for certain components, which gives them some bargaining power. However, the company's large scale and diversified supply chain mitigate this risk.

Threat Of New Entrants

The industrial sector has high barriers to entry, including significant capital requirements and regulatory hurdles. This makes it difficult for new entrants to compete with established players like Belden Inc.

Intensity Of Rivalry

The industrial sector is highly competitive, with many established players competing for market share. Belden Inc. faces intense rivalry from companies like 3M, TE Connectivity, and Amphenol Corporation.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 51.19%
Debt Cost 3.95%
Equity Weight 48.81%
Equity Cost 9.31%
WACC 6.56%
Leverage 104.88%

11. Quality Control: Belden Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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Value: 2.8

Growth: 4.4

Quality: 6.4

Yield: 5.0

Momentum: 6.0

Volatility: 10.0

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Ubiquiti

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Belden

A-Score: 4.3/10

Value: 3.6

Growth: 6.0

Quality: 5.3

Yield: 0.0

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Volatility: 6.7

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

121.98$

Current Price

121.98$

Potential

-0.00%

Expected Cash-Flows