Belden Inc.
BDC
Drawing & Insulating of Nonferrous Wire
Mkt Cap
$2.818BPE
10.59Debt
$1.146BCash
$531MEV
$3.433BFCF
$245.8MP/E Ratio
10.59Debt
$1.146BCash
$531MEV
$3.433BFCF
$245.8MBelden 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 Automation 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 fiber and copper 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 Automation 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.
Sector
DCF
Discounted Cash Flow Valuation of Belden Inc.
Value
Growth
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Discount
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Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $245.8M | $243.2M | $240.6M | $238M | $235.4M | $232.9M | $230.4M | $228M | $225.5M | $223.1M | $220.8M | $2.208B |
| DCF | $211.4M | $181.9M | $156.5M | $134.6M | $115.8M | $99.63M | $85.71M | $73.73M | $63.43M | $54.57M | $545.7M | |
| Value | $1.723B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 14%
Earnings Stability 15%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2014 | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 3.2% | 2.9% | 4.8% | 2.8% | 5.8% | -19% | -3% | 2.7% | 9.8% | 10% |
| ROA | 5% | 4.2% | 5.9% | 6.1% | 8.1% | 6.1% | 4% | 3.6% | 11% | 11% |
| ROE | 9.2% | 8% | 7.7% | 4.1% | 9.1% | -41% | -7.3% | 6.7% | 22% | 22% |
What is the average Net Margin?
The average Net Margin over the past 5 years is -0.08%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +1.17%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +6.57%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +0.33%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is -1.02%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +3.36%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2014 | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 11.92 | 9.68 | 6.30 | 8.29 | 7.76 | 8.74 | 19.13 | 8.16 | 6.66 | 4.66 |
| Debt Equity | 2.19 | 2.13 | 1.12 | 1.10 | 1.07 | 1.51 | 2.10 | 1.54 | 1.03 | 0.96 |
| MIN | ||||||||||
| Graham Stability | - | - | 100% | 69% | 100% | -400% | - | - | - | -400% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 4.66.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is 0.10.
What is the Graham’s Stability?
Graham’s Stability measure stands at -4.00.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2015 | 12-2017 | 12-2019 | 12-2021 | Trend |
|---|---|---|---|---|---|
| Revenue | 1.7% | 4.5% | 6.9% | 8.2% | 0.92% |
| Net Income | 21% | 34% | - | 300% | 41% |
| Stockholders Equity | 4.8% | -4.4% | 5.8% | 20% | -1% |
| FCF | -0.42% | -1.6% | 1.8% | -2.7% | 0.41% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +4.54%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +0.92%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +34.3%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is +41.1%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is -4.43%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -1.02%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is -1.6%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +0.41%.