How Recent Assumption Shifts Are Shaping The Benchmark Electronics (BHE) Investment Story
February 8, 2026
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The latest research on Benchmark Electronics has pushed the fair value estimate from about US$52.00 to roughly US$59.33, using slightly updated revenue growth assumptions of about 5.80% instead of 5.51%. Analysts have also fine tuned their discount rate inputs, moving from around 8.93% to roughly 8.75%, which feeds directly into the higher valuation work you are seeing. As these refreshed models continue to evolve, stay tuned to see how you can keep on top of the changing narrative around this stock.
Stay updated as the Fair Value for Benchmark Electronics shifts by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Benchmark Electronics.
🐂 Bullish Takeaways
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Lake Street and Needham both raised their price targets for Benchmark Electronics in late January and early February 2026, which points to generally constructive views on the stock.
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Across these updates, analysts appear to be rewarding what they see as solid execution and cost discipline, which they link to the company’s ability to support a higher fair value range.
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Lake Street, through analyst Max and prior commentary on January 23, and Needham, through analyst James, each lifted their targets by US$5 to US$7, signaling confidence that the company’s recent progress can justify a stronger valuation anchor.
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Even within a bullish tilt, analysts still highlight reservations around how much upside is already reflected in the shares and the usual near term business risks that could affect delivery against expectations.
🐻 Bearish Takeaways
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The same research implies that more cautious voices are focused on valuation, with repeated price target increases suggesting some concern that a fair amount of upside may already be embedded if execution or growth momentum softens.
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Lake Street and Needham commentary also leaves room for near term risks, with any slowdown in cost control or operational delivery likely to pressure the higher targets that have been set.
Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there’s more to the story. Head to the Simply Wall St Community to discover more perspectives or begin writing your own Narrative!
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Benchmark Electronics issued first quarter 2026 revenue guidance in a range of US$655m to US$695m, providing a clearer view of where management currently expects the top line to land.
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For the same quarter, the company guided to diluted GAAP EPS of US$0.31 to US$0.37, which sets a reference band for near term profitability.
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The combination of a defined revenue range and EPS range for the upcoming quarter offers a concrete framework for comparing your own expectations with current analyst models and the company’s outlook.
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Fair Value: the updated estimate has moved from about US$52.00 to roughly US$59.33, which points to a higher implied valuation level in the latest models.
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Discount Rate: the revised input has shifted from around 8.93% to roughly 8.75%, indicating a slightly lower required return in the updated work.
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Revenue Growth: the forecast assumption has adjusted from roughly 5.51% to about 5.80%, a small change in the growth rate analysts are using in their projections.
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Net Profit Margin: the margin assumption has moved from around 3.33% to roughly 3.83%, pointing to a slightly higher profitability input in current models.
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Future P/E: the valuation multiple has been updated from about 22.35x to around 21.54x, a small reduction in the forward P/E applied in these estimates.
Narratives on Simply Wall St let you attach a clear story to the numbers, tying your view on a company’s future revenue, earnings and margins to a fair value estimate. Each Narrative connects what the business is doing to a financial forecast and a fair value, then compares that to the current price so you can decide if the stock looks attractive or stretched. Narratives live in the Community page, are easy to follow and update automatically when fresh news or earnings arrive.
If you want the full story behind Benchmark Electronics’ recent fair value work, read the original Narrative and keep track of how it evolves over time:
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How wins in AI, medical and industrial markets, plus supply chain resilience and vertical integration, feed into revenue quality and margin assumptions in the Benchmark Electronics Narrative.
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What the current forecasts around revenue growth, profit margin, earnings and P/E imply for a fair value near US$59.33, and how that compares to today’s share price.
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Which risks around sector headwinds, semi cap timing, customer demand and cost pressure could challenge the Narrative and change the fair value if new data comes through.
To keep your view current as assumptions or market pricing move, use the Narrative as your reference point and Stay updated on the most important news stories for Benchmark Electronics by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Benchmark Electronics.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include BHE.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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