Bel Fuse (NASDAQ:BELFB) Reaches New 1-Year High - Here's Why

Key Points

• Bel Fuse Inc. shares recently reached a new 52-week high of $137.37, and analysts have shown increased confidence in the stock, with several raising their target prices, including Needham & Company, which set a target of $130.00 with a "buy" rating.
• The company announced a quarterly dividend increase from $0.06 to $0.07 per share, reflecting a commitment to returning value to shareholders, with a payout ratio of 6.86%.
• Insider selling activity was noted, with VP Kenneth Koon Keung Lai decreasing his stake by selling 4,000 shares, highlighting some shifts in insider confidence despite positive market trends.

Bel Fuse Inc. (NASDAQ:BELFB - Get Free Report) hit a new 52-week high on Monday . The company traded as high as $137.37 and last traded at $136.87, with a volume of 128887 shares traded. The stock had previously closed at $132.60.

Analysts Set New Price Targets

A number of research firms recently commented on BELFB. Oppenheimer set a $125.00 price objective on shares of Bel Fuse and gave the company an "outperform" rating in a research report on Wednesday, July 2nd. Robert W. Baird assumed coverage on Bel Fuse in a research note on Tuesday, June 10th. They issued an "outperform" rating and a $88.00 target price for the company. Northland Securities raised their price target on Bel Fuse from $93.00 to $110.00 and gave the stock an "outperform" rating in a research report on Monday, June 30th. Needham & Company LLC lifted their price objective on Bel Fuse from $116.00 to $130.00 and gave the company a "buy" rating in a report on Friday, July 25th. Finally, Baird R W raised Bel Fuse to a "strong-buy" rating in a research note on Tuesday, June 10th. Two equities research analysts have rated the stock with a Strong Buy rating and five have assigned a Buy rating to the company. Based on data from MarketBeat, the stock has an average rating of "Buy" and a consensus target price of $113.60.

Bel Fuse Trading Down 1.3%

The business has a 50-day moving average of $116.10 and a 200-day moving average of $89.54. The company has a debt-to-equity ratio of 0.63, a current ratio of 3.05 and a quick ratio of 1.72. The firm has a market cap of $1.70 billion, a price-to-earnings ratio of 32.98, a P/E/G ratio of 1.76 and a beta of 1.52.

Bel Fuse Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 31st. Stockholders of record on Wednesday, October 15th will be issued a $0.07 dividend. This represents a $0.28 annualized dividend and a dividend yield of 0.2%. The ex-dividend date of this dividend is Wednesday, October 15th. This is a boost from Bel Fuse's previous quarterly dividend of $0.06. Bel Fuse's payout ratio is currently 6.86%.

Insiders Place Their Bets

In other Bel Fuse news, VP Kenneth Koon Keung Lai sold 4,000 shares of the company's stock in a transaction on Friday, June 13th. The shares were sold at an average price of $84.03, for a total transaction of $336,120.00. Following the sale, the vice president directly owned 12,155 shares of the company's stock, valued at approximately $1,021,384.65. This represents a 24.76% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Stephen Dawson sold 1,200 shares of the stock in a transaction on Thursday, July 31st. The shares were sold at an average price of $127.07, for a total transaction of $152,484.00. Following the completion of the sale, the insider owned 14,265 shares of the company's stock, valued at approximately $1,812,653.55. This represents a 7.76% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 7,100 shares of company stock worth $731,804. 5.37% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Bel Fuse

Several hedge funds have recently added to or reduced their stakes in the business. Hohimer Wealth Management LLC bought a new position in Bel Fuse during the second quarter worth $250,000. Tower Research Capital LLC TRC lifted its stake in shares of Bel Fuse by 437.8% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,038 shares of the electronics maker's stock worth $101,000 after buying an additional 845 shares during the last quarter. Wasatch Advisors LP boosted its holdings in shares of Bel Fuse by 33.6% during the 2nd quarter. Wasatch Advisors LP now owns 284,014 shares of the electronics maker's stock worth $27,745,000 after buying an additional 71,390 shares during the period. Lazard Asset Management LLC boosted its holdings in shares of Bel Fuse by 36.9% during the 2nd quarter. Lazard Asset Management LLC now owns 39,089 shares of the electronics maker's stock worth $3,818,000 after buying an additional 10,530 shares during the period. Finally, BNP Paribas Financial Markets grew its stake in Bel Fuse by 60.0% in the 2nd quarter. BNP Paribas Financial Markets now owns 1,000 shares of the electronics maker's stock valued at $98,000 after buying an additional 375 shares during the last quarter. Institutional investors and hedge funds own 58.39% of the company's stock.

About Bel Fuse

Bel Fuse Inc designs, manufactures, markets, and sells products that power, protect, and connect electronic circuits. The company's products are used in the networking, telecommunications, computing, general industrial, high-speed data transmission, military, commercial aerospace, transportation, and e-Mobility industries.