Taking flight as A&D and data centers drive growth; Initiate at Buy, PO $330

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Taking flight as A&D and data centers drive growth; Initiate at Buy, PO $330

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Bel Fuse Inc.

Taking flight as A&D and data centers

drive growth; Initiate at Buy, PO $330

Initiating Coverage: BUY | PO: 330.00 USD | Price: 272.58 USD

Transformation supports higher earnings power 14 July 2026

We initiate coverage of Bel Fuse (BELFB) with a Buy rating and PO of $330, based on Equity

28x C27E EV/FCF. Bel Fuse has evolved into a higher-quality electronic components

supplier with stronger profitability driven by portfolio optimization, improved pricing, Wamsi Mohan Research Analyst

cost discipline, and a shift toward higher-margin end-markets such as A&D, space, and BofAS

data infrastructure. Bel's growing exposure to more resilient and structurally attractive +1 646 855 3854 wamsi.mohan@bofa.com

markets, particularly A&D, supports a valuation premium to its historical range. In

Ruplu Bhattacharya

addition, the May 2026 Class B share offering increased financial flexibility by providing Research Analyst

capital for debt reduction, the purchase of the remaining minority interest in Enercon, BofAS +1 646 855 0315

and potential future acquisitions. Higher-quality A&D exposure and data infrastructure ruplu.bhattacharya@bofa.com

optionality position Bel for a more durable earnings trajectory vs past cycles. Aisling Grueninger

Research Analyst

Enercon makes A&D the center of the story BofAS+1 646 855 4273

Aerospace, Defense & Rugged Solutions (ADRS) represents 55% of F25 sales and carries aisling.grueninger@bofa.com

a higher margin profile. Enercon expands Bel’s defense power exposure and bundled Ryan Seungin Choi Research Analyst

power/connectivity opportunity, with commentary already pointing to the first bundled BofAS

Cinch/Enercon agreement on a new U.S.