Core Insights - Microchip Technology (MCHP) reported quarterly earnings of $0.44 per share, exceeding the Zacks Consensus Estimate of $0.43 per share, and showing a significant increase from $0.20 per share a year ago, resulting in an earnings surprise of +3.38% [1] - The company achieved revenues of $1.19 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 0.08% and increasing from $1.03 billion year-over-year [2] - Microchip Tech shares have appreciated approximately 22.8% since the beginning of the year, significantly outperforming the S&P 500's gain of 0.5% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.48, with projected revenues of $1.23 billion, and for the current fiscal year, the EPS estimate is $1.52 on revenues of $4.6 billion [7] - The estimate revisions trend for Microchip Tech was favorable ahead of the earnings release, contributing to a Zacks Rank 1 (Strong Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Semiconductor - Analog and Mixed industry, to which Microchip Tech belongs, is currently ranked in the top 12% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8]

Core Insights - Flex reported quarterly earnings of $0.87 per share, exceeding the Zacks Consensus Estimate of $0.79 per share, and showing an increase from $0.77 per share a year ago, resulting in an earnings surprise of +10.69% [1] - The company achieved revenues of $7.06 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 3.62% and increasing from $6.56 billion year-over-year [2] - Flex has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Performance - The earnings surprise for the previous quarter was +5.33%, with actual earnings of $0.79 per share compared to an expected $0.75 [1] - The current consensus EPS estimate for the upcoming quarter is $0.85, with projected revenues of $6.86 billion, and for the current fiscal year, the EPS estimate is $3.15 on revenues of $27.06 billion [7] Stock Performance - Flex shares have increased by approximately 9.2% since the beginning of the year, outperforming the S&P 500, which gained 1.1% [3] - The stock currently holds a Zacks Rank of 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Outlook - The Electronics - Miscellaneous Products industry, to which Flex belongs, is currently ranked in the top 26% of over 250 Zacks industries, suggesting a favorable outlook [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Flex's stock performance [5]

Teradyne (TER) came out with quarterly earnings of $1.8 per share, beating the Zacks Consensus Estimate of $1.36 per share. This compares to earnings of $0.95 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +32.22%. A quarter ago, it was expected that this maker of wireless products, data storage and equipment to test semiconductors would post earnings of $0.78 per share when it actually produced earnings of $0.85, delivering ...

Core Thesis - Bel Fuse Inc. (BELFA) presents a compelling investment opportunity due to its share class arbitrage potential and the ongoing discussions around collapsing its dual-class structure [2][3][4]. Share Class Dynamics - Bel Fuse Inc. has two share classes: BELFA shares with voting rights and BELFB shares without voting rights, which offer at least a 5% higher dividend [2][3]. - Historically, BELFA and BELFB shares have traded close to parity, with BELFA reaching a premium of 142% over BELFB in 2022 and a low of 72% in 2018 [2]. Current Market Situation - Currently, BELFA shares trade at 91% of BELFB shares, indicating a significant mispricing, especially as the dividend yield on BELFA is at a historic low [3]. - Large institutional investors, including Gabelli Funds, are advocating for a proposal to collapse the dual-class structure, which could unlock substantial value for BELFA shareholders [3]. Investment Opportunity - The potential simplification of the share structure presents a unique opportunity for investors to capture value, as the undervaluation of BELFA shares relative to BELFB may correct sharply upon any corporate action [4]. - The historically tight trading relationship between the two classes, combined with potential activist-driven governance changes, positions Bel Fuse as a low-risk, high-reward arbitrage opportunity [4]. Historical Performance - Previous analyses highlighted operational improvements and a growth outlook for Bel Fuse, with a noted stock price appreciation of approximately 172.50% since earlier coverage [5].

Core Insights - Logitech reported quarterly earnings of $1.93 per share, exceeding the Zacks Consensus Estimate of $1.79 per share, and up from $1.59 per share a year ago [1] - The company achieved a revenue of $1.42 billion for the quarter, surpassing the Zacks Consensus Estimate by 0.86% and increasing from $1.34 billion year-over-year [3] Earnings Performance - The earnings surprise for the quarter was +7.94%, following a previous surprise of +18.85% when actual earnings were $1.45 per share against an expectation of $1.22 per share [2] - Logitech has consistently surpassed consensus EPS estimates over the last four quarters [2] Revenue Insights - The company has also exceeded consensus revenue estimates three times in the last four quarters [3] - Current consensus EPS estimate for the upcoming quarter is $1.08 on revenues of $1.06 billion, and for the current fiscal year, it is $5.61 on revenues of $4.81 billion [8] Market Performance - Logitech shares have declined approximately 6.1% since the beginning of the year, contrasting with the S&P 500's gain of 1.5% [4] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market [7] Industry Context - The Computer - Peripheral Equipment industry, to which Logitech belongs, is currently ranked in the top 41% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [9]

Group 1: Telecom Stocks Overview - Seven telecom stocks to watch include AT&T, Dycom Industries, TELUS, Telephone and Data Systems, Vodafone Group, America Movil, and Bel Fuse, identified by MarketBeat's stock screener tool [2] - Telecom stocks provide exposure to demand for voice, data, and connectivity, often delivering stable cash flows and dividend income, but are influenced by capital expenditures, regulation, competition, and technological shifts like 5G and fiber buildouts [2] Group 2: Company Profiles - **AT&T, Inc.** operates through Communications and Latin America segments, offering wireless, wireline telecom, and broadband services to businesses and consumers in the US and globally [3] - **Dycom Industries, Inc.** provides specialty contracting services to the telecommunications infrastructure and utility industries, including engineering services for fiber optic and wireless networks [3] - **TELUS Corporation** offers a range of telecommunications and IT products and services in Canada, including network services, healthcare services, and cloud-based solutions [4] - **Telephone and Data Systems, Inc.** provides communications services in the US through UScellular and TDS Telecom, offering wireless solutions and IoT applications [5] - **Vodafone Group** provides telecommunication services in Europe and internationally, including mobile and fixed line connectivity, as well as professional consulting services [7] - **America Movil, S.A.B. de C.V.** offers telecommunications services in Latin America, including wireless and fixed voice services, data services, and mobile payment solutions [8] - **Bel Fuse Inc.** designs and manufactures products for electronic circuits used in various industries, including telecommunications and high-speed data transmission [9]

Core Insights - Loomis Sayles Small Cap Value Fund reported a return of 6.21% in Q3 2025, underperforming the Russell 2000 Value Index which returned 12.60% [1] - The strong performance of US equities in Q3 was attributed to easing tariff concerns, a pro-growth budget from Congress, and expectations of further rate cuts by the Federal Reserve [1] Company Highlights - Bel Fuse Inc. (NASDAQ:BELFB) is a key holding in the Loomis Sayles Small Cap Value Fund, recognized for its products that power, protect, and connect electronic circuits [2][3] - The stock of Bel Fuse Inc. experienced a one-month return of 15.38% and a remarkable 110.53% increase over the past 52 weeks, closing at $176.17 per share with a market capitalization of $2.23 billion on December 24, 2025 [2] - The company reported sales of $179 million in Q3 2025, reflecting a 44.8% increase compared to the same quarter the previous year [4] Investment Strategy - The investment in Bel Fuse Inc. is maintained due to its operational improvements, strategic acquisitions, and a rebound in its computer networking segment [3] - Despite the potential of Bel Fuse Inc. as an investment, the company suggests that certain AI stocks may offer greater upside potential with less downside risk [4]

Core Insights - Merion Road Capital Management reported a 5.0% return for its Small Cap Fund in Q3 2025, underperforming the Russell 2000 Index which returned 12.4% [1] - The long-only portfolio achieved a 10.1% return, outperforming the S&P 500's 8.1% return, primarily driven by the strong performance of Kratos [1] Company Highlights - Bel Fuse Inc. (NASDAQ:BELFB) is noted for its design, manufacturing, marketing, and sales of products that power, protect, and connect electronic circuits [2] - The stock of Bel Fuse Inc. had a one-month return of 0.15% and a remarkable 93.40% increase in value over the past 52 weeks, closing at $152.69 per share with a market capitalization of $1.933 billion on November 26, 2025 [2] - Merion Road Capital established a capital structure arbitrage in Bel Fuse, noting a significant widening of the price discount between Class A and Class B shares, approaching historic levels [3] - The investment in Bel Fuse was initially based on improved management and the successful acquisition of Enercon, which led to strong Q2 results [3] - Gabelli, a major holder of Class A shares, is considering resubmitting a shareholder proposal to collapse the share structure [3]

Core Insights - The analyst has refrained from recommending a Buy on Bel Fuse Inc. (BELFB) stock until a clear inflection point indicating the company's recovery is observed [1] Group 1: Company Overview - Bel Fuse Inc. is being closely monitored for signs of recovery before investment recommendations are made [1] Group 2: Analyst Background - The analyst has a background in petroleum and gas engineering and has transitioned into finance, focusing on technology, infrastructure, and internet services [1]

Group 1 - The strongest contributor to Fund performance for the quarter was Bel Fuse, Inc. (BELFB) [4]