Belden Inc. (BDC), a leading global supplier of connection solutions, saw its stock plummet 7.56% on Thursday, February 6th, 2025, following its mixed fourth-quarter 2024 results and cautious outlook for the first quarter of 2025.
For the fourth quarter, Belden reported earnings of $1.92 per share, surpassing analysts' expectations. However, the company's revenue of $666 million fell short of estimates, marking a 2% year-over-year decline for the full year 2024.
Looking ahead, Belden expects first-quarter 2025 revenue to be in the range of $605 million to $620 million, representing a modest increase of 13% to 16% compared to the prior-year quarter. The company cited typical seasonality and a neutral customer posture as they navigate the dynamic environment. Belden's adjusted earnings per share guidance for the first quarter of $1.43 to $1.53 also missed analysts' expectations.
The stock's plunge was likely driven by investors' disappointment with the company's weaker-than-anticipated revenue performance in the fourth quarter and cautious outlook for the first quarter of 2025. Despite beating earnings estimates, Belden's revenue shortfall and softer guidance for the upcoming quarter raised concerns about the company's growth prospects and ability to capitalize on market opportunities.
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