Madison Small Cap Fund added Belden Inc. to its portfolio in the second quarter of 2026, citing the company's recent acquisition of Ruckus Networks as a transformational move that could drive a material upward re-rating of its valuation. The fund, which returned 12.7% in the quarter, underperforming the Russell 2000's 21.5% gain, disclosed the new position in its Q2 2026 investor letter. Belden, a 120-year-old specialty networking and connectivity company, has been shifting from a commodity wire and cable maker to an integrated IT/OT networking and solutions provider, with expanding gross and operating margins. The fund believes the Ruckus Networks acquisition, which adds Wi-Fi Enterprise switching and an AI-driven cloud platform, will boost profitability and growth with limited integration risk, and it estimates Belden's intrinsic value at $175 per share. Belden shares closed at $101.20 on July 16, 2026, with a market capitalization of $3.94 billion, and the stock had lost 20.93% over the past 52 weeks.
Belden IncFund added Belden citing acquisition as transformational, with intrinsic value estimate of $175 per share, implying significant upside.
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