Benson Investment Adds $5.5 Million Keysight Stake Amid AI Hardware Momentum

Benson Investment Management initiated a new position in Keysight Technologies (KEYS) during Q3, acquiring 31,240 shares valued at approximately $5.5 million, representing about 2% of its reportable AUM. This strategic investment diversifies Benson's tech-heavy portfolio by adding exposure to industrial technology and the hardware infrastructure enabling AI expansion. Keysight recently reported robust Q3 FY2025 results, with revenue up 11% year-over-year and raised full-year guidance, despite its stock underperforming the S&P 500 year-to-date, suggesting potential for future upside.

Analysis

Benson Investment Management initiated a new position in Keysight Technologies (KEYS) during Q3 2025, acquiring 31,240 shares valued at approximately $5.5 million. This investment represents about 2% of Benson's 13F reportable AUM, signaling a strategic diversification into industrial technology. The fund's existing portfolio is notably concentrated in mega-cap tech names such as Alphabet, Microsoft, and Nvidia.

Keysight reported robust Q3 FY2025 results, with revenue climbing 11% year-over-year to $1.35 billion and non-GAAP EPS reaching $1.72, both surpassing guidance. Management subsequently raised full-year guidance, driven by a 7% increase in orders, particularly from double-digit growth in commercial communications and sustained defense demand. This performance highlights the company's resilience amidst broader industrial slowdowns.

Despite strong fundamentals, KEYS shares have only risen 0.3% year-to-date as of October 9, 2025, underperforming the S&P 500 by 12 percentage points. The current share price of $159.49 remains well below its 2021 highs, suggesting potential for upside if the testing and measurement cycle strengthens into fiscal 2026. Benson's investment provides exposure to the critical hardware and R&D infrastructure enabling AI expansion.

Key Decisions for Investors

• Consider Keysight Technologies for exposure to high-quality industrial tech and the underlying hardware infrastructure supporting AI, given its strong Q3 FY2025 performance and raised guidance.
• Monitor Keysight's order growth, particularly in commercial communications and defense sectors, as these segments are key drivers of its operational resilience and future revenue trajectory.
• Evaluate the potential for share price appreciation, noting the stock's year-to-date underperformance relative to the S&P 500 and its current valuation below 2021 highs, which may present an attractive entry point if the testing and measurement cycle improves.