Sanmina (NASDAQ:SANM) Shares Down 5.9% – What’s Next?

Sanmina Co. (NASDAQ:SANM)’s share price fell 5.9% during trading on Monday . The company traded as low as $78.43 and last traded at $79.59. 127,747 shares were traded during mid-day trading, a decline of 67% from the average session volume of 390,357 shares. The stock had previously closed at $84.56.

Wall Street Analysts Forecast Growth

Several brokerages have commented on SANM. StockNews.com cut shares of Sanmina from a “strong-buy” rating to a “buy” rating in a research report on Thursday, February 6th. Bank of America raised Sanmina from an “underperform” rating to a “neutral” rating and boosted their price target for the company from $58.00 to $92.00 in a research note on Wednesday, January 29th.

Sanmina Trading Down 5.5%

The stock has a market capitalization of $4.27 billion, a PE ratio of 19.53, a P/E/G ratio of 1.29 and a beta of 1.10. The company has a quick ratio of 1.30, a current ratio of 2.06 and a debt-to-equity ratio of 0.12. The firm has a 50 day moving average price of $77.35 and a 200 day moving average price of $79.48.

Sanmina (NASDAQ:SANM) last issued its earnings results on Monday, April 28th. The electronics maker reported $1.41 earnings per share for the quarter, beating the consensus estimate of $1.38 by $0.03. Sanmina had a return on equity of 10.61% and a net margin of 2.99%. The company had revenue of $1.98 billion during the quarter, compared to analysts’ expectations of $1.97 billion. During the same period in the prior year, the business posted $1.30 EPS. Sanmina’s quarterly revenue was up 8.1% compared to the same quarter last year. Equities analysts expect that Sanmina Co. will post 5.15 EPS for the current fiscal year.

Sanmina declared that its Board of Directors has initiated a stock repurchase program on Monday, January 27th that permits the company to repurchase $300.00 million in outstanding shares. This repurchase authorization permits the electronics maker to buy up to 7.1% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Activity

In related news, Director Mario M. Rosati sold 11,391 shares of the firm’s stock in a transaction dated Friday, February 21st. The shares were sold at an average price of $86.02, for a total value of $979,853.82. Following the transaction, the director now directly owns 80,295 shares of the company’s stock, valued at approximately $6,906,975.90. This trade represents a 12.42% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Company insiders own 3.22% of the company’s stock.

Institutional Investors Weigh In On Sanmina

Institutional investors have recently modified their holdings of the company. Barclays PLC grew its position in Sanmina by 296.3% during the third quarter. Barclays PLC now owns 92,863 shares of the electronics maker’s stock worth $6,358,000 after buying an additional 69,431 shares during the period. Park Avenue Securities LLC boosted its holdings in shares of Sanmina by 3.3% in the 4th quarter. Park Avenue Securities LLC now owns 4,008 shares of the electronics maker’s stock valued at $303,000 after buying an additional 129 shares during the period. Atomi Financial Group Inc. lifted its position in Sanmina by 5.0% in the 4th quarter. Atomi Financial Group Inc. now owns 5,028 shares of the electronics maker’s stock valued at $380,000 after purchasing an additional 240 shares during the last quarter. Nisa Investment Advisors LLC raised its position in shares of Sanmina by 6.0% during the 4th quarter. Nisa Investment Advisors LLC now owns 2,200 shares of the electronics maker’s stock worth $166,000 after buying an additional 125 shares in the last quarter. Finally, SG Americas Securities LLC increased its position in shares of Sanmina by 36.8% in the fourth quarter. SG Americas Securities LLC now owns 5,800 shares of the electronics maker’s stock worth $439,000 after acquiring an additional 1,559 shares in the last quarter. 92.71% of the stock is owned by hedge funds and other institutional investors.

Sanmina Company Profile

Sanmina Corporation provides integrated manufacturing solutions, components, products and repair, logistics, and after-market services worldwide. It operates in two businesses, Integrated Manufacturing Solutions; and Components, Products and Services. The company offers product design and engineering, including concept development, detailed design, prototyping, validation, preproduction, manufacturing design release, and product industrialization; assembly and test services; direct order fulfillment and logistics services; after-market product service and support; and supply chain management services, as well as engages in the manufacturing of components, subassemblies, and complete systems.