Thursday, May 23, 9:35 AM
Deutsche's upbeat outlook for HDD names comes in a note which also contains cautious words from analyst Sherri Scribner on contract manufacturers. Fabrinet (FN -9.6%) may suffer from "continued struggles in the optical market," she says, and Sanmina's (SANM -5.9%) "lack of revenue growth" is disconcerting. Both names are downgraded as is Flextronics (FLEX -2.9%), whose price target is maintained at $8, but is cut from Buy to Hold.
Thursday, May 23, 9:03 AM
Sanmina (SANM) -3.6% premarket after Deutsche Bank downgrades shares to Sell from Hold after rising 23% YTD "without a change in fundamentals or an improvement in profitability or revenue growth." The firm also is more conservative on a back-half recovery in the telecom and networking markets, which comprise ~50% of SANM's sales.
Comment![Tech, On the Move]
Tuesday, March 12, 12:05 PM
Sanmina (SANM +3.3%) rallies after announcing a $100M stock buyback, good for repurchasing 10% of outstanding shares at current levels. The contract manufacturer had $491M in cash on its balance sheet as of Dec. 28, but also $898M in debt.
Comment![Tech, On the Move]
Tuesday, February 5, 10:49 AM
Fabrinet (FN +6.7%) is rallying following its FQ2 beat, and is lifting both fellow contract manufacturers and the company's optical component industry clients along the way. SANM +3.2%. JBL +2.1%. FLEX +2.1%. BHE +4.5%. JDSU +2.3%. FNSR +4%. OCLR +1.9%. The gains come even though Fabrinet is guiding for FQ3 revenue of $147M-$151M and EPS of $0.29-$0.31, below a consensus of $161.7M and $0.37. Optical component stocks have been on a tear lately.
Comment![Tech, On the Move, Earnings]
Monday, December 24, 2012, 11:51 AM
Printed circuit board makers posted their second-lowest November book-to-bill ratio for the last decade, according to trade group IPC. Consider that one more sign broader consumer electronics/IT hardware demand remains soft in spite of the smartphone/tablet boom. The data leads Topeka's Brian White to think contract manufacturers such as Jabil (JBL), Flextronics (FLEX), and Sanmina (SANM) will continue having a hard time. (NPD data)
Tuesday, October 30, 2012, 5:28 PMSanmina-SCI (SANM): FQ4 EPS of $0.46 beats by $0.12. Revenue of $1.58B in-line. (PR)
Monday, July 23, 2012, 6:04 PM
Sanmina-SCI (SANM) +12.3% AH after posting a mixed FQ3 report, but guiding for FQ4 revenue of $1.575B-$1.625B, above a $1.53B consensus. EPS is expected to come in at $0.32-$0.38, in-line with a $0.34 consensus. Sanmina shares have been beaten down on an assortment of macro, IT spending, and telecom capex worries. Fellow contract manufacturers such as FLEX, JBL, and PLXS could rally tomorrow in sympathy. (PR)
Comment![Tech, Earnings, On the Move]
Monday, July 23, 2012, 4:24 PMSanmina-SCI (SANM): FQ3 EPS of $0.26 misses by $0.02. Revenue of $1.55B (-7.5% Y/Y) beats by $140M. (PR)