Sanmina Corporation (NASDAQ:SANM) shares traded higher over the last trading session, gaining 0.12% on 05/20/21. The shares fell to a low of $41.68 before closing at $42.24. Intraday shares traded counted 0.51 million, which was -33.89% lower than its 30-day average trading volume of 379.64K. SANM’s previous close was $42.19 while the outstanding shares total 65.25M. The firm has a beta of 1.10, a 12-month trailing P/E ratio of 14.99. The stock’s Relative Strength Index (RSI) is 56.27, with weekly volatility at 2.48% and ATR at 1.05. The SANM stock’s 52-week price range has touched low of $23.75 and a $43.36 high.
Investors have identified the Electronic Components company Sanmina Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $2.69 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Sanmina Corporation (SANM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For SANM, the company has in raw cash 575.18 million on their books with 18.75 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 2.86 billion total, with 1.42 billion as their total liabilities.
SANM were able to record 117.36 million as free cash flow during the 07/26/2021 quarter of the year, this saw their quarterly net cash flow reduce by 94.65 million. In cash movements, the company had a total of 142.9 million as operating cash flow.
Potential earnings growth for Sanmina Corporation (SANM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/26/2021 quarter of the year, Sanmina Corporation recorded a total of 1.7 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 6.42% coming in sequential stages and their sales for the 07/26/2021 quarter reducing by -3.27%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.56 billion trying to sell their products during the last quarter, with the result yielding a gross income of 143.1 million. This allows shareholders to hold on to 65.25M with the recently reported earning now reading 0.72 cents per share. This is a figure that compared to analyst’s prediction for their 07/26/2021 (0.87 cents a share).
Having a look at the company’s valuation, the company is expected to record 4.24 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on SANM sounds very interesting.
Is the stock of SANM attractive?
In related news, EVP, Global Human Resources, REID ALAN McWILLIAMS sold 8,155 shares of the company’s stock in a transaction that recorded on May 17. The sale was performed at an average price of 42.21, for a total value of 344,223. As the sale deal closes, the SVP & Corp Controller, BILLINGER BRENT now sold 1,935 shares of the company’s stock, valued at 79,528. Also, EVP, Global Human Resources, REID ALAN McWILLIAMS sold 3,270 shares of the company’s stock in a deal that was recorded on Feb 09. The shares were price at an average price of 35.25 per share, with a total market value of 115,261. Following this completion of acquisition, the Director, Goldsberry John now holds 7,645 shares of the company’s stock, valued at 266,102. In the last 6 months, insiders have changed their ownership in shares of company stock by 2.30%.
2 out of 5 analysts covering the stock have rated it a Buy, while 2 have maintained a Hold recommendation on Sanmina Corporation. 0 analysts has assigned a Sell rating on the SANM stock. The 12-month mean consensus price target for the company’s shares has been set at $50.67.