SANMINA CORP (SANM) Stock Fundamental Analysis
USA - NASDAQ:SANM - US8010561020 - Common Stock
118.3 USD
-1.07 (-0.9%)
118.3 USD
0 (0%)
Taking everything into account, SANM scores 6 out of 10 in our fundamental rating. SANM was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. SANM has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on SANM. This makes SANM very considerable for value investing!
1. Profitability
1.1 Basic Checks
SANM had positive earnings in the past year.
In the past year SANM had a positive cash flow from operations.
Each year in the past 5 years SANM has been profitable.
In the past 5 years SANM always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.96%, SANM is in the better half of the industry, outperforming 71.20% of the companies in the same industry.
SANM has a Return On Equity of 11.30%. This is in the better half of the industry: SANM outperforms 76.80% of its industry peers.
The Return On Invested Capital of SANM (9.82%) is better than 83.20% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SANM is in line with the industry average of 9.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 11.3% | ||
| ROIC | 9.82% |
ROA(3y)5.31%
ROA(5y)5.12%
ROE(3y)12.54%
ROE(5y)11.9%
ROIC(3y)11.14%
ROIC(5y)10.2%
1.3 Margins
The Profit Margin of SANM (3.22%) is better than 62.40% of its industry peers.
In the last couple of years the Profit Margin of SANM has grown nicely.
SANM has a better Operating Margin (4.70%) than 62.40% of its industry peers.
In the last couple of years the Operating Margin of SANM has grown nicely.
SANM has a Gross Margin of 8.65%. This is amonst the worse of the industry: SANM underperforms 83.20% of its industry peers.
SANM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.7% | ||
| PM (TTM) | 3.22% | ||
| GM | 8.65% |
OM growth 3Y4.33%
OM growth 5Y4.63%
PM growth 3Y-7.46%
PM growth 5Y11.26%
GM growth 3Y2.72%
GM growth 5Y3.31%
2. Health
2.1 Basic Checks
SANM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, SANM has less shares outstanding
SANM has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SANM has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.88 indicates that SANM is not a great score, but indicates only limited risk for bankruptcy at the moment.
SANM has a worse Altman-Z score (2.88) than 60.00% of its industry peers.
SANM has a debt to FCF ratio of 0.84. This is a very positive value and a sign of high solvency as it would only need 0.84 years to pay back of all of its debts.
SANM's Debt to FCF ratio of 0.84 is amongst the best of the industry. SANM outperforms 83.20% of its industry peers.
SANM has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
SANM has a Debt to Equity ratio (0.13) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | 2.88 |
ROIC/WACC1.04
WACC9.41%
2.3 Liquidity
A Current Ratio of 1.91 indicates that SANM should not have too much problems paying its short term obligations.
The Current ratio of SANM (1.91) is worse than 62.40% of its industry peers.
A Quick Ratio of 1.21 indicates that SANM should not have too much problems paying its short term obligations.
The Quick ratio of SANM (1.21) is worse than 69.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
SANM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.25%, which is quite good.
SANM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.20% yearly.
The Revenue has been growing slightly by 5.88% in the past year.
Measured over the past years, SANM shows a decrease in Revenue. The Revenue has been decreasing by -1.67% on average per year.
EPS 1Y (TTM)10.25%
EPS 3Y9.97%
EPS 5Y9.2%
EPS Q2Q%22.4%
Revenue 1Y (TTM)5.88%
Revenue growth 3Y3.95%
Revenue growth 5Y-1.67%
Sales Q2Q%10.87%
3.2 Future
SANM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.57% yearly.
Based on estimates for the next years, SANM will show a small growth in Revenue. The Revenue will grow by 7.17% on average per year.
EPS Next Y14.89%
EPS Next 2Y15.6%
EPS Next 3Y15.57%
EPS Next 5YN/A
Revenue Next Year7.73%
Revenue Next 2Y7.53%
Revenue Next 3Y7.17%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
SANM is valuated rather expensively with a Price/Earnings ratio of 20.36.
SANM's Price/Earnings ratio is rather cheap when compared to the industry. SANM is cheaper than 80.80% of the companies in the same industry.
SANM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.38.
SANM is valuated correctly with a Price/Forward Earnings ratio of 16.77.
Based on the Price/Forward Earnings ratio, SANM is valued cheaper than 82.40% of the companies in the same industry.
SANM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.36 | ||
| Fwd PE | 16.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SANM indicates a rather cheap valuation: SANM is cheaper than 80.80% of the companies listed in the same industry.
90.40% of the companies in the same industry are more expensive than SANM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.32 | ||
| EV/EBITDA | 11.73 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SANM has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as SANM's earnings are expected to grow with 15.57% in the coming years.
PEG (NY)1.37
PEG (5Y)2.21
EPS Next 2Y15.6%
EPS Next 3Y15.57%
5. Dividend
5.1 Amount
SANM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
118.3
-1.07 (-0.9%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners99.65%
Inst Owner Change1.79%
Ins Owners3.16%
Ins Owner Change0.38%
Market Cap6.30B
Analysts80
Price Target128.86 (8.93%)
Short Float %4.85%
Short Ratio3.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.15%
Min EPS beat(2)0.41%
Max EPS beat(2)5.88%
EPS beat(4)4
Avg EPS beat(4)3.19%
Min EPS beat(4)0.41%
Max EPS beat(4)5.88%
EPS beat(8)6
Avg EPS beat(8)1.2%
EPS beat(12)9
Avg EPS beat(12)2.54%
EPS beat(16)12
Avg EPS beat(16)3.8%
Revenue beat(2)1
Avg Revenue beat(2)-0.01%
Min Revenue beat(2)-0.99%
Max Revenue beat(2)0.97%
Revenue beat(4)2
Avg Revenue beat(4)0.11%
Min Revenue beat(4)-0.99%
Max Revenue beat(4)1.08%
Revenue beat(8)2
Avg Revenue beat(8)-1.74%
Revenue beat(12)5
Avg Revenue beat(12)-0.07%
Revenue beat(16)8
Avg Revenue beat(16)0.58%
PT rev (1m)8.6%
PT rev (3m)30.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.28%
EPS NY rev (1m)1.06%
EPS NY rev (3m)1.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.36%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.36 | ||
| Fwd PE | 16.77 | ||
| P/S | 0.78 | ||
| P/FCF | 17.32 | ||
| P/OCF | 13.31 | ||
| P/B | 2.75 | ||
| P/tB | 2.75 | ||
| EV/EBITDA | 11.73 |
EPS(TTM)5.81
EY4.91%
EPS(NY)7.06
Fwd EY5.96%
FCF(TTM)6.83
FCFY5.77%
OCF(TTM)8.89
OCFY7.51%
SpS151.08
BVpS43.05
TBVpS43.05
PEG (NY)1.37
PEG (5Y)2.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 11.3% | ||
| ROCE | 12.73% | ||
| ROIC | 9.82% | ||
| ROICexc | 13.42% | ||
| ROICexgc | 13.42% | ||
| OM | 4.7% | ||
| PM (TTM) | 3.22% | ||
| GM | 8.65% | ||
| FCFM | 4.52% |
ROA(3y)5.31%
ROA(5y)5.12%
ROE(3y)12.54%
ROE(5y)11.9%
ROIC(3y)11.14%
ROIC(5y)10.2%
ROICexc(3y)14.4%
ROICexc(5y)13.26%
ROICexgc(3y)14.4%
ROICexgc(5y)13.26%
ROCE(3y)14.44%
ROCE(5y)13.22%
ROICexcg growth 3Y0.47%
ROICexcg growth 5Y-1.86%
ROICexc growth 3Y0.47%
ROICexc growth 5Y-1.86%
OM growth 3Y4.33%
OM growth 5Y4.63%
PM growth 3Y-7.46%
PM growth 5Y11.26%
GM growth 3Y2.72%
GM growth 5Y3.31%
F-Score7
Asset Turnover1.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.84 | ||
| Debt/EBITDA | 0.57 | ||
| Cap/Depr | 90.16% | ||
| Cap/Sales | 1.36% | ||
| Interest Coverage | 22.55 | ||
| Cash Conversion | 94.67% | ||
| Profit Quality | 140.4% | ||
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.21 | ||
| Altman-Z | 2.88 |
F-Score7
WACC9.41%
ROIC/WACC1.04
Cap/Depr(3y)126.73%
Cap/Depr(5y)100.96%
Cap/Sales(3y)1.79%
Cap/Sales(5y)1.48%
Profit Quality(3y)65.72%
Profit Quality(5y)94.15%
High Growth Momentum
Growth
EPS 1Y (TTM)10.25%
EPS 3Y9.97%
EPS 5Y9.2%
EPS Q2Q%22.4%
EPS Next Y14.89%
EPS Next 2Y15.6%
EPS Next 3Y15.57%
EPS Next 5YN/A
Revenue 1Y (TTM)5.88%
Revenue growth 3Y3.95%
Revenue growth 5Y-1.67%
Sales Q2Q%10.87%
Revenue Next Year7.73%
Revenue Next 2Y7.53%
Revenue Next 3Y7.17%
Revenue Next 5YN/A
EBIT growth 1Y6.13%
EBIT growth 3Y8.46%
EBIT growth 5Y2.88%
EBIT Next Year44.94%
EBIT Next 3Y13.17%
EBIT Next 5YN/A
FCF growth 1Y837.98%
FCF growth 3Y-4.75%
FCF growth 5Y-1.61%
OCF growth 1Y97.11%
OCF growth 3Y0.19%
OCF growth 5Y-2.34%