SANMINA CORP (SANM) Stock Fundamental Analysis
NASDAQ:SANM - Nasdaq - US8010561020 - Common Stock - Currency: USD
SANM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 124 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. SANM is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, SANM could be worth investigating further 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.
SANM had positive earnings in each of the past 5 years.
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 4.79%, SANM is in the better half of the industry, outperforming 72.50% of the companies in the same industry.
SANM has a Return On Equity of 10.24%. This is in the better half of the industry: SANM outperforms 74.17% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.11%, SANM is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
SANM had an Average Return On Invested Capital over the past 3 years of 11.14%. This is above the industry average of 8.97%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.79% | ||
| ROE | 10.24% | ||
| ROIC | 9.11% |
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 (2.99%) is better than 60.83% of its industry peers.
In the last couple of years the Profit Margin of SANM has grown nicely.
SANM has a Operating Margin of 4.49%. This is in the better half of the industry: SANM outperforms 64.17% of its industry peers.
SANM's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 8.41%, SANM is doing worse than 82.50% of the companies in the same industry.
SANM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.49% | ||
| PM (TTM) | 2.99% | ||
| GM | 8.41% |
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.
SANM has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.69 indicates that SANM is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.69, SANM is in line with its industry, outperforming 42.50% of the companies in the same industry.
SANM has a debt to FCF ratio of 1.70. This is a very positive value and a sign of high solvency as it would only need 1.70 years to pay back of all of its debts.
SANM has a better Debt to FCF ratio (1.70) than 73.33% 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's Debt to Equity ratio of 0.13 is in line compared to the rest of the industry. SANM outperforms 54.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.7 | ||
| Altman-Z | 2.69 |
ROIC/WACC1.02
WACC8.94%
2.3 Liquidity
SANM has a Current Ratio of 2.06. This indicates that SANM is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.06, SANM is in line with its industry, outperforming 40.83% of the companies in the same industry.
A Quick Ratio of 1.30 indicates that SANM should not have too much problems paying its short term obligations.
SANM has a Quick ratio of 1.30. This is in the lower half of the industry: SANM underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
SANM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.51%.
The Earnings Per Share has been growing by 9.20% on average over the past years. This is quite good.
Looking at the last year, SANM shows a decrease in Revenue. The Revenue has decreased by -8.92% in the last 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)-7.51%
EPS 3Y9.97%
EPS 5Y9.2%
EPS Q2Q%10.77%
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y3.95%
Revenue growth 5Y-1.67%
Sales Q2Q%7.02%
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 14.70% yearly.
Based on estimates for the next years, SANM will show a quite strong growth in Revenue. The Revenue will grow by 8.06% on average per year.
EPS Next Y15.28%
EPS Next 2Y14.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.19%
Revenue Next 2Y8.06%
Revenue Next 3YN/A
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
Based on the Price/Earnings ratio of 16.41, the valuation of SANM can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of SANM indicates a rather cheap valuation: SANM is cheaper than 85.00% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 29.39. SANM is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 12.81 indicates a correct valuation of SANM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SANM indicates a rather cheap valuation: SANM is cheaper than 88.33% of the companies listed in the same industry.
SANM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 94.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 12.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SANM is valued cheaper than 83.33% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SANM indicates a somewhat cheap valuation: SANM is cheaper than 67.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.07 | ||
| EV/EBITDA | 9.53 |
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.
SANM's earnings are expected to grow with 14.70% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)1.78
EPS Next 2Y14.7%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for SANM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SANMINA CORP
NASDAQ:SANM (2/11/2025, 8:00:01 PM)
After market: 88.96 0 (0%)88.96
-0.14 (-0.16%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners99.46%
Inst Owner Change-11.48%
Ins Owners2.88%
Ins Owner Change-2.26%
Market Cap4.80B
Analysts80
Price Target77.86 (-12.48%)
Short Float %2.31%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
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)3.22%
Min EPS beat(2)2.9%
Max EPS beat(2)3.55%
EPS beat(4)3
Avg EPS beat(4)2.1%
Min EPS beat(4)-4.26%
Max EPS beat(4)6.21%
EPS beat(8)5
Avg EPS beat(8)0.36%
EPS beat(12)9
Avg EPS beat(12)4.09%
EPS beat(16)12
Avg EPS beat(16)4.97%
Revenue beat(2)1
Avg Revenue beat(2)0.23%
Min Revenue beat(2)-0.63%
Max Revenue beat(2)1.08%
Revenue beat(4)1
Avg Revenue beat(4)-1.42%
Min Revenue beat(4)-3.19%
Max Revenue beat(4)1.08%
Revenue beat(8)2
Avg Revenue beat(8)-2.09%
Revenue beat(12)6
Avg Revenue beat(12)0.97%
Revenue beat(16)7
Avg Revenue beat(16)0.04%
PT rev (1m)2.46%
PT rev (3m)11.84%
EPS NQ rev (1m)0.12%
EPS NQ rev (3m)-11.61%
EPS NY rev (1m)1.35%
EPS NY rev (3m)1.01%
Revenue NQ rev (1m)-1.13%
Revenue NQ rev (3m)-7.95%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.41 | ||
| Fwd PE | 12.81 | ||
| P/S | 0.62 | ||
| P/FCF | 26.07 | ||
| P/OCF | 17.25 | ||
| P/B | 2.13 | ||
| P/tB | 2.13 | ||
| EV/EBITDA | 9.53 |
EPS(TTM)5.42
EY6.09%
EPS(NY)6.95
Fwd EY7.81%
FCF(TTM)3.41
FCFY3.84%
OCF(TTM)5.16
OCFY5.8%
SpS142.78
BVpS41.73
TBVpS41.73
PEG (NY)1.07
PEG (5Y)1.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.79% | ||
| ROE | 10.24% | ||
| ROCE | 11.81% | ||
| ROIC | 9.11% | ||
| ROICexc | 11.67% | ||
| ROICexgc | 11.67% | ||
| OM | 4.49% | ||
| PM (TTM) | 2.99% | ||
| GM | 8.41% | ||
| FCFM | 2.39% |
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 Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.7 | ||
| Debt/EBITDA | 0.63 | ||
| Cap/Depr | 76.17% | ||
| Cap/Sales | 1.22% | ||
| Interest Coverage | 15 | ||
| Cash Conversion | 59.23% | ||
| Profit Quality | 79.85% | ||
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.69 |
F-Score7
WACC8.94%
ROIC/WACC1.02
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)-7.51%
EPS 3Y9.97%
EPS 5Y9.2%
EPS Q2Q%10.77%
EPS Next Y15.28%
EPS Next 2Y14.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.92%
Revenue growth 3Y3.95%
Revenue growth 5Y-1.67%
Sales Q2Q%7.02%
Revenue Next Year9.19%
Revenue Next 2Y8.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-18.1%
EBIT growth 3Y8.46%
EBIT growth 5Y2.88%
EBIT Next Year46.07%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y23.1%
FCF growth 3Y-4.75%
FCF growth 5Y-1.61%
OCF growth 1Y-7.23%
OCF growth 3Y0.19%
OCF growth 5Y-2.34%