SANMINA CORP (SANM) Stock Fundamental Analysis
USA - NASDAQ:SANM - US8010561020 - Common Stock
129.25 USD
-3.87 (-2.91%)
129.25 USD
0 (0%)
Taking everything into account, SANM scores 6 out of 10 in our fundamental rating. SANM was compared to 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 not valued too expensively and it also shows a decent growth rate.
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.
In the past 5 years SANM has always been profitable.
Each year in the past 5 years SANM had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SANM (4.96%) is better than 70.97% of its industry peers.
Looking at the Return On Equity, with a value of 11.30%, SANM is in the better half of the industry, outperforming 75.81% of the companies in the same industry.
SANM's Return On Invested Capital of 9.82% is amongst the best of the industry. SANM outperforms 83.06% 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 9.32%.
| 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
SANM has a better Profit Margin (3.22%) than 61.29% of its industry peers.
SANM's Profit Margin has improved in the last couple of years.
SANM has a better Operating Margin (4.70%) than 61.29% of its industry peers.
In the last couple of years the Operating Margin of SANM has grown nicely.
Looking at the Gross Margin, with a value of 8.65%, SANM is doing worse than 83.06% of the companies in the same industry.
In the last couple of years the Gross Margin of SANM has grown nicely.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SANM is creating some value.
SANM has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SANM has been reduced compared to 5 years ago.
The debt/assets ratio for SANM has been reduced compared to a year ago.
2.2 Solvency
SANM has an Altman-Z score of 3.03. This indicates that SANM is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of SANM (3.03) is comparable to the rest of the industry.
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.
The Debt to FCF ratio of SANM (0.84) is better than 82.26% 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 in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | 3.03 |
ROIC/WACC1.07
WACC9.16%
2.3 Liquidity
SANM has a Current Ratio of 1.91. This is a normal value and indicates that SANM is financially healthy and should not expect problems in meeting its short term obligations.
SANM's Current ratio of 1.91 is on the low side compared to the rest of the industry. SANM is outperformed by 62.10% of its industry peers.
A Quick Ratio of 1.21 indicates that SANM should not have too much problems paying its short term obligations.
SANM has a worse Quick ratio (1.21) than 69.35% 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.
Looking at the last year, SANM shows a small growth in Revenue. The Revenue has grown by 5.88% in the last year.
SANM shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.67% yearly.
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
The Earnings Per Share is expected to grow by 15.57% on average over the next years. This is quite good.
The Revenue is expected to grow by 7.17% on average over the next years.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 22.25.
75.00% of the companies in the same industry are more expensive than SANM, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.29. SANM is around the same levels.
With a Price/Forward Earnings ratio of 18.32, SANM is valued on the expensive side.
76.61% of the companies in the same industry are more expensive than SANM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of SANM to the average of the S&P500 Index (22.85), we can say SANM is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.25 | ||
| Fwd PE | 18.32 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SANM is valued a bit cheaper than 79.03% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SANM indicates a rather cheap valuation: SANM is cheaper than 83.87% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.92 | ||
| EV/EBITDA | 13.2 |
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 15.57% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.49
PEG (5Y)2.42
EPS Next 2Y15.6%
EPS Next 3Y15.57%
5. Dividend
5.1 Amount
No dividends for SANM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
129.25
-3.87 (-2.91%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners102.33%
Inst Owner Change-0.02%
Ins Owners3.16%
Ins Owner Change-0.24%
Market Cap6.89B
Analysts80
Price Target128.86 (-0.3%)
Short Float %5.43%
Short Ratio3.66
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)2.71%
PT rev (3m)26.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.28%
EPS NY rev (1m)0%
EPS NY rev (3m)1.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.25 | ||
| Fwd PE | 18.32 | ||
| P/S | 0.86 | ||
| P/FCF | 18.92 | ||
| P/OCF | 14.55 | ||
| P/B | 3 | ||
| P/tB | 3 | ||
| EV/EBITDA | 13.2 |
EPS(TTM)5.81
EY4.5%
EPS(NY)7.06
Fwd EY5.46%
FCF(TTM)6.83
FCFY5.28%
OCF(TTM)8.89
OCFY6.88%
SpS151.08
BVpS43.05
TBVpS43.05
PEG (NY)1.49
PEG (5Y)2.42
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 | 3.03 |
F-Score7
WACC9.16%
ROIC/WACC1.07
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%