Sanmina (NASDAQ:SANM) to Buyback $300.00 million in Shares

Sanmina (NASDAQ:SANM) announced that its Board of Directors has initiated a stock buyback plan on Monday, January 27th, RTT News reports. The company plans to repurchase $300.00 million in outstanding shares. This repurchase authorization permits the electronics maker to purchase up to 7.1% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.

Sanmina Stock Performance

Sanmina stock opened at $82.83 on Thursday. The firm has a fifty day simple moving average of $79.19 and a two-hundred day simple moving average of $73.34. Sanmina has a twelve month low of $57.28 and a twelve month high of $86.05. The company has a market capitalization of $4.47 billion, a PE ratio of 21.18, a P/E/G ratio of 1.41 and a beta of 0.91. The company has a quick ratio of 1.25, a current ratio of 1.99 and a debt-to-equity ratio of 0.13.

Sanmina (NASDAQ:SANM) last issued its earnings results on Monday, November 4th. The electronics maker reported $1.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.36 by $0.07. The firm had revenue of $2.02 billion for the quarter, compared to analysts’ expectations of $1.96 billion. Sanmina had a net margin of 2.94% and a return on equity of 10.47%. The business’s revenue was down 1.6% on a year-over-year basis. During the same quarter last year, the business earned $1.20 earnings per share. Research analysts expect that Sanmina will post 4.84 EPS for the current year.

Analyst Ratings Changes

SANM has been the subject of several analyst reports. StockNews.com raised shares of Sanmina from a “buy” rating to a “strong-buy” rating in a report on Wednesday. Bank of America raised Sanmina from an “underperform” rating to a “neutral” rating and raised their price target for the stock from $58.00 to $92.00 in a report on Wednesday. Finally, Craig Hallum increased their price objective on Sanmina from $62.00 to $69.00 and gave the stock a “hold” rating in a report on Tuesday, November 5th.

About Sanmina

Sanmina Corporation provides integrated manufacturing solutions, components, products and repair, logistics, and after-market services worldwide. It operates in two businesses, Integrated Manufacturing Solutions; and Components, Products and Services. The company offers product design and engineering, including concept development, detailed design, prototyping, validation, preproduction, manufacturing design release, and product industrialization; assembly and test services; direct order fulfillment and logistics services; after-market product service and support; and supply chain management services, as well as engages in the manufacturing of components, subassemblies, and complete systems.