Sanmina (NASDAQ:SANM) Shares Gap Up - What's Next?

Shares of Sanmina Co. (NASDAQ:SANM - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $78.51, but opened at $82.00. Sanmina shares last traded at $79.67, with a volume of 107,644 shares changing hands.

Analysts Set New Price Targets

SANM has been the topic of a number of recent analyst reports. Craig Hallum boosted their price target on shares of Sanmina from $62.00 to $69.00 and gave the company a "hold" rating in a report on Tuesday, November 5th. StockNews.com raised Sanmina from a "buy" rating to a "strong-buy" rating in a research note on Wednesday. Finally, Bank of America raised shares of Sanmina from an "underperform" rating to a "neutral" rating and increased their price target for the stock from $58.00 to $92.00 in a research report on Wednesday.

Sanmina Stock Down 0.6 %

The stock has a market cap of $4.55 billion, a PE ratio of 20.47, a P/E/G ratio of 1.39 and a beta of 0.91. The business has a 50 day simple moving average of $79.39 and a 200 day simple moving average of $73.49. The company has a debt-to-equity ratio of 0.12, a current ratio of 2.06 and a quick ratio of 1.25.

Sanmina (NASDAQ:SANM - Get Free Report) last issued its quarterly earnings data on Monday, November 4th. The electronics maker reported $1.43 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.36 by $0.07. Sanmina had a net margin of 2.99% and a return on equity of 10.61%. The firm had revenue of $2.02 billion during the quarter, compared to analysts' expectations of $1.96 billion. During the same period in the prior year, the company posted $1.20 earnings per share. Sanmina's revenue for the quarter was down 1.6% on a year-over-year basis. On average, equities research analysts forecast that Sanmina Co. will post 4.84 EPS for the current fiscal year.

Sanmina announced that its Board of Directors has initiated a stock buyback plan on Monday, January 27th that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the electronics maker to purchase up to 7.1% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's board believes its stock is undervalued.

Hedge Funds Weigh In On Sanmina

Several large investors have recently made changes to their positions in SANM. Wilmington Savings Fund Society FSB acquired a new stake in shares of Sanmina in the third quarter worth $32,000. Northwestern Mutual Wealth Management Co. increased its position in shares of Sanmina by 24.1% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 845 shares of the electronics maker's stock worth $56,000 after purchasing an additional 164 shares in the last quarter. R Squared Ltd bought a new stake in Sanmina during the 4th quarter worth approximately $58,000. GAMMA Investing LLC increased its stake in shares of Sanmina by 88.5% in the third quarter. GAMMA Investing LLC now owns 931 shares of the electronics maker's stock valued at $64,000 after buying an additional 437 shares in the last quarter. Finally, Principal Securities Inc. increased its position in Sanmina by 13.6% in the 4th quarter. Principal Securities Inc. now owns 1,388 shares of the electronics maker's stock valued at $105,000 after acquiring an additional 166 shares in the last quarter. Institutional investors and hedge funds own 92.71% of the company's stock.

Sanmina Company Profile

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.