Sanmina Corp (SANM) stock analysis

P/E above its 5-year median

Sanmina's P/E of 28.5 is above its own 5-year median of 16.0.

P/E below the industry

Sanmina's P/E of 28.5 is below the Electronic Components and Accessories median of 34.8.

EV/EBITDA above its 5-year median

Sanmina's EV/EBITDA of 12.8 is above its 5-year median of 7.5.

P/S below the industry

Sanmina's price-to-sales of 0.67 is below the Electronic Components and Accessories median of 4.82 (book value is negative, so we use sales).

Trading below fair value

The share price of $159.25 is below our fair value estimate of $159.50.

Margin of safety under 20%

The price is 0.2% below fair value, less than the 20% cushion we look for.

Revenue growing under 10% a year

Revenue grew 0.9% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew 5.4% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 18.9% over the last twelve months, against a 5-year average of 13.0% a year.

Growing faster than the industry

Revenue grew 58.6% over the last twelve months; the Electronic Components and Accessories median is 17.3%.

Guidance raised

Sanmina raised its Fiscal 2026 Non-GAAP operating margin (3) outlook on Jul 27, 2026.

Gross margin improving

Gross margin was 9.0% over the last twelve months, against 8.7% a year earlier.

Return on equity

Needs positive equity and five years of results.

Return on invested capital

Needs operating income and invested capital.

Return on equity against the industry

Needs positive equity.

Earnings grew over 5 years

Net income grew 13.0% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 2.4% over the last twelve months, against a 5-year average of 3.2%.

Net margin below the industry

Sanmina's net margin of 2.4% is below the Electronic Components and Accessories median of 2.9%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 41.5% of total debt.

Interest well covered

Operating income covers interest expense 5.6 times.

Short-term assets cover short-term debts

Current assets are 1.78 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 2.65; above 3 is the safe zone and below 1.8 the distress zone.

No dividend

Sanmina has not paid a dividend in the last twelve months.

Yield against Treasuries

No dividend.

Yield against the market

No dividend.

Dividend stability

No dividend.

Earnings cover

No dividend.

Cash-flow cover

No dividend.