Sanmina (NASDAQ:SANM) Rating Increased to Strong-Buy at Zacks Research

Key Points

• Zacks Research upgraded Sanmina to “Strong Buy” from “Hold,” while the broader analyst consensus remains “Moderate Buy” with an average price target of $198.33.
• Sanmina reported quarterly EPS of $3.31, beating expectations of $2.77, while revenue reached $3.46 billion and rose 69.7% year over year.
• Despite positive analyst sentiment and earnings momentum, CEO Jure Sola and CFO Jonathan Faust recently sold shares; institutional investors own approximately 92.71% of the company.

Sanmina (NASDAQ:SANM - Get Free Report) was upgraded by research analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a note issued to investors on Thursday,Zacks.com reports.

A number of other research analysts also recently issued reports on the stock. Susquehanna assumed coverage on shares of Sanmina in a research report on Wednesday, April 1st. They issued a "neutral" rating and a $135.00 price target on the stock. JPMorgan Chase & Co. cut their target price on Sanmina from $275.00 to $260.00 and set a "neutral" rating on the stock in a research report on Tuesday. Wall Street Zen raised Sanmina from a "buy" rating to a "strong-buy" rating in a research note on Saturday. Finally, Weiss Ratings upgraded shares of Sanmina from a "buy (b-)" rating to a "buy (b)" rating in a research report on Wednesday, July 15th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, Sanmina presently has a consensus rating of "Moderate Buy" and an average target price of $198.33.

Sanmina Trading Up 1.1%

Shares of NASDAQ SANM opened at $185.56 on Thursday. The firm has a 50 day moving average price of $231.54 and a two-hundred day moving average price of $187.82. The stock has a market cap of $9.95 billion, a P/E ratio of 33.19, a price-to-earnings-growth ratio of 0.64 and a beta of 1.56. Sanmina has a 52-week low of $108.36 and a 52-week high of $288.68. The company has a debt-to-equity ratio of 0.71, a quick ratio of 1.03 and a current ratio of 1.78.

Sanmina (NASDAQ:SANM - Get Free Report) last issued its quarterly earnings data on Monday, July 27th. The electronics maker reported $3.31 earnings per share for the quarter, topping the consensus estimate of $2.77 by $0.54. The company had revenue of $3.46 billion for the quarter, compared to analysts' expectations of $3.40 billion. Sanmina had a net margin of 2.41% and a return on equity of 19.08%. Sanmina's revenue for the quarter was up 69.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.53 earnings per share. Sanmina has set its Q4 2026 guidance at 3.050-3.350 EPS and its FY 2026 guidance at 11.900-12.200 EPS. As a group, equities analysts forecast that Sanmina will post 10.41 EPS for the current year.

Insiders Place Their Bets

In other news, CEO Jure Sola sold 118,368 shares of the company's stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $228.84, for a total value of $27,087,333.12. Following the completion of the sale, the chief executive officer owned 1,227,573 shares in the company, valued at $280,917,805.32. This represents a 8.79% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Jonathan P. Faust sold 10,076 shares of the stock in a transaction dated Friday, May 29th. The shares were sold at an average price of $265.80, for a total transaction of $2,678,200.80. Following the completion of the sale, the chief financial officer owned 77,000 shares of the company's stock, valued at approximately $20,466,600. This represents a 11.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 3.10% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd purchased a new stake in Sanmina in the 3rd quarter valued at about $26,000. Employees Retirement System of Texas purchased a new position in shares of Sanmina in the 4th quarter worth approximately $39,000. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Sanmina by 182.5% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 339 shares of the electronics maker's stock worth $51,000 after buying an additional 219 shares during the last quarter. Steward Partners Investment Advisory LLC grew its holdings in shares of Sanmina by 235.5% in the fourth quarter. Steward Partners Investment Advisory LLC now owns 369 shares of the electronics maker's stock valued at $55,000 after acquiring an additional 259 shares in the last quarter. Finally, Kestra Advisory Services LLC bought a new position in shares of Sanmina in the fourth quarter valued at approximately $60,000. 92.71% of the stock is currently owned by hedge funds and other institutional investors.

Key Sanmina News

Here are the key news stories impacting Sanmina this week:

• Positive Sentiment: Strong Buy upgrade: Zacks upgraded Sanmina to Rank #1 (Strong Buy), citing growing optimism around earnings prospects and estimate revisions. Sanmina Upgraded to Strong Buy
• Positive Sentiment: Broad earnings estimate increases: Sidoti raised its FY2026 EPS forecast to $10.82 from $8.81, well above the current consensus of $9.36. It also increased its FY2027 estimate to $11.57 from $10.24 and lifted quarterly forecasts for Q4 2026 and Q1–Q4 2027. These revisions suggest analysts expect stronger profitability across Sanmina’s electronics manufacturing business. Sanmina analyst estimates
• Positive Sentiment: Growth and value recognition: Sanmina was included in Zacks’ Rank #1 Strong Buy lists for both growth and value stocks, reinforcing the stock’s appeal across multiple investment styles. Best Growth Stocks Best Value Stocks
• Positive Sentiment: Long-term earnings growth: Sidoti projected EPS of $13.93 for FY2028, following estimates of $11.57 for FY2027 and $10.82 for FY2026. The projections point to a continued earnings-growth trajectory, although they are forecasts rather than reported results.
• Neutral Sentiment: Zacks also highlighted Sanmina’s value characteristics and assessed whether the stock remains undervalued, but the article provided no new company operating data or specific valuation target. Is Sanmina Stock Undervalued?

Sanmina Company Profile

Sanmina Corporation is a leading global electronics manufacturing services (EMS) provider specializing in the design, production and end-to-end supply chain solutions for complex electronic products. Founded in 1980, the company has built a reputation for delivering high-reliability manufacturing across a wide range of industries, including communications, computing, aerospace and defense, medical, automotive and industrial sectors.

Sanmina's core offerings encompass product design and engineering support, precision PCB fabrication and assembly, system integration, testing, and final system deployment.

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