Sanmina stock falls as executives warn of 'headwinds for the next couple of quarters'
Shares of Sanmina Corp. (SANM) slid 14% after hours on Monday after the manufacturing services provider's fourth-quarter results and first-quarter forecast missed expectations, and the company it expected consumer caution in the months ahead. Sanmina -- which helps equipment manufacturers with product design, testing and logistics, and makes its own components -- forecast first-quarter revenue of $1.85 billion to $1.95 billion and adjusted earnings per share of $1.20 to $1.30, below FactSet estimates for sales of $2.19 billion and a per-share profit of $1.52. "Our first quarter outlook is down sequentially, driven by some customers continuing to adjust inventory levels and ongoing macroeconomic uncertainty," Chief Executive Jure Sola said in a statement. "We expect headwinds for the next couple of quarters with an improvement in the back half of the year." Sanmina reported fourth-quarter net income of $65.4 million, or $1.04 a share, compared with $58.4 million, or 98 cents a share, in the same quarter last year. Sales fell to $2.05 billion from $2.22 billion in the prior-year quarter. Adjusted earnings per share were $1.42. Analysts polled by FactSet expected adjusted earnings per share of $1.54 on sales of $2.15 billion.
-Bill Peters
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
11-06-23 1629ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
How Anti-Obesity Drugs Are Innovating the Healthcare Market
-
What’s Happening In the Markets This Week
-
Why Immigration Has Boosted Job Gains and the Economy
-
What to Invest in During High Inflation
-
Never Mind Market Efficiency: Are the Markets Sensible?
-
Starbucks Stock Could Use a Pick-Me-Up After Big Selloff; Is it a Buy?
-
5 Cheap Stocks to Buy From an Attractive Part of the Market
-
Markets Brief: All Eyes On Inflation
-
After Earnings, Is Lyft Stock a Buy, a Sell, or Fairly Valued?
-
8 Stock Picks in the Apparel Industry
-
Baidu Earnings: Advertising Weakness Offset by Continued Growth In Cloud Business
-
Going Into Earnings, Is Target Stock a Buy, a Sell, or Fairly Valued?
-
Walmart Earnings: Low Prices and Strong Digital Presence Drive Market Share Gains
-
After Earnings and a Big Selloff, Is Shopify Stock a Buy, a Sell, or Fairly Valued?
-
Cisco Earnings: Positive Guidance and Splunk Inclusion Align With Our Long-Term Thesis
-
3 Warren Buffett Stocks to Buy After Berkshire Hathaway’s Just-Released 13F Filing