Sanmina (SANM) One Off Loss And 2.5% Margin Test Bullish Growth Narratives

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Jan 29

Sanmina (SANM) has kicked off Q1 2026 with revenue of about US$3.2b and basic EPS of US$0.91, setting the tone for how its earnings story is shaping up this year. The company has seen quarterly ...

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The company has seen quarterly ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/tech/nasdaq-sanm/sanmina/news/sanmina-sanm-one-off-loss-and-25-margin-test-bullish-growth\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Sanmina (SANM) One Off Loss And 2.5% Margin Test Bullish Growth Narratives</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSanmina (SANM) One Off Loss And 2.5% Margin Test Bullish Growth Narratives\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-01-29 04:22 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/tech/nasdaq-sanm/sanmina/news/sanmina-sanm-one-off-loss-and-25-margin-test-bullish-growth><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Sanmina (SANM) has kicked off Q1 2026 with revenue of about US$3.2b and basic EPS of US$0.91, setting the tone for how its earnings story is shaping up this year. The company has seen quarterly ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/tech/nasdaq-sanm/sanmina/news/sanmina-sanm-one-off-loss-and-25-margin-test-bullish-growth\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"IE0034390439.USD","symbol_name":"FTGF ROYCE US SMALLER COMPANIES \"A\" (USD) D","start_time":0,"source_url":"https://simplywall.st/stocks/us/tech/nasdaq-sanm/sanmina/news/sanmina-sanm-one-off-loss-and-25-margin-test-bullish-growth","article_id":"2607226721","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/8132000-choice1-main-header/1585186905387"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/tech/nasdaq-sanm/sanmina/news/sanmina-sanm-one-off-loss-and-25-margin-test-bullish-growth","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2607226721","pubTimestamp":1769631753,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Sanmina (SANM) has kicked off Q1 2026 with revenue of about US$3.2b and basic EPS of US$0.91, setting the tone for how its earnings story is shaping up this year. The company has seen quarterly revenue move from US$2,006.3m in Q1 2025 to US$3,189.7m in Q1 2026, while basic EPS shifted from US$1.20 to US$0.91 over the same period. Trailing 12 month EPS now sits at US$4.27 on revenue of US$9.3b. With trailing net margins thinner than last year and a large one off loss still in the rear-view...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"IE0034390439.USD":"FTGF ROYCE US SMALLER COMPANIES \"A\" (USD) D","SANM":"新美亚电子","BK4145":"电子制造服务","BK4588":"碎股","BK4585":"ETF&股票定投概念","BK4112":"金融交易所和数据","IE00B19Z6F94.USD":"Legg Mason Royce - US Smaller Companies A Acc USD"},"translate_title":"Sanmina(SANM)一次性亏损和2.5%利润率测试看涨增长叙事","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"SANM":1.98},"content_text":"Sanmina (SANM) has kicked off Q1 2026 with revenue of about US$3.2b and basic EPS of US$0.91, setting the tone for how its earnings story is shaping up this year. The company has seen quarterly revenue move from US$2,006.3m in Q1 2025 to US$3,189.7m in Q1 2026, while basic EPS shifted from US$1.20 to US$0.91 over the same period. Trailing 12 month EPS now sits at US$4.27 on revenue of US$9.3b. With trailing net margins thinner than last year and a large one off loss still in the rear-view mirror, this set of results keeps the focus firmly on how sustainably Sanmina can convert its forecast growth into cleaner profitability. See our full analysis for Sanmina. With the latest numbers on the table, the next step is to see how they line up with the widely followed growth and risk narratives that have built up around Sanmina over the past year. Curious how numbers become stories that shape markets? Explore Community Narratives NasdaqGS:SANM Revenue & Expenses Breakdown as at Jan 2026 AdvertisementTrailing Margin Slips To 2.5%  Over the last 12 months, Sanmina earned US$230.2m of net income on US$9.3b of revenue, which works out to a 2.5% net margin compared with 3.0% a year earlier. What stands out for a bullish view is that this thinner 2.5% margin sits alongside trailing EPS of US$4.27. Any improvement in profitability would therefore flow through directly to earnings even without further revenue expansion.\n     Bulls who focus on Sanmina as a complex manufacturing partner in high reliability areas like medical and defense may point to the US$9.3b revenue base as evidence the business still has scale to work with. The tension is that mission critical work often runs on tight pricing, and the step down from a 3.0% margin to 2.5% shows how sensitive reported profitability can be to cost pressure or one off items.    Over the last year, have strong growth forecasts really outweighed a thinner 2.5% margin and an US$83.1m one off loss in investors' minds? 📊 Read the full Sanmina Consensus Narrative. US$83.1m One Off Loss Distorts The Trailing Picture  The trailing 12 month numbers include a one off loss of US$83.1m, which weighs on the reported US$230.2m net income and the 2.5% margin investors see today. Critics who take a bearish line often worry that contract manufacturers are exposed to sudden hits, and this US$83.1m loss supports that concern. At the same time, net income over the same period is still in the hundreds of millions, which suggests that the core operations continued to produce profit despite that drag.\n     The one off item is large relative to quarterly net income figures such as US$49.3m in Q1 2026, so it has a meaningful effect on how the latest year looks in hindsight. At the same time, the presence of positive net income in every quarter from Q1 2025 through Q1 2026 indicates the loss did not wipe out the underlying earnings stream across the year.    34x P/E Sits Between Industry And Peer Levels  Sanmina currently trades on a trailing P/E of 34x, which is below the peer average of 44.8x but above the broader US Electronic industry at 27.2x. Supporters of a bullish stance may argue that this middle ground P/E reflects the mix of a large US$9.3b revenue base and projected revenue and earnings growth rates of around 28.3% and 27.6% a year. The same data also shows that the market is not granting Sanmina the highest peer multiples while margins sit at 2.5% and the share price has been more volatile than the US market.\n     The discount to the 44.8x peer average points to some caution around issues like the recent one off loss and margin compression compared with the prior year. The premium to the 27.2x industry average suggests investors are still willing to pay up relative to the sector while they weigh those risks against the forecast growth profile.     Next Steps Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Sanmina's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move. See What Else Is Out There Sanmina's thinner 2.5% net margin, the US$83.1m one off loss, and its 34x P/E highlight pressure on profitability and valuation risk. If those trade offs give you pause, check out our pre screened these 879 undervalued stocks based on cash flows today to focus on companies where current prices look more reasonable against their earnings profile.  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: Manage All Your Stock Portfolios in One PlaceWe've created the ultimate portfolio companion for stock investors, and it's free.• Connect an unlimited number of Portfolios and see your total in one currency• Be alerted to new Warning Signs or Risks via email or mobile• Track the Fair Value of your stocksTry a Demo Portfolio for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"}}}