Why Sanmina-SCI Soared

Before you go, we thought you'd like these...
Before you go close icon

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Sanmina-SCI (NAS: SANM) soared today by as much as 17% after the company posted upbeat earnings and outlook.

So what: Sales in the third quarter totaled $1.55 billion, down slightly from a year ago. Adjusted net income came out to $21.9 million, or $0.26 per share. CEO Jure Sola said that soft demand in the company's components business hurt the bottom line. Still, the top line registered a beat relative to Street expectations.


Now what: Sola said Sanmina-SCI expects modest revenue growth and margin expansion in the fiscal fourth quarter, and the company provided guidance ranging from $1.58 billion and $1.63 billion in sales with adjusted earnings per share in the range of $0.32-$0.38. Strength in the industrial, defense, and medical segments helped compensate for softness in the components business.

Interested in more info on Sanmina-SCI? Add it to your watchlist byclicking here.

The article Why Sanmina-SCI Soared originally appeared on Fool.com.

Fool contributorEvan Niuholds no position in any company mentioned.Click hereto see his holdings and a short bio. The Motley Fool has adisclosure policy. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter servicesfree for 30 days.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners