In a recent transaction on May 16, Susan A. Johnson, a director at Sanmina Corp (NASDAQ:SANM), sold 1,000 shares of the company's common stock at a price of $65.95 per share, totaling $65,950. The sale was executed at an exact price, as noted in the footnotes of the transaction report.
The transaction details filed with the SEC reveal that after this sale, Johnson still retains 9,831 shares of Sanmina Corp, indicating a continued investment in the company's future. The specific reasons for the sale were not disclosed, but such transactions are common among corporate executives and directors, who may sell stock for reasons ranging from diversification to personal financial planning.
Sanmina Corp, known for its manufacturing expertise in printed circuit boards, is based in San Jose, California, and operates under the industrial classification of Printed Circuit Boards.
Investors and the market often watch the buying and selling activity of company insiders as it can provide insights into their perspective on the company's current valuation and future prospects. However, it is also important to consider that insider transactions can be motivated by a variety of personal financial considerations and do not always signal changes in company performance or strategy.
The exact motivations behind Johnson's sale remain private, and it is recommended that investors maintain a holistic view of the company's performance and market trends when considering the implications of insider transactions.
InvestingPro Insights
Sanmina Corp (NASDAQ:SANM) has recently seen interesting financial movements and analyst activities that could be relevant for investors. As a director's share sale makes headlines, a broader look at the company's financial health and market performance may provide a deeper context.
InvestingPro data shows Sanmina's current market capitalization stands at $3.71 billion, with a P/E ratio of 15.34, reflecting a market valuation that may appeal to value investors. The company's revenue for the last twelve months as of Q2 2024 is reported at $7.97 billion, although it has experienced a decline of 10.71% during this period. Despite the revenue dip, the firm's gross profit margin remains at 8.44%, showcasing its ability to maintain profitability.
Two notable InvestingPro Tips for Sanmina are the company's aggressive share buyback program and its strong liquidity position. Management's decision to buy back shares can be indicative of their confidence in the company's intrinsic value. Additionally, Sanmina's balance sheet strength is highlighted by its cash reserves exceeding its debt, and liquid assets surpassing short-term obligations. These factors combined with a high shareholder yield may be particularly attractive to potential investors.
Furthermore, the stock is currently trading near its 52-week high, having returned 29.32% over the past year, indicating a robust performance in the market. The company's share price stability is also reinforced by its low price volatility, another aspect that might be appealing for investors looking for stable investment opportunities.
For those interested in a deeper dive into Sanmina's financials and future prospects, InvestingPro offers additional insights, including 16 more InvestingPro Tips for Sanmina. To explore these valuable tips and make informed investment decisions, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at https://www.investing.com/pro/SANM.
Investors should bear in mind the recent insider sale while also considering the broader set of financial data and analyst opinions to form a comprehensive view of Sanmina's potential as an investment.
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