SANM
Sanmina Corporation
$217.49
Stable Earnings Power
50%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Overvalued
Trading 225.1% above fair value
You pay
$217.49
Bear
$53.52
Fair
$66.90
Bull
$80.28
Bear
$53.52
-75.4%
$4.46 × 12x P/E
Fair
$66.90
-69.2%
$4.46 × 15x P/E
Bull
$80.28
-63.1%
$4.46 × 18x P/E
Adjust Assumptions
15.0x
4.46$
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
48.8x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (18 analysts)
$131.00
Divergence from AlphaVal
49%
Summary
Applying a 15x P/E to adjusted EPS of $4.46, the base-case value is $66.90 per share.
Warnings
Wall Street's average price target is $131.00 (from 18 analysts). Our estimate is 49% below the consensus -- consider that gap carefully.
Key Risks
- Growth DCF inappropriate — terminal value assumptions dominate
- EV/EBITDA misleading for regulated businesses where capex is mandated
- Regulatory risk is a fat tail not visible in normal multiples