Company Notes

This morning, Amkor Technology (AMKR; $38.18; E/W) announced a long-awaited signing of a non-binding preliminary memorandum of terms with the U.S. Department of Commerce to receive up to $600mm in funding through the U.S. CHIPS…

We believe the 19% decline in the shares of Celestica (CLS; $51.07; O/P), which has occurred over just the past seven trading days, represents a major buying opportunity in the stock, especially given its 4%…

We raise our F2024/F2025E (Sep) EPS for Plexus (PLXS; $129.59; E/W) from $5.10/$6.20 to $5.45/$6.50 after the company produced a healthy FQ3 (Jun) beat and FQ4E (Sep) guidance that exceeded our prior thinking. Specifically, FQ3…

We adjust our 2024/2025E EPS for Amphenol (APH; $62.88; E/W) from $1.75/$1.97 to $1.77/$1.97 after the company produced its latest in a series of “beat and meet” quarters, albeit with less upside than we have…

We reiterate our Outperform, raise our target from $180 to $190, as we bump up our F2024/F2025E (Sep) EPS for TE Connectivity (TEL; $156.85) from $7.45/$8.15 to $7.55/$8.20 after its healthy FQ3 (Jun) beat and…

We raise our F2025E (Mar) EPS for Flex (FLEX; $31.76; O/P) from $2.35 to $2.45 after the company handily beat FQ1 (Jun) expectations, delivering EPS of $0.51, which was well ahead of our consensus-matching $0.41,…

Celestica (CLS; $53.39; O/P) reported Q2 non-IFRS EPS of $0.91, which beat our $0.80 and the Street’s $0.81 on better-than-expected sales of $2,392mm (vs. our $2,250mm and the Street’s $2,249mm). Recall, CLS’ Q2 outlook called…

Plexus (PLXS; $116.15; E/W) reported FQ3 (Jun) non-GAAP EPS of $1.45, which beat our $1.30 on some better-than-expected operating profits and margins (5.8% of sales vs. our 5.4%) despite some lower-than-expected sales ($961mm vs. our…

Amphenol (APH; $63.54; E/W) reported Q2 non-GAAP EPS of $0.44, which was ahead of our consensus matching $0.41 on better-than-expected sales ($3,610mm vs. our $3,375mm and the Street’s $3,390mm). As per the table below, operating…

Flex (FLEX; $29.72; O/P) reported FQ1 (Jun) adjusted EPS of $0.51, which handily beat our consensus matching $0.41 on sales of $6,314mm that were also higher than our $5,950mm and the Street’s $5,904mm. By comparison,…

We raise F2025E (Jun) EPS for Seagate (STX; $105.30; E/W) from $5.85 to $7.00 after it produced FQ4 (Jun) EPS that handily beat the high end of its guidance, which management communicated in early-June was…

TE Connectivity (TEL; $151.40; O/P) reported FQ3 (Jun) non-GAAP EPS of $1.91, which beat our $1.85 and the Street’s $1.86 on operating income and margins that were above estimates (19.3% vs. our 18.5% and the…

Seagate (STX; $105.30; E/W) reported FQ4 (Jun) non-GAAP EPS of $1.05, which beat our $0.87. By comparison, the Street was modeling $0.75, which we have viewed as “stale” since the company’s positive update in early-June…

We do not expect to make meaningful changes to our F2024/F2025E (Sep) EPS for Plexus (PLXS; $116.95; E/W) of $5.10/$6.20 after the company reports FQ3E (Jun) results and outlook on Wednesday (7/24 after the close)….

We reiterate our Outperform and bump up our target from $75 to $80 on the shares of Sanmina (SANM; $71.29) ahead of its FQ3 (Jun) results, which are scheduled for next Monday (7/29 after market)….