Sanmina upgraded to Neutral at BofA after ‘strong start’ to FY25

As previously reported, BofA upgraded Sanmina (SANM) to Neutral from Underperform with a price target of $92, up from $58, after the company’s Q1 revenue grew 7% year-over-year and beat the firm’s and Street estimates. The communications end market is coming out of an inventory correction and FY25 should see revenue growth, notes the analyst, who expects “strong” free cash flow of over $200M in FY25 and also expects capital returns to “remain strong.”