SANMINA CORP (NASDAQ:SANM) reported its first-quarter fiscal 2026 financial results after the market close on Monday, January 26, 2026. The electronics manufacturing services provider delivered a strong quarterly performance that exceeded analyst expectations on both the top and bottom lines. However, the market's immediate reaction was sharply negative, with the stock falling over 7% in after-hours trading, a move largely attributed to the company's forward-looking guidance.
Quarterly Performance vs. Estimates
For the quarter ended December 27, 2025, Sanmina posted results that surpassed consensus forecasts. The company's revenue and non-GAAP earnings per share (EPS) both came in ahead of Wall Street's targets.
- Revenue: The company reported sales of $3.19 billion. This represents a significant 59% increase compared to the same quarter last year and exceeded the analyst consensus estimate of approximately $3.14 billion.
- Earnings Per Share (Non-GAAP): Sanmina reported a non-GAAP profit of $2.38 per share. This comfortably beat the average analyst estimate of $2.17 per share, marking an 11% upside surprise.
The robust year-over-year sales growth and earnings beat highlight continued execution and strong demand across Sanmina's diverse end markets, which include industrial, medical, defense, aerospace, and cloud infrastructure.
Market Reaction and the Guidance Concern
Despite the positive earnings beat, Sanmina's stock sold off decisively in after-hours trading. This negative price action underscores the market's forward-looking nature, where future expectations often outweigh past performance. The primary catalyst for the sell-off appears to be the company's revenue outlook for the upcoming second fiscal quarter.
- Q2 Fiscal 2026 Revenue Guidance: Sanmina provided second-quarter revenue guidance of $3.25 billion.
- Analyst Expectations: This outlook fell approximately 7.6% below the prevailing analyst consensus estimate of $3.58 billion for the quarter ending March 28, 2026.
The substantial guidance miss has raised questions among investors about the sustainability of the recent growth momentum. It suggests potential headwinds, such as order push-outs, inventory adjustments by customers, or broader economic softness in certain sectors. The market is interpreting this conservative forecast as a sign that the exceptional growth rate from the prior quarter may not be maintained, leading to the post-earnings decline.
Press Release Summary and Forward Look
The company's press release emphasized its position as a leading integrated manufacturing solutions provider. While detailing the strong Q1 results, management's commentary and the provided Q2 outlook have become the focal point. The discrepancy between the stellar historical performance and the softer forward projection is the central narrative emerging from this earnings report. Investors are now tasked with determining whether the guidance is a temporary pause or an indicator of a more pronounced slowdown.
For a detailed breakdown of Sanmina's historical earnings, future estimates, and analyst ratings, you can review the data here: SANM Earnings & Estimates.
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