In a research report released today, Deutsche Bank said, "We have become more optimistic about Sanmina`s longer-term strategy, but believe the company must clear several near- and long-term hurdles before it warrants a premium valuation to its peers. Most importantly, we believe Sanmina`s short-term margin targets will prove aggressive."
Sanmina-SCI has set a goal of 10% revenue growth for fiscal 2005, a target DB calls "achievable." The investment bank "continues to question" Sanmina-SCI's margin forecasts, however, saying "management`s forecasts for its components business are particularly aggressive."
Sanmina-SCI cut its revenue estimates from original design manufacturing (ODM) services to $150 million to $200 million next year. Last year, the company forecast ODM sales would be $500 million by 2005.
The trade group is basing its findings on a recent RoHS/lead-free summit at which scores of company's traded insights on the European Union's Restriction on Use of Certain Hazardous Substances and Waste from Electrical and Electronic Equipment (WEEE) directives.
The meetings were held October 18-20 and drew close to 190 people.
One primary concern: how companies will be able to prove compliance -- to regulatory bodies and to their customers. The directives are not explicit on this point, and the EU's Technical Adaptation Committee, responsible for providing guidance on RoHS implementation, has not yet made recommendations, NEMI said in a press statement.
Among the attendees' recommendations:
Breakout groups then explored potential areas of industry collaboration. Among the ideas:
Presentations from the summit and reports from the breakout groups are available at www.nemi.org/newsroom/Presentations/RoHS_summit.html.
Minneapolis, MN - The SMTA's Pan Pacific Microelectronics Symposium & Exhibit (smta.org/pan_pac/) will take place Jan. 25-27, 2005, at the Sheraton Kauai Resort in Kauai, HI. Kei Biu, of SMT Corp, will give the keynote presentation on Green Electronics in China.
The technical program will consist of sessions on 3-D Chip Stacking, System in Package (SiP), RF & Sensor Technologies, High Performance Packaging and Assembly Management Strategies.
Additional sessions will cover Pb-Free Reliability, Solder and Rework Processes, Pb-free Microstructures and Performance, Pb-free Implementation, Package Solder Joint Reliability and Electronic Adhesives, Chip Attach and Materials Technologies, Cleaning and Surface Treatments, Packaging and Assembly Trends, and Inspection and Test.
The event averages more than 100 participants annually from 15 different countries throughout Europe, the Americas and the Pacific Basin.
For more information, contact JoAnn Stromberg: 952-920-7682; joann@smta.org.