Needham analyst James Ricchiuti maintained a Buy rating on Plexus (PLXS – Research Report) today and set a price target of $162.00.
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James Ricchiuti has given his Buy rating due to a combination of factors including Plexus’s performance and future outlook. The company reported second-quarter revenues that met the midpoint of their guidance, while their non-GAAP earnings per share surpassed expectations, aided by reduced operating expenses and a lower tax rate.
Additionally, despite macroeconomic uncertainties, Plexus is experiencing positive developments in significant sectors such as healthcare, aerospace and defense, and semiconductor capital equipment. The company has provided robust guidance for the third quarter, with anticipated revenue growth and earnings per share aligning with consensus expectations. Furthermore, Plexus’s diverse manufacturing capabilities and strong customer relationships across various market segments offer stability. The company is also on track to achieve improved operating margins by the end of fiscal 2025, prompting an increase in revenue and earnings estimates for that period.
Based on the recent corporate insider activity of 90 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of PLXS in relation to earlier this year.