Molex Analyst Day Preview 2010

Molex, Inc. MOLX is hosting an analyst day on 9/9 in Chicago likely to focus on improved margin profiles and revenue growth since company reconstruction is now complete, according to Goldman Sachs. During analyst day in 2009, management provided a target model of 32% GM and 14% OM, and since then Molex has made solid progress on that model, with GM and OM expanding 580 and 1100 bp in the last year, to 29.9% and 11.1%, respectively. Goldman has modeled an additional 200 bp of margin expansion over the next two quarters. Goldman has introduced new FY2013 EPS of $2.21, maintains its Buy rating and price target of $26. Molex, Inc. closed yesterday at $18.58.