Bank Of America Lowers Estimates On Plexus

According to Bank of America, Plexus PLXS estimates are adjusted lower to reflect a weaker demand environment, especially for the Sep quarter, where the company noted more risk than opportunity at its Analyst day last month although consensus estimates have remained relatively static. Bank of America said that, although a lot of negative news is already priced into the stock, we see the potential for additional negative earnings revisions to weigh on the shares in the near term. “Maintain Neutral. Our F3Q11 estimates move to $565mn and $0.54 from $571mn and $0.55 respectively. Our F4Q11 estimates move to $574mn and $0.56 from $600mn and $0.61 respectively. Our PO of $38 is based 12x our C2012 NOPAT/Share of $3.63 (excl-FAS123) adjusted for anticipated net debt of $4 per share.” Plexus closed yesterday at $33.06.