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Circuit Board Maker M-Flex Jumps on Sales Outlook, Share Buyback

Shares of Anaheim-based Multi-Fineline Electronix Inc., a maker of flexible circuit boards for cell phones and other mobile devices, jumped Monday after the company gave a better-than-expected sales outlook for the December quarter and said it plans to buy back shares.

The company, known as M-Flex, saw its stock close up nearly 30% on a recent market value of about $400 million.

For the three months ended December, M-Flex is expecting to report sales of $215 million and said that it sees “strong customer demand for its products” during the current quarter.

The company didn’t give a profit outlook.

Analysts, on average, are looking for quarterly profits of $9 million on sales of $194 million.

M-Flex also said it’s set to start a stock buyback that would allow the company to repurchase some 2 million shares, or about 9% of its outstanding stock.

Wall Street generally likes stock buybacks because they give a boost to one of analysts’ and investors’ favorite numbers,profits expressed on a per share basis.

M-Flex is set to report December quarter results on Feb. 5.

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