As the Q2 earnings season wraps, let’s dig into this quarter’s best and worst performers in the electrical systems industry, including Sanmina (NASDAQ:SANM) and its peers.
Like many equipment and component manufacturers, electrical systems companies are buoyed by secular trends such as connectivity and industrial automation. More specific pockets of strong demand include Internet of Things (IoT) connectivity and the 5G telecom upgrade cycle, which can benefit companies whose cables and conduits fit those needs. But like the broader industrials sector, these companies are also at the whim of economic cycles. Interest rates, for example, can greatly impact projects that drive demand for these products.
The 14 electrical systems stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 2.4% while next quarter’s revenue guidance was 0.6% below.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 6.6% since the latest earnings results.
Sanmina (NASDAQ:SANM)
Founded in 1980, Sanmina (NASDAQ:SANM) is an electronics manufacturing services company offering end-to-end solutions for various industries.
Sanmina reported revenues of $3.46 billion, up 69.7% year on year. This print exceeded analysts’ expectations by 1.8%. Overall, it was a very strong quarter for the company with EPS guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ adjusted operating income estimates.
"We delivered another great quarter. Revenue was at the high end of our outlook, while non-GAAP operating margin and non-GAAP diluted EPS exceeded our outlook," stated Jure Sola, Chairman and CEO of Sanmina Corporation.
Sanmina pulled off the fastest revenue growth but had the weakest guidance update in the group. The results were likely priced in, however, and the stock is flat since reporting. It currently trades at $209.54.
Best Q2: Atkore (NYSE:ATKR)
Protecting the things that power our world, Atkore (NYSE:ATKR) designs and manufactures electrical safety products.
Atkore reported revenues of $794.8 million, up 8.1% year on year, outperforming analysts’ expectations by 4.7%. The business had an incredible quarter with an impressive beat of analysts’ EBITDA and EPS estimates.
The market seems happy with the results as the stock is up 29% since reporting. It currently trades at $94.13.
Is now the time to buy Atkore? Access our full analysis of the earnings results here, it’s free.
Weakest Q2: Powell (NASDAQ:POWL)
Originally a metal-working shop supporting local petrochemical facilities, Powell (NYSE:POWL) has grown from a small Houston manufacturer to a global provider of electrical systems.
Powell reported revenues of $311.7 million, up 8.9% year on year, falling short of analysts’ expectations by 1.6%. It was a disappointing quarter as it posted a significant miss of analysts’ EPS estimates.
As expected, the stock is down 11.5% since the results and currently trades at $194.37.
Read our full analysis of Powell’s results here.
LSI (NASDAQ:LYTS)
Enhancing commercial environments, LSI (NASDAQ:LYTS) provides lighting and display solutions for businesses and retailers.
LSI reported revenues of $234.6 million, up 51.3% year on year. This print topped analysts’ expectations by 5.8%. Overall, it was a very strong quarter as it also recorded a beat of analysts’ EPS and EBITDA estimates.
The stock is down 14.5% since reporting and currently trades at $20.56.
Read our full, actionable report on LSI here, it’s free.
GE Vernova (NYSE:GEV)
Born from the energy business of industrial giant General Electric in a 2023 spin-off, GE Vernova (NYSE:GEV) designs, manufactures, and services power generation equipment and grid technologies to help customers build more reliable and sustainable electric systems.
GE Vernova reported revenues of $11.1 billion, up 21.9% year on year. This result surpassed analysts’ expectations by 2.8%. Taking a step back, it was a mixed quarter as it also logged full-year revenue guidance slightly topping analysts’ expectations but a significant miss of analysts’ EPS estimates.
GE Vernova delivered the highest full-year guidance raise of the whole group. The stock is down 11.7% since reporting and currently trades at $952.37.
Read our full, actionable report on GE Vernova here, it’s free.
Market Update
Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership.
Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products.
By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals.
Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.