Flex (FLEX) is issuing 5-year warrants to Amazon (AMZN), allowing Amazon to purchase up to 3.9M shares for $51.29, Raymond James tells investors. Flex shares are higher on the news, while Jabil (JBL) is under pressure, possibly reflecting concerns on shifting expectations around strategic partnerships and competitive positioning, which Raymond James views as unwarranted. While this does represent a roadmap for continued multi-year partnership with Flex, it doesn’t necessarily signal meaningful incremental revenue opportunities in the near-term, and should not be read as a negative for Jabil’s business with either “traditional” Amazon or AWS.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on FLEX:
- Flex Enters Agreement with Amazon for Equity Warrants
- Flex Approves Share Repurchase Plan at AGM
- Flex’s Strong Financial Performance and Strategic Positioning Justify Buy Rating with $58 Price Objective
- Flex price target raised to $75 from $55 at Argus
- Flex price target raised to $52 from $45 at Stifel