Flex (FLEX) AI Stock Analysis

• Market Cap: $23.16B
• Dividend Yield: N/A
• Average Volume (3M): 3.90M
• Price to Earnings (P/E): 28.1
• Beta (1Y): 1.74
• Revenue Growth: 0.77%
• EPS Growth: 0.51%
• Country: US
• Employees: 148,115
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.79
• Shares Outstanding: 369,790,300
• 10 Day Avg. Volume: 4,805,505
• 30 Day Avg. Volume: 3,904,538
• PEG Ratio: -2.10
• Price to Book (P/B): 2.59
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 12.12
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 0.90
• Enterprise Value/Gross Profit: 10.09
• Enterprise Value/Ebitda: 12.67
• 1Y Price Target: $76.57
• Price Target Upside: 24.46% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): 3.12
• Revenue Forecast (FY): $27.01B

• Rating: 74 Outperform
• Price Target: $70.00 ▲(13.78% Upside)

Flex's overall stock score is driven by strong financial performance and positive earnings call sentiment, indicating robust growth prospects. The technical analysis supports a bullish trend, although the high P/E ratio suggests potential overvaluation. Challenges in specific markets and geopolitical risks are noted but do not overshadow the company's strategic growth initiatives.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Data Center Expansion

Expansion in the data center segment aligns with industry trends, positioning Flex for sustained growth in high-demand areas.

Improved Balance Sheet

A stronger balance sheet with reduced leverage enhances financial resilience and supports future investment opportunities.

Negative Factors

Geopolitical Risks

Geopolitical instability can disrupt operations and supply chains, posing risks to revenue and operational continuity.

Market Pressures

Challenges in key markets may hinder growth and profitability, requiring strategic adjustments to mitigate impact.

Cash Flow Volatility

Volatile cash flow can affect financial planning and investment capacity, necessitating careful management to ensure stability.

Flex Business Overview & Revenue Model

Company Description

Flex Ltd. provides design, engineering, manufacturing, and supply chain services and solutions to original equipment manufacturers in Asia, the Americas, and Europe. It operates through three segments: Flex Agility Solutions (FAS), Flex Reliability Solutions (FRS), and Nextracker. The company provides cross-industry technologies, including human-machine interface, internet of things platforms, power, sensor fusion, and smart audio. It also offers integrated solar tracker and software solutions used in utility-scale and ground-mounted distributed generation solar projects. In addition, the company provides value-added design and engineering services; and systems assembly and manufacturing services that include enclosures, testing services, and materials procurement and inventory management services. Further, it offers chargers for smartphones and tablets; adapters for notebooks and gaming systems; power supplies for the server, storage, and networking markets; and power solutions, such as switchgear, busway, power distribution, modular power systems, and monitoring solutions and services. Additionally, the company provides after-market and forward supply chain logistics services to computing, consumer digital, infrastructure, industrial, mobile, automotive, and medical industries; and reverse logistics and repair solutions, including returns management, exchange programs, complex repair, asset recovery, recycling, and e-waste management. It serves to cloud, communications, enterprise, automotive, industrial, consumer devices, lifestyle, healthcare, and energy industries. The company was formerly known as Flextronics International Ltd. and changed its name to Flex Ltd. in September 2016. Flex Ltd. was incorporated in 1990 and is based in Singapore.

How the Company Makes Money

Flex generates revenue primarily through its contract manufacturing services, where it partners with clients to produce electronic components and systems. Key revenue streams include the assembly of printed circuit boards (PCBs), the manufacture of complex electronic devices, and supply chain management solutions. The company also earns income from engineering services, which include design and prototyping for new products. Significant partnerships with major industry players in sectors like automotive and consumer electronics contribute to its earnings, as does its ability to leverage global manufacturing capabilities to meet diverse client needs.

Flex Financial Statement Overview

Summary

Flex demonstrates strong revenue growth and improved profitability in the TTM period, with a healthier balance sheet and positive cash flow metrics. While the company has managed to reduce leverage and enhance equity, historical revenue and cash flow fluctuations suggest potential volatility. Overall, Flex is on a positive trajectory with some areas to monitor for stability.

Income Statement

Flex has shown a strong revenue growth rate of 99.3% in the TTM period, indicating robust sales performance. Gross profit margin improved to 8.9%, and net profit margin is stable at 3.3%. EBIT and EBITDA margins are healthy at 4.9% and 7.1% respectively, showing efficient operational management. However, the company experienced revenue declines in previous years, which could indicate volatility.

Balance Sheet

The debt-to-equity ratio has improved significantly to 0.25 in the TTM period, indicating reduced leverage and a stronger equity position. Return on equity is solid at 17.4%, reflecting effective use of shareholder funds. The equity ratio is not explicitly provided, but the overall balance sheet shows improved financial stability.

Cash Flow

Flex's free cash flow growth is positive at 7.88% in the TTM period, and the operating cash flow to net income ratio is 0.16, indicating decent cash generation relative to profits. The free cash flow to net income ratio is 0.70, suggesting a good conversion of profits into cash. However, historical fluctuations in free cash flow growth highlight potential cash flow volatility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.33B	25.81B	26.41B	28.50B	24.63B	24.12B
Gross Profit	2.34B	2.16B	1.86B	1.98B	1.78B	1.69B
EBITDA	1.87B	1.78B	1.41B	1.54B	1.61B	1.44B
Net Income	876.00M	838.00M	1.01B	793.00M	936.00M	613.00M
Balance Sheet
Total Assets	19.55B	18.38B	18.26B	21.41B	19.32B	15.84B
Cash, Cash Equivalents and Short-Term Investments	2.25B	2.29B	2.47B	3.16B	2.96B	2.64B
Total Debt	4.29B	4.15B	3.75B	4.20B	4.75B	4.34B
Total Liabilities	14.51B	13.38B	12.93B	15.70B	15.12B	12.40B
Stockholders Equity	5.04B	5.00B	5.33B	5.35B	4.13B	3.44B
Cash Flow
Free Cash Flow	1.19B	1.07B	796.00M	315.00M	581.00M	-207.00M
Operating Cash Flow	1.70B	1.50B	1.33B	950.00M	1.02B	144.00M
Investing Cash Flow	-966.00M	-838.00M	-492.00M	-604.00M	-951.00M	-202.00M
Financing Cash Flow	-1.07B	-821.00M	-1.66B	2.00M	280.00M	743.00M

Flex Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 61.52
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FLEX, the sentiment is Positive. The current price of 61.52 is below the 20-day moving average (MA) of 63.36, above the 50-day MA of 59.82, and above the 200-day MA of 46.76, indicating a neutral trend. The MACD of 1.00 indicates Positive momentum. The RSI at 48.86 is Neutral, neither overbought nor oversold. The STOCH value of 38.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FLEX.

Flex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SANM	78 Outperform	$9.07B	39.11	10.38%	―	7.40%	13.79%
PLXS	75 Outperform	$3.94B	22.96	12.44%	―	1.82%	56.52%
FLEX	74 Outperform	$23.16B	28.09	17.45%	―	0.77%	0.51%
FTV	72 Outperform	$16.30B	29.31	7.79%	0.47%	-8.96%	-30.29%
TRMB	66 Neutral	$18.96B	54.12	6.13%	―	-0.86%	-75.37%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
JBL	61 Neutral	$23.43B	37.01	40.43%	0.15%	3.18%	-46.01%

Flex Corporate Events

Flex Ltd Reports Strong Q2 Earnings and Raises Guidance

Flex Ltd, a global leader in advanced manufacturing and supply chain solutions, reported its second-quarter fiscal 2026 earnings, showcasing its prowess in delivering integrated solutions across various technology sectors. The company is recognized for its innovative approach in addressing power and cooling challenges in data centers, particularly in the AI era.

Flex Ltd’s Earnings Call: Strong Growth Amid Challenges

Flex Ltd’s recent earnings call painted a picture of robust financial health and strategic growth, despite facing some external challenges. The company showcased strong performance, particularly in its data center and health solutions segments, while also addressing pressures in other areas. Overall, the sentiment was positive, with Flex expressing confidence in its future growth prospects, especially in the data center business.

Flex Files Prospectus Supplement with SEC

On September 4, 2025, Flex Ltd. filed a prospectus supplement to its automatic shelf registration statement with the Securities and Exchange Commission. This filing was made to include the legal opinion of Allen & Gledhill LLP regarding the legality of the shares covered by the prospectus.

The most recent analyst rating on (FLEX) stock is a Buy with a $58.00 price target. To see the full list of analyst forecasts on Flex stock, see the FLEX Stock Forecast page.

Flex Enters Agreement with Amazon for Equity Warrants

On August 15, 2025, Flex Ltd. entered into a Transaction Agreement with Amazon.com, Inc., issuing a warrant to Amazon’s subsidiary to purchase up to 3,859,851 ordinary shares at $51.29 per share, expiring in 2030. This agreement, which includes conditions for vesting and potential extension, aims to strengthen the commercial relationship between Flex and Amazon, though it does not grant voting rights or shareholder rights to the warrantholder until exercised.

The most recent analyst rating on (FLEX) stock is a Buy with a $49.00 price target. To see the full list of analyst forecasts on Flex stock, see the FLEX Stock Forecast page.

Flex Approves Share Repurchase Plan at AGM

On August 6, 2025, Flex Ltd. held its 2024 Annual General Meeting, where shareholders re-elected nine directors, re-appointed Deloitte & Touche LLP as auditors for the 2026 fiscal year, and approved executive compensation and share issuance authorizations. Additionally, shareholders approved a mandate allowing Flex to repurchase up to 20% of its outstanding shares, with the Board authorizing a share repurchase plan up to $1.7 billion, subject to market conditions and legal requirements.

The most recent analyst rating on (FLEX) stock is a Buy with a $49.00 price target. To see the full list of analyst forecasts on Flex stock, see the FLEX Stock Forecast page.