Plexus (PLXS) AI Stock Analysis

• Market Cap: $3.89B
• Dividend Yield: N/A
• Average Volume (3M): 169.92K
• Price to Earnings (P/E): 23.2
• Beta (1Y): 1.12
• Revenue Growth: 1.82%
• EPS Growth: 56.52%
• Country: US
• Employees: 20,000
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 2.14
• Shares Outstanding: 26,774,414
• 10 Day Avg. Volume: 159,135
• 30 Day Avg. Volume: 169,921
• PEG Ratio: 0.40
• Price to Book (P/B): 2.66
• Price to Sales (P/S): 0.96
• P/FCF Ratio: 25.16
• Enterprise Value/Market Cap: 0.98
• Enterprise Value/Revenue: 0.94
• Enterprise Value/Gross Profit: 9.35
• Enterprise Value/Ebitda: 13.70
• 1Y Price Target: $157.50
• Price Target Upside: 6.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 7.57
• Revenue Forecast (FY): $4.38B

• Rating: 75 Outperform
• Price Target: $160.00 ▲(7.88% Upside)

Plexus's overall stock score is driven by strong financial performance and positive earnings call highlights, including revenue growth and operational efficiency. Technical analysis and valuation present moderate scores, reflecting a balanced outlook. The absence of corporate events and a dividend yield slightly tempers the score.

Positive Factors

Strategic Partnership

This partnership enhances Plexus' market position by leveraging its manufacturing capabilities, supporting global expansion, and creating cost-saving opportunities, thus strengthening its competitive advantage and operational resilience.

Revenue Growth

Strong revenue growth indicates a positive business trajectory and effective market penetration, which can lead to sustained financial health and increased market share over time.

Operational Efficiency

Improved operational efficiency through margin expansion suggests effective cost management and strategic execution, enhancing long-term profitability and competitive positioning.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow can limit the company's ability to invest in growth opportunities and may impact its financial flexibility, posing a risk to long-term strategic initiatives.

Aerospace and Defense Sector Challenges

Challenges in the Aerospace and Defense sector, such as revenue decline, can affect overall growth prospects and highlight potential vulnerabilities in sector-specific demand.

Muted Industrial Sector Demand

Decreased demand in the industrial sector may hinder revenue growth and reflect broader economic challenges, affecting the company's ability to capitalize on industrial market opportunities.

Plexus Business Overview & Revenue Model

Company Description

Plexus Corp., together with its subsidiaries, provides electronic manufacturing services in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. It offers design and development, supply chain, new product introduction, and manufacturing solutions, as well as aftermarket services to companies in the healthcare/life sciences, industrial/commercial, aerospace/defense, and communications market sectors. Plexus Corp. was founded in 1979 and is headquartered in Neenah, Wisconsin.

How the Company Makes Money

Plexus generates revenue primarily through its electronic manufacturing services, which include product design, prototyping, manufacturing, and supply chain management. The company earns money by charging clients for these services, often on a contract basis. Key revenue streams include contracts with customers in the healthcare, industrial, and aerospace sectors, which often involve long-term agreements for ongoing manufacturing needs. Additionally, Plexus benefits from partnerships with leading technology companies, which provide a steady flow of business and enhance its market presence. The company also capitalizes on value-added services such as logistics and inventory management, further contributing to its revenue. Economic factors, demand in high-growth industries, and advancements in technology play significant roles in Plexus's earnings potential.

Plexus Financial Statement Overview

Summary

Plexus demonstrates strong revenue growth and improved profitability margins. The balance sheet reflects reduced leverage and a solid equity position, enhancing financial stability. However, the decline in free cash flow growth highlights a potential area for improvement in cash management.

Income Statement

Plexus demonstrates strong revenue growth with a 19.4% increase in the latest year, indicating a positive trajectory. The gross profit margin has improved slightly to 10.08%, and the net profit margin has increased to 4.29%, reflecting enhanced profitability. The EBIT margin also shows improvement, suggesting efficient operational management. However, the EBITDA margin has slightly decreased, indicating potential areas for cost optimization.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.12, indicating reduced leverage and a stronger equity position. Return on equity is healthy at 11.89%, showcasing effective use of equity to generate profits. The equity ratio stands at 46.37%, reflecting a solid financial structure. However, the total assets have slightly decreased, which could be a point of concern if it continues.

Cash Flow

Operating cash flow remains strong, but free cash flow has decreased by 38.56%, which could impact future investments. The operating cash flow to net income ratio is 1.44, indicating good cash generation relative to net income. The free cash flow to net income ratio is 0.62, suggesting that while cash flow is positive, there is room for improvement in converting income into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.03B	4.03B	3.96B	4.21B	3.81B	3.37B
Gross Profit	406.51M	406.51M	378.53M	394.55M	347.23M	323.30M
EBITDA	277.42M	277.42M	236.25M	262.31M	236.85M	235.68M
Net Income	172.88M	172.88M	111.81M	139.09M	138.24M	138.91M
Balance Sheet
Total Assets	3.14B	3.14B	3.15B	3.32B	3.39B	2.46B
Cash, Cash Equivalents and Short-Term Investments	306.76M	306.76M	345.11M	256.23M	274.81M	270.17M
Total Debt	175.46M	175.46M	279.59M	469.61M	495.38M	291.32M
Total Liabilities	1.68B	1.68B	1.83B	2.11B	2.30B	1.43B
Stockholders Equity	1.45B	1.45B	1.32B	1.21B	1.10B	1.03B
Cash Flow
Free Cash Flow	153.97M	153.97M	341.32M	61.77M	-127.85M	85.48M
Operating Cash Flow	249.23M	249.23M	436.50M	165.82M	-26.24M	142.58M
Investing Cash Flow	-95.61M	-95.61M	-94.95M	-93.30M	-101.56M	-56.97M
Financing Cash Flow	-196.40M	-196.40M	-255.59M	-92.72M	139.29M	-203.88M

Plexus Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 148.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLXS, the sentiment is Positive. The current price of 148.31 is above the 20-day moving average (MA) of 141.84, above the 50-day MA of 143.42, and above the 200-day MA of 133.96, indicating a bullish trend. The MACD of 0.44 indicates Negative momentum. The RSI at 58.90 is Neutral, neither overbought nor oversold. The STOCH value of 86.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PLXS.

Plexus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SANM	78 Outperform	$8.41B	34.60	10.81%	―	7.40%	13.79%
PLXS	75 Outperform	$3.89B	23.20	12.44%	―	1.82%	56.52%
OSIS	71 Outperform	$4.52B	30.97	17.58%	―	9.37%	15.70%
BHE	69 Neutral	$1.54B	41.01	3.37%	1.51%	-2.93%	-40.33%
LYTS	66 Neutral	$561.85M	22.49	11.03%	1.11%	22.35%	2.59%
DAKT	64 Neutral	$895.38M	4,193.18	4.36%	―	-7.67%	7.66%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Plexus Corporate Events

Plexus Reports Strong Fiscal Year 2025 Results

Plexus Corp., a global leader in providing complex product design, manufacturing, and service solutions, operates primarily in the Aerospace/Defense, Healthcare/Life Sciences, and Industrial sectors. The company is known for its innovative solutions that intersect advanced technology and human impact.

Plexus Earnings Call: Strong Growth Amid Sector Challenges

Plexus Earnings Call Highlights Strong Performance Amid Sector Challenges