Clayton Partners LLC Cuts Stock Position in Flex Ltd. $FLEX

Key Points

• Clayton Partners LLC significantly reduced its stake in Flex Ltd. by 57.6% in the first quarter, now holding 72,591 shares valued at approximately $2.40 million.
• Flex Ltd. experienced strong analyst support, with multiple upgrades in ratings and price targets, including a raise by JPMorgan Chase & Co. from $44.00 to $60.00.
• The company reported earnings of $0.72 per share, beating analyst estimates, with revenues of $6.58 billion, up 4.1% year-over-year.

Clayton Partners LLC lessened its stake in Flex Ltd. (NASDAQ:FLEX - Free Report) by 57.6% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 72,591 shares of the technology company's stock after selling 98,524 shares during the period. Flex accounts for approximately 2.1% of Clayton Partners LLC's investment portfolio, making the stock its 26th largest holding. Clayton Partners LLC's holdings in Flex were worth $2,401,000 at the end of the most recent reporting period.

Other large investors have also modified their holdings of the company. Olde Wealth Management LLC purchased a new stake in shares of Flex during the first quarter worth about $26,000. Cullen Frost Bankers Inc. purchased a new stake in shares of Flex during the first quarter worth about $26,000. CX Institutional purchased a new stake in shares of Flex during the first quarter worth about $29,000. CWM LLC grew its stake in shares of Flex by 73.3% during the first quarter. CWM LLC now owns 1,281 shares of the technology company's stock worth $42,000 after acquiring an additional 542 shares during the last quarter. Finally, SBI Securities Co. Ltd. grew its stake in shares of Flex by 30.8% during the first quarter. SBI Securities Co. Ltd. now owns 1,299 shares of the technology company's stock worth $43,000 after acquiring an additional 306 shares during the last quarter. Hedge funds and other institutional investors own 94.30% of the company's stock.

Insider Buying and Selling

In other Flex news, insider Michael P. Hartung sold 35,393 shares of the business's stock in a transaction that occurred on Wednesday, June 4th. The stock was sold at an average price of $42.87, for a total value of $1,517,297.91. Following the completion of the transaction, the insider directly owned 293,195 shares of the company's stock, valued at approximately $12,569,269.65. The trade was a 10.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Revathi Advaithi sold 181,028 shares of the business's stock in a transaction that occurred on Thursday, June 5th. The shares were sold at an average price of $42.91, for a total value of $7,767,911.48. Following the completion of the transaction, the chief executive officer directly owned 1,463,695 shares of the company's stock, valued at $62,807,152.45. The trade was a 11.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 681,706 shares of company stock valued at $29,778,944. Insiders own 0.57% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on FLEX shares. The Goldman Sachs Group restated a "buy" rating on shares of Flex in a research note on Friday, July 11th. JPMorgan Chase & Co. boosted their price target on Flex from $44.00 to $60.00 and gave the stock an "overweight" rating in a research note on Thursday, July 17th. Wall Street Zen raised Flex from a "buy" rating to a "strong-buy" rating in a report on Saturday, July 26th. KGI Securities downgraded Flex from a "strong-buy" rating to a "hold" rating in a report on Friday, July 25th. Finally, Stifel Nicolaus lifted their target price on Flex from $45.00 to $52.00 and gave the stock a "buy" rating in a report on Friday, July 25th. Seven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $53.71.

Flex Stock Performance

Shares of Flex stock traded down $1.14 on Friday, reaching $53.62. 3,153,735 shares of the stock were exchanged, compared to its average volume of 3,555,296. The company has a quick ratio of 0.83, a current ratio of 1.36 and a debt-to-equity ratio of 0.59. Flex Ltd. has a twelve month low of $25.11 and a twelve month high of $54.83. The firm has a market capitalization of $20.13 billion, a price-to-earnings ratio of 23.52, a PEG ratio of 1.82 and a beta of 1.12. The business has a 50 day moving average price of $50.97 and a two-hundred day moving average price of $42.16.

Flex (NASDAQ:FLEX - Get Free Report) last announced its quarterly earnings results on Thursday, July 24th. The technology company reported $0.72 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.63 by $0.09. Flex had a return on equity of 20.25% and a net margin of 3.42%.The company had revenue of $6.58 billion during the quarter, compared to the consensus estimate of $6.27 billion. During the same period in the previous year, the company posted $0.51 earnings per share. Flex's revenue for the quarter was up 4.1% on a year-over-year basis. Flex has set its FY 2026 guidance at 2.860-3.060 EPS. Q2 2026 guidance at 0.700-0.780 EPS. Analysts anticipate that Flex Ltd. will post 2.33 earnings per share for the current fiscal year.

About Flex

Flex Ltd. provides technology, supply chain, and manufacturing solutions in Asia, the Americas, and Europe. It operates through three segments: Flex Agility Solutions (FAS), Flex Reliability Solutions (FRS), and Nextracker. The FAS segment offers flexible supply and manufacturing system comprising communications, enterprise and cloud solution, which includes data, edge, and communications infrastructure; lifestyle solution including appliances, consumer packaging, floorcare, micro mobility, and audio; and consumer devices, such as mobile and high velocity consumer devices.