Intrinsic Edge Capital Management LLC Takes $5.89 Million Position in Flex Ltd. $FLEX

Key Points

• Intrinsic Edge Capital Management initiated a $5.89 million position in Flex, purchasing 90,000 shares during the first quarter. Institutional investors collectively own 94.3% of the company.
• Flex exceeded quarterly expectations with $1.00 in EPS and $7.93 billion in revenue, up 20.6% year over year. Management also issued fiscal 2027 revenue guidance of $33.7 billion to $35.2 billion and EPS guidance of $4.42 to $4.74.
• Analysts maintain a “Moderate Buy” consensus with a $124.70 price target, while insiders sold 769,195 shares worth approximately $110.1 million over the past quarter, including sales by the CEO and an executive vice president.

Intrinsic Edge Capital Management LLC bought a new position in Flex Ltd. (NASDAQ:FLEX - Free Report) in the first quarter, according to the company in its most recent 13F filing with the SEC. The firm bought 90,000 shares of the technology company's stock, valued at approximately $5,891,000.

Several other large investors have also added to or reduced their stakes in FLEX. Vanguard Group Inc. increased its holdings in shares of Flex by 196.1% in the fourth quarter. Vanguard Group Inc. now owns 38,746,330 shares of the technology company's stock valued at $2,341,053,000 after purchasing an additional 25,662,586 shares during the period. Norges Bank purchased a new stake in Flex in the fourth quarter valued at approximately $319,756,000. State Street Corp increased its holdings in Flex by 38.0% in the 2nd quarter. State Street Corp now owns 12,259,554 shares of the technology company's stock worth $611,997,000 after buying an additional 3,377,669 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in Flex by 694,916.3% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,641,062 shares of the technology company's stock worth $159,573,000 after buying an additional 2,640,682 shares during the last quarter. Finally, Polar Capital Holdings Plc boosted its holdings in shares of Flex by 141.8% in the 4th quarter. Polar Capital Holdings Plc now owns 3,693,141 shares of the technology company's stock valued at $223,140,000 after acquiring an additional 2,165,780 shares during the last quarter. Hedge funds and other institutional investors own 94.30% of the company's stock.

Flex Price Performance

Shares of Flex stock opened at $103.02 on Thursday. The firm has a market cap of $37.74 billion, a PE ratio of 44.21, a P/E/G ratio of 0.59 and a beta of 1.64. Flex Ltd. has a twelve month low of $47.83 and a twelve month high of $166.86. The company has a quick ratio of 0.87, a current ratio of 1.36 and a debt-to-equity ratio of 0.73. The business has a 50-day moving average price of $140.27 and a 200 day moving average price of $99.27.

Flex (NASDAQ:FLEX - Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The technology company reported $1.00 EPS for the quarter, beating the consensus estimate of $0.90 by $0.10. The company had revenue of $7.93 billion for the quarter, compared to analyst estimates of $7.53 billion. Flex had a return on equity of 22.12% and a net margin of 3.15%.Flex's quarterly revenue was up 20.6% compared to the same quarter last year. During the same period last year, the company earned $0.72 earnings per share. Flex has set its Q2 2027 guidance at 1.000-1.070 EPS and its FY 2027 guidance at 4.420-4.740 EPS. Sell-side analysts predict that Flex Ltd. will post 4.18 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Flex news, EVP David Scott Offer sold 33,000 shares of the stock in a transaction on Friday, June 5th. The shares were sold at an average price of $153.91, for a total transaction of $5,079,030.00. Following the transaction, the executive vice president directly owned 73,471 shares of the company's stock, valued at $11,307,921.61. This trade represents a 30.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Revathi Advaithi sold 197,879 shares of Flex stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $144.32, for a total transaction of $28,557,897.28. Following the completion of the sale, the chief executive officer owned 623,466 shares in the company, valued at approximately $89,978,613.12. This trade represents a 24.09% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 769,195 shares of company stock worth $110,116,823. Corporate insiders own 0.62% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on FLEX. Raymond James Financial set a $170.00 target price on shares of Flex and gave the company an "outperform" rating in a research report on Wednesday. Robert W. Baird set a $165.00 price objective on Flex in a report on Thursday, May 7th. JPMorgan Chase & Co. raised their target price on Flex from $75.00 to $84.00 and gave the stock an "overweight" rating in a report on Thursday, April 16th. Freedom Capital upgraded Flex from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 16th. Finally, Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Flex in a report on Friday, July 17th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat.com, Flex has a consensus rating of "Moderate Buy" and a consensus price target of $124.70.

Trending Headlines about Flex

Here are the key news stories impacting Flex this week:

• Positive Sentiment: Flex reported fiscal Q1 2027 adjusted earnings of $1.00 per share, above the roughly $0.90-$0.93 analyst consensus, while revenue reached $7.93 billion versus expectations near $7.53 billion. Revenue increased 20.6% year over year, and adjusted operating margin reached 6.7%. Flex fiscal Q1 results
• Positive Sentiment: Management raised fiscal 2027 revenue guidance to $33.7 billion-$35.2 billion, above the $33.3 billion consensus, and set second-quarter revenue guidance of $8.0 billion-$8.3 billion versus expectations of $7.8 billion. Q2 EPS guidance of $1.00-$1.07 also exceeds the $0.98 consensus. Flex earnings beat and guidance
• Positive Sentiment: Growth accelerated in Cloud and Power Infrastructure, supporting the planned separation of that business into an independently traded company, SpinCo, expected in the first calendar quarter of 2027. Flex SpinCo leadership announcement
• Neutral Sentiment: Flex announced leadership teams for both the remaining Flex business and SpinCo, providing additional detail on preparations for the planned separation but no immediate financial impact. Flex Q1 2027 earnings call transcript
• Negative Sentiment: The stock’s decline, on volume well above average, indicates that the strong results and outlook may already have been priced in. With shares trading at a relatively elevated earnings multiple, investors may be taking profits because the full-year EPS guidance range of $4.42-$4.74 only modestly exceeds or surrounds current consensus expectations.

Flex Profile

Flex NASDAQ: FLEX, formerly known as Flextronics, is a global provider of electronics manufacturing services (EMS) and original design manufacturing (ODM). The company offers end-to-end product lifecycle solutions including product design and engineering, prototyping, volume manufacturing, testing, and aftermarket services. Its offerings extend into supply chain management, component sourcing, logistics and distribution, and advanced manufacturing capabilities such as automation and digital manufacturing to support customers from concept through end-of-life.

Flex serves a broad range of industries, including automotive, healthcare, industrial, communications, and consumer electronics, working with original equipment manufacturers (OEMs) and technology companies to accelerate time to market and manage complex supply chains.

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