Flex (NASDAQ:FLEX) Downgraded by Wall Street Zen to "Buy"

Key Points

• Flex has been downgraded from a "strong-buy" to a "buy" rating by Wall Street Zen, with other analysts also showing mixed ratings on the stock.
• The company's stock has a current consensus rating of "Moderate Buy" with a target price of $53.71, reflecting optimism despite recent downgrades.
• Flex reported a strong quarterly earnings beat, posting $0.72 EPS, exceeding analysts' expectations and demonstrating a year-over-year revenue increase of 4.1%.

Flex (NASDAQ:FLEX - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a report issued on Saturday.

Other equities research analysts have also recently issued reports about the stock. Barclays lifted their price objective on shares of Flex from $50.00 to $60.00 and gave the company an "overweight" rating in a research note on Friday, July 25th. Bank of America lifted their price objective on shares of Flex from $50.00 to $58.00 and gave the company a "buy" rating in a research note on Thursday, July 10th. JPMorgan Chase & Co. lifted their price objective on shares of Flex from $44.00 to $60.00 and gave the company an "overweight" rating in a research note on Thursday, July 17th. KGI Securities cut shares of Flex from a "strong-buy" rating to a "hold" rating in a research note on Friday, July 25th. Finally, KeyCorp boosted their price target on shares of Flex from $50.00 to $60.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 2nd. Seven analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $53.71.

Flex Stock Up 3.0%

Shares of FLEX stock traded up $1.67 during mid-day trading on Friday, reaching $58.13. 3,164,680 shares of the company were exchanged, compared to its average volume of 3,200,626. Flex has a fifty-two week low of $25.11 and a fifty-two week high of $58.60. The company has a debt-to-equity ratio of 0.59, a quick ratio of 0.83 and a current ratio of 1.36. The company has a market capitalization of $21.82 billion, a P/E ratio of 25.50, a P/E/G ratio of 1.92 and a beta of 1.13. The business's 50 day simple moving average is $52.66 and its 200 day simple moving average is $43.68.

Flex (NASDAQ:FLEX - Get Free Report) last released its quarterly earnings data on Thursday, July 24th. The technology company reported $0.72 EPS for the quarter, topping analysts' consensus estimates of $0.63 by $0.09. Flex had a net margin of 3.42% and a return on equity of 20.25%. The firm had revenue of $6.58 billion during the quarter, compared to the consensus estimate of $6.27 billion. During the same quarter in the previous year, the company posted $0.51 earnings per share. The firm's revenue 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. Research analysts predict that Flex will post 2.33 earnings per share for the current year.

Insider Activity at Flex

In related news, COO Kwang Hooi Tan sold 12,500 shares of the business's stock in a transaction that occurred on Monday, July 28th. The stock was sold at an average price of $50.25, for a total value of $628,125.00. Following the completion of the sale, the chief operating officer owned 263,636 shares of the company's stock, valued at approximately $13,247,709. The trade was a 4.53% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director William D. Watkins sold 10,000 shares of the business's stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $51.79, for a total value of $517,900.00. Following the completion of the sale, the director owned 111,355 shares of the company's stock, valued at approximately $5,767,075.45. This trade represents a 8.24% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 90,020 shares of company stock worth $4,923,667. Company insiders own 0.57% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of FLEX. BayBridge Capital Group LLC raised its stake in Flex by 2.1% during the second quarter. BayBridge Capital Group LLC now owns 11,400 shares of the technology company's stock worth $569,000 after acquiring an additional 235 shares in the last quarter. Pinnacle Bancorp Inc. raised its stake in Flex by 39.4% during the second quarter. Pinnacle Bancorp Inc. now owns 864 shares of the technology company's stock worth $43,000 after acquiring an additional 244 shares in the last quarter. Archer Investment Corp raised its stake in Flex by 8.9% during the second quarter. Archer Investment Corp now owns 3,050 shares of the technology company's stock worth $152,000 after acquiring an additional 250 shares in the last quarter. Benjamin Edwards Inc. raised its stake in Flex by 3.3% during the second quarter. Benjamin Edwards Inc. now owns 8,063 shares of the technology company's stock worth $403,000 after acquiring an additional 257 shares in the last quarter. Finally, Farther Finance Advisors LLC raised its stake in Flex by 1.8% during the second quarter. Farther Finance Advisors LLC now owns 15,206 shares of the technology company's stock worth $759,000 after acquiring an additional 266 shares in the last quarter. 94.30% of the stock is currently owned by institutional investors and hedge funds.

Flex Company Profile

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.