Market Cap
US$8.3b
Last Updated
2020/11/29 23:55 UTC
Data Sources
Company Financials +
Executive Summary
Flex Ltd. provides design, engineering, manufacturing, and supply chain services and solutions to original equipment manufacturers in Asia, the Americas, and Europe. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with mediocre balance sheet.
Similar Companies
Share Price & News
How has Flex's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FLEX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: FLEX's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
0.2%
FLEX
3.3%
US Electronic
2.8%
US Market
1 Year Return
39.3%
FLEX
20.1%
US Electronic
20.9%
US Market
Return vs Industry: FLEX exceeded the US Electronic industry which returned 20.1% over the past year.
Return vs Market: FLEX exceeded the US Market which returned 20.9% over the past year.
Shareholder returns
| FLEX | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.2% | 3.3% | 2.8% |
| 30 Day | 16.9% | 17.9% | 11.1% |
| 90 Day | 52.3% | 19.5% | 6.5% |
| 1 Year | 39.3%39.3% | 21.3%20.1% | 23.6%20.9% |
| 3 Year | -8.2%-8.2% | 33.0%29.2% | 47.3%37.6% |
| 5 Year | 46.0%46.0% | 108.7%98.8% | 94.3%72.9% |
Long-Term Price Volatility Vs. Market
How volatile is Flex's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
How Did Flex Ltd.'s (NASDAQ:FLEX) 10% ROE Fare Against The Industry?4 weeks ago | Simply Wall St
Results: Flex Ltd. Exceeded Expectations And The Consensus Has Updated Its Estimates1 month ago | Simply Wall St
At US$14.62, Is Flex Ltd. (NASDAQ:FLEX) Worth Looking At Closely?Valuation
Is Flex undervalued compared to its fair value and its price relative to the market?
17.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FLEX ($16.54) is trading below our estimate of fair value ($19.96)
Significantly Below Fair Value: FLEX is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: FLEX is poor value based on its PE Ratio (25.6x) compared to the US Electronic industry average (25.4x).
PE vs Market: FLEX is poor value based on its PE Ratio (25.6x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: FLEX is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: FLEX is overvalued based on its PB Ratio (2.7x) compared to the US Electronic industry average (2.3x).
Next Steps
Future Growth
How is Flex forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
29.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FLEX's forecast earnings growth (29.1% per year) is above the savings rate (2.2%).
Earnings vs Market: FLEX's earnings (29.1% per year) are forecast to grow faster than the US market (22% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: FLEX's revenue (3.7% per year) is forecast to grow slower than the US market (10.3% per year).
High Growth Revenue: FLEX's revenue (3.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FLEX's Return on Equity is forecast to be high in 3 years time (21.1%)
Next Steps
Past Performance
How has Flex performed over the past 5 years?
-31.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FLEX has a high level of non-cash earnings.
Growing Profit Margin: FLEX became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: FLEX's earnings have declined by 31.3% per year over the past 5 years.
Accelerating Growth: FLEX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: FLEX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (-14.1%).
Return on Equity
High ROE: FLEX's Return on Equity (10.4%) is considered low.
Next Steps
Financial Health
How is Flex's financial position?
Financial Position Analysis
Short Term Liabilities: FLEX's short term assets ($10.5B) exceed its short term liabilities ($7.2B).
Long Term Liabilities: FLEX's short term assets ($10.5B) exceed its long term liabilities ($4.7B).
Debt to Equity History and Analysis
Debt Level: FLEX's debt to equity ratio (122.1%) is considered high.
Reducing Debt: FLEX's debt to equity ratio has increased from 106.9% to 122.1% over the past 5 years.
Debt Coverage: FLEX's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: FLEX's interest payments on its debt are well covered by EBIT (5.7x coverage).
Balance Sheet
Next Steps
Dividend
What is Flex current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate FLEX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate FLEX's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if FLEX's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if FLEX's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of FLEX's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
Revathi Advaithi (52 yo)
1.67yrs
Tenure
US$10,812,931
Compensation
Ms. Revathi Advaithi has been Chief Executive Officer and Director Flex Ltd. since February 11, 2019. Ms. Advaithi has been Independent Director of Uber Technologies, Inc. since July 1, 2020. She served as...
CEO Compensation Analysis
Compensation vs Market: Revathi's total compensation ($USD10.81M) is above average for companies of similar size in the US market ($USD6.89M).
Compensation vs Earnings: Revathi's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.67yrs | US$10.81m | 0.019% $ 1.5m | |
| President of Global Operations & Components | 8.75yrs | US$4.02m | 0.031% $ 2.6m | |
| Senior Advisor to the CEO | 0.17yr | US$4.65m | 0.092% $ 7.6m | |
| President of Reliability Solutions | 9.58yrs | US$3.67m | 0.086% $ 7.1m | |
| Chief Financial Officer | 0.17yr | no data | no data | |
| Senior VP & Chief Accounting Officer | 7.33yrs | no data | 0.0031% $ 257.8k | |
| Chief Technology Officer and Senior Vice President of the Cloud Business Unit | 3.5yrs | no data | no data | |
| Chief Information Officer | 7.58yrs | no data | no data | |
| Vice President of Investor Relations | no data | no data | no data | |
| Executive VP & General Counsel | 4.17yrs | US$5.46m | 0.016% $ 1.3m | |
| Senior Director of Corporate Communications | no data | no data | no data | |
| Chief Human Resources Officer | 1.5yrs | no data | no data |
3.8yrs
Average Tenure
52yo
Average Age
Experienced Management: FLEX's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.67yrs | US$10.81m | 0.019% $ 1.5m | |
| Independent Non-Executive Chairman | 3.42yrs | US$483.30k | 0.046% $ 3.8m | |
| Independent Director | 12.83yrs | US$291.25k | 0.042% $ 3.5m | |
| Independent Director | 11.58yrs | US$338.00k | 0.013% $ 1.1m | |
| Independent Director | 8.67yrs | US$328.15k | 0.036% $ 3.0m | |
| Director | 0.17yr | no data | no data | |
| Independent Director | 8.08yrs | US$338.00k | 0.025% $ 2.0m | |
| Independent Director | 6.83yrs | US$290.00k | 0.022% $ 1.8m | |
| Independent Director | no data | no data | no data | |
| Independent Director | 2.83yrs | US$291.25k | 0.0099% $ 823.1k | |
| Independent Director | 2yrs | US$290.00k | 0.0072% $ 598.5k | |
| Independent Director | 0.42yr | no data | 0.00062% $ 51.4k |
3.4yrs
Average Tenure
60.5yo
Average Age
Experienced Board: FLEX's board of directors are considered experienced (3.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: FLEX insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Flex Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Flex Ltd.
- Ticker: FLEX
- Exchange: NasdaqGS
- Founded: 1990
- Industry: Electronic Manufacturing Services
- Sector: Tech
- Market Cap: US$8.289b
- Shares outstanding: 501.16m
- Website: https://www.flex.com
Number of Employees
Location
- Flex Ltd.
- 2 Changi South Lane
- Singapore
- 486123
- Singapore
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| FLEX | NasdaqGS (Nasdaq Global Select) | Yes | Ordinary Shares | US | USD | Mar 1994 |
| FXI | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Mar 1994 |
| FLEX N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Mar 1994 |
Biography
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 High Reliability So...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/29 23:55 |
| End of Day Share Price | 2020/11/27 00:00 |
| Earnings | 2020/09/25 |
| Annual Earnings | 2020/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.