| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 35 | 44.7x | 17.8x | Bottom tier | |
Growth | 74 | 12.2% | 7.1% | Top tier | |
Quality | 53 | 11.5% | 4.5% | Around median | |
Safety | 69 | 0.5x | 2.6x | Top tier | |
Capital Return | 63 | — | 2.12% | Around median | |
Momentum | 79 | 114.4% | 2.9% | Top tier | |
Sentiment | 39 | 7 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Flex Ltd. (FLEX) operates a global platform for advanced manufacturing, systems design, and integration, generating revenue across three segments. Regulated Manufacturing Solutions provides services to regulated and industrial markets, while Integrated Technology Solutions serves communications, advanced networking, and technology markets, and Cloud and Power Infrastructure combines computing, power, cooling, and electrical infrastructure for data centers. Flex intends to spin off the Cloud and Power Infrastructure segment into an independent entity during the first quarter of calendar year 2027, while the remaining company will retain contract manufacturing activities in advanced networking, power infrastructure, and other markets.
Revenue for quarter 1 of fiscal year 2027 reached approximately $7.9 billion, up 21% year over year, while gross profit according to EDGAR data was approximately $747 million, net income was $285 million, and GAAP earnings per share were $0.76. On an adjusted basis, Flex recorded gross profit of $761 million and a gross margin of 9.6%, up 50 basis points, as well as operating profit of $534 million and an operating margin of 6.7%, up 70 basis points, while adjusted earnings per share rose 39% to a record $1.00.
Revenue for quarter 1 of fiscal year 2027 was distributed among $2.7 billion for Regulated Manufacturing Solutions, up 12% with an adjusted operating margin of 6.6%; $3.1 billion for Integrated Technology Solutions, up 20% with a margin of 5.2%; and $2.2 billion for Cloud and Power Infrastructure, up 35% with a margin of 9.7%. This mix shows that the strongest momentum came from cloud and power infrastructure, although communications and industrial activities also contributed to growth and margin expansion.
The average analyst target is $147.5, within a wide range of $95 to $180, with a consensus rating of “Buy”; the average is approximately 11.6% below the 52-week range high of $166.86, while the highest target exceeds that high. No specific price-to-earnings ratio is available in the provided data, and the breadth of the target range relative to the 52-week range of $51.76 to $166.86 reflects substantial divergence in estimates of the value of artificial intelligence infrastructure growth and the costs of the separation and capital expansion.
Figures in the text are as of 2026-08-27; the live price is shown at the top of the page.
The primary driver is Cloud and Power Infrastructure, which grew 35% to $2.2 billion in quarter 1 of fiscal year 2027, with management targeting growth of between 65% and 75% for the full year. More than 90% of this segment's business for the following three quarters was booked at the time of the July 29, 2026 call. This is supported by growth in advanced networking and power and cooling solutions associated with the expansion of artificial intelligence data centers.
Revenue reached $7.9 billion, up 21% year over year, while net income according to EDGAR data was approximately $285 million and GAAP earnings per share were $0.76. On an adjusted basis, gross margin reached 9.6% and operating margin reached 6.7%. Adjusted earnings per share rose 39% to $1.00, while free cash flow was $41 million.
The company expects revenue of between $33.7 billion and $35.2 billion, equivalent to growth of 23% at the midpoint. It expects an adjusted operating margin of between 7.7% and 8.2% and adjusted earnings per share of between $4.42 and $4.74, representing growth of 39% at the midpoint. It also set capital expenditures at between $1.5 billion and $1.6 billion and expects approximately 40% earnings-to-free-cash-flow conversion after accounting for separation costs.
Automated analysis for informational purposes only — not investment advice.
Flex plans to complete the segment's separation in a tax-free transaction during the first quarter of calendar year 2027. The independent entity will include power, cooling, digital, and electrical infrastructure capabilities, while Flex will remain a global manufacturing platform serving sectors including healthcare, robotics, automation, and advanced networking. The announced fiscal year 2027 outlook does not include the impact of the separation, so it should not be treated as separate guidance for the two entities after the transaction is completed.
JetCool gave the company capabilities in cold plates, and Flex launched a new liquid-cooling solution and is qualifying coolant distribution units with customers. The company is expanding manufacturing of the Cerebras CS-3 system in the United States under a relationship that includes cooling and discussions of next-generation power solutions. Flex also announced with NVIDIA the development of a modular platform combining computing, power, and cooling capabilities in a deployable architecture.
The Cloud and Power Infrastructure growth target of between 65% and 75% in fiscal year 2027 depends on program acceleration and the installation of substantial production capacity during the second half. Free cash flow was $41 million in quarter 1 of fiscal year 2027, alongside net capital expenditures of $235 million and cash separation costs of $24 million. The earnings-to-free-cash-flow conversion outlook also declined to approximately 40% after accounting for separation costs, compared with 60% in the previous outlook, which excluded those costs.
