Flex (NASDAQ:FLEX) Trading Down 6.4% – What’s Next?

Flex Ltd. (NASDAQ:FLEX)’s share price was down 6.4% during mid-day trading on Monday . The company traded as low as $109.41 and last traded at $110.9810. 1,447,522 shares changed hands during trading, a decline of 72% from the average session volume of 5,102,961 shares. The stock had previously closed at $118.51.

Analyst Ratings Changes

Several analysts have recently weighed in on FLEX shares. Weiss Ratings reiterated a “buy (b-)” rating on shares of Flex in a research note on Friday, July 17th. Freedom Capital upgraded shares of Flex from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 16th. JPMorgan Chase & Co. lifted their price target on shares of Flex from $75.00 to $84.00 and gave the company an “overweight” rating in a research note on Thursday, April 16th. The Goldman Sachs Group upped their price objective on shares of Flex from $84.00 to $177.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Finally, KeyCorp raised their target price on Flex from $75.00 to $180.00 and gave the company an “overweight” rating in a research note on Thursday, May 7th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $115.70.

Flex Price Performance

The stock has a market capitalization of $40.41 billion, a P/E ratio of 47.29, a price-to-earnings-growth ratio of 0.62 and a beta of 1.64. The business’s 50 day simple moving average is $141.37 and its two-hundred day simple moving average is $98.22. The company has a quick ratio of 0.87, a current ratio of 1.36 and a debt-to-equity ratio of 0.73.

Flex (NASDAQ:FLEX) last posted its earnings results on Tuesday, March 31st. The technology company reported $0.93 earnings per share for the quarter. Flex had a net margin of 3.15% and a return on equity of 22.12%. The company had revenue of $7.48 billion for the quarter. As a group, sell-side analysts forecast that Flex Ltd. will post 4.18 earnings per share for the current fiscal year.

Insider Transactions at Flex

In other news, COO Kwang Hooi Tan sold 8,981 shares of the firm’s stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $145.19, for a total value of $1,303,951.39. Following the transaction, the chief operating officer owned 248,546 shares in the company, valued at $36,086,393.74. This trade represents a 3.49% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Daniel Wendler sold 1,311 shares of the company’s stock in a transaction on Thursday, June 18th. The stock was sold at an average price of $145.20, for a total value of $190,357.20. Following the sale, the chief accounting officer owned 37,932 shares of the company’s stock, valued at $5,507,726.40. This trade represents a 3.34% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 769,195 shares of company stock valued at $110,116,823. Corporate insiders own 0.62% of the company’s stock.

Institutional Investors Weigh In On Flex

A number of institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its position in shares of Flex by 196.1% during the 4th quarter. Vanguard Group Inc. now owns 38,746,330 shares of the technology company’s stock worth $2,341,053,000 after buying an additional 25,662,586 shares in the last quarter. State Street Corp increased its position in shares of Flex by 17.8% during the fourth quarter. State Street Corp now owns 14,055,533 shares of the technology company’s stock valued at $849,235,000 after acquiring an additional 2,126,440 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Flex by 2.4% during the fourth quarter. Geode Capital Management LLC now owns 7,605,802 shares of the technology company’s stock valued at $459,829,000 after acquiring an additional 181,266 shares during the last quarter. Norges Bank bought a new stake in Flex during the fourth quarter worth $319,756,000. Finally, Polar Capital Holdings Plc boosted its position in Flex by 141.8% in the fourth quarter. Polar Capital Holdings Plc now owns 3,693,141 shares of the technology company’s stock worth $223,140,000 after purchasing an additional 2,165,780 shares during the last quarter. 94.30% of the stock is owned by institutional investors.

About Flex

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.