Flex Q1 sales beat estimates; outlook raised

Overview

• Global manufacturing solutions firm's fiscal Q1 net sales rose 21% yr/yr, beating analyst expectations

• Adjusted EPS for fiscal Q1 reached $1.00, beating analyst expectations

• Company raised full-year revenue and adjusted EPS guidance

Outlook

• Flex sees Q2 net sales between $7.95 bln and $8.25 bln

• Company raises FY2027 net sales guidance to $33.7 bln-$35.2 bln

• Flex expects FY2027 adjusted EPS of $4.42-$4.74

Result Drivers

• AI INFRASTRUCTURE EXPANSION - Co said results reflect expanded role in AI infrastructure and strengthening position in growth markets

Company press release: ID:nPn9G33R6a

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electronic equipment & parts peer group is "buy"

• Wall Street's median 12-month price target for Flex Ltd is $168.32, about 48.6% above its July 28 closing price of $113.28

• The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 18 three months ago

Reuters Recommended Reads

• July 27 - Sanmina raises fiscal 2026 outlook after Q3 beat

• July 27 - Canada's Celestica Q2 results beat estimates on strong data center, cloud demand

• July 27 - Applied Digital beats quarterly revenue estimates on surging AI infrastructure demand

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)