Head-To-Head Contrast: Flex (FLEX) versus The Competition

Flex (NASDAQ:FLEX) is one of 376 publicly-traded companies in the “Electronic Equipment, Instruments & Components” industry, but how does it compare to its rivals? We will compare Flex to similar companies based on the strength of its dividends, earnings, analyst recommendations, institutional ownership, valuation, risk and profitability.

Earnings & Valuation

This table compares Flex and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Flex	$27.91 billion	$880.00 million	27.07
Flex Competitors	$4.19 billion	$173.71 million	3.30

Flex has higher revenue and earnings than its rivals. Flex is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Flex and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Flex	3.35%	24.93%	5.63%
Flex Competitors	-143.90%	-24.05%	-6.42%

Institutional and Insider Ownership

94.3% of Flex shares are owned by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are owned by institutional investors. 0.6% of Flex shares are owned by insiders. Comparatively, 16.4% of shares of all “Electronic Equipment, Instruments & Components” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Flex and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flex	0	1	8	2	3.09
Flex Competitors	2060	7639	10472	670	2.47

Flex currently has a consensus target price of $138.88, indicating a potential upside of 85.22%. As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 34.32%. Given Flex’s stronger consensus rating and higher possible upside, research analysts clearly believe Flex is more favorable than its rivals.

Volatility and Risk

Flex has a beta of 1.8, meaning that its share price is 80% more volatile than the S&P 500. Comparatively, Flex’s rivals have a beta of -0.22, meaning that their average share price is 122% less volatile than the S&P 500.

Summary

Flex beats its rivals on 12 of the 13 factors compared.

About Flex

Flex Ltd. is a global manufacturing and supply-chain services company that works with businesses to design, engineer, manufacture and support products. Its services include product development, sourcing, production, logistics and after-market support. The company serves a range of industries, including automotive, healthcare, industrial, lifestyle and communications, as well as cloud and data-center markets. Its work spans products and systems such as medical devices, vehicle components, industrial equipment and technology infrastructure.