To The Moon

$Flex Ltd(FLEX)$ 

Why Flex Ltd (NASDAQ: FLEX) Could Rise to $55 in the Year Ahead

Introduction:

Flex stock, currently trading just under $52, is showing early signs of upside potential. Here’s why a move to $55 is both realistic and grounded in analyst sentiment and financial fundamentals.

1. Strong Analyst Backing

• TipRanks sees the 12-month average target at $57.71, reflecting ~17.5% upside; high-end forecasts even reach $75.

• Fintel aligns with this bullish tone, averaging $58.20.

• Moderate but consistent estimates from TradingView and StockAnalysis also push targets above $52.

   

2. Solid Earnings Outlook & Attractive Valuation

• Expected EPS growth of 9% signals healthy company performance.

• At a P/E ratio of 22.77—below the sector and broader market averages—Flex appears undervalued.

• Applying a forward P/E of 22 to projected EPS of $2.54 gives a fair value of ~$55.88.



3. Positive Market Sentiment on the Rise

• Short interest has decreased to 2.39% of float, suggesting fewer bearish bets and rising sentiment.



4. Reasonable, Achievable Catalysts

• Modest earnings beats and improved outlooks in the electronics and manufacturing sectors.

• Gains in demand for supply chain and manufacturing services could enhance margins and revenues.

Conclusion & Outlook:

Flex has both market and sentiment tailwinds that make a rise to $55 plausible—and grounded in current analyst consensus. Investors should watch upcoming earnings, P/E trends, and broader sector momentum for confirmation.