Flex (NASDAQ:FLEX) Shares Gap Down – Here’s What Happened

Flex Ltd. (NASDAQ:FLEX)’s share price gapped down before the market opened on Wednesday . The stock had previously closed at $65.99, but opened at $62.90. Flex shares last traded at $57.7190, with a volume of 2,301,109 shares traded.

Key Headlines Impacting Flex

Here are the key news stories impacting Flex this week:

• Positive Sentiment: Company beat estimates on both EPS and revenue, with adjusted operating margin improving to ~6.5% — evidence of stronger profitability. Zacks: FLEX Tops Q3 Estimates
• Positive Sentiment: Management raised guidance: FY26 EPS to $3.21–3.27 (vs. consensus ~3.02) and Q4 EPS to $0.83–0.89 (vs. ~0.82 consensus), and lifted sales/adjusted operating margin outlook. Press Release: FLEX Q3 Results & Guidance
• Positive Sentiment: Company reported record quarterly sales driven by AI and data?center demand — a higher?growth end market for Flex’s contract manufacturing services. Benzinga: Record Quarter Fueled by AI
• Neutral Sentiment: Company published the earnings slide deck and call transcript (useful for detail on customer concentration, backlog and segment dynamics). Earnings Call Transcript
• Neutral Sentiment: Trading volume was well above average during the selloff, indicating broad repositioning by investors (higher liquidity but larger move). Company Slide Deck
• Negative Sentiment: Despite the beat and raised outlook, investors reacted negatively to “not enough growth” — management’s commentary pointed to slowing sequential revenue growth and heavy reliance on AI/data?center customers, raising concentration risk. Seeking Alpha: Not Enough Growth
• Negative Sentiment: Market concern that future growth may be lumpy and tied to a few large AI/data?center customers—this increases perceived execution and revenue risk even as margins improve. Earnings Presentation

Analyst Upgrades and Downgrades

FLEX has been the subject of several recent research reports. Raymond James Financial set a $80.00 price objective on Flex and gave the stock an “outperform” rating in a report on Wednesday. KeyCorp upped their price objective on shares of Flex from $70.00 to $75.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. Barclays dropped their price target on shares of Flex from $78.00 to $71.00 and set an “overweight” rating for the company in a research report on Wednesday, January 14th. Jefferies Financial Group reaffirmed a “hold” rating and set a $23.00 price objective on shares of Flex in a report on Wednesday, November 12th. Finally, Bank of America upped their price target on Flex from $58.00 to $65.00 and gave the company a “buy” rating in a research note on Wednesday, October 8th. Eight research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $66.67.

Flex Price Performance

The stock has a market cap of $21.74 billion, a price-to-earnings ratio of 26.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.24. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.83 and a current ratio of 1.33. The company has a 50-day simple moving average of $63.55 and a two-hundred day simple moving average of $59.08.

Flex (NASDAQ:FLEX) last posted its quarterly earnings results on Wednesday, February 4th. The technology company reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.79 by $0.08. The firm had revenue of $7.06 billion for the quarter, compared to analyst estimates of $6.84 billion. Flex had a net margin of 3.33% and a return on equity of 20.86%. The company’s quarterly revenue was up 7.7% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.77 earnings per share. Flex has set its FY 2026 guidance at 3.210-3.270 EPS and its Q4 2026 guidance at 0.830-0.890 EPS. As a group, equities research analysts forecast that Flex Ltd. will post 2.33 EPS for the current year.

Insiders Place Their Bets

In other Flex news, CFO Kevin Krumm sold 21,406 shares of the firm’s stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $61.23, for a total transaction of $1,310,689.38. Following the completion of the sale, the chief financial officer owned 143,803 shares of the company’s stock, valued at $8,805,057.69. This trade represents a 12.96% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Michael E. Hurlston sold 10,000 shares of the firm’s stock in a transaction that occurred on Wednesday, November 26th. The stock was sold at an average price of $58.00, for a total transaction of $580,000.00. Following the sale, the director owned 58,561 shares of the company’s stock, valued at $3,396,538. This trade represents a 14.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 86,406 shares of company stock worth $5,195,639 in the last quarter. Company insiders own 0.57% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in FLEX. MTM Investment Management LLC bought a new position in Flex during the second quarter worth about $26,000. Concord Wealth Partners acquired a new position in shares of Flex during the 2nd quarter worth approximately $28,000. USA Financial Formulas acquired a new stake in shares of Flex in the fourth quarter valued at approximately $28,000. CENTRAL TRUST Co boosted its stake in shares of Flex by 238.3% in the third quarter. CENTRAL TRUST Co now owns 504 shares of the technology company’s stock valued at $29,000 after buying an additional 355 shares during the period. Finally, CNB Bank acquired a new stake in Flex during the second quarter worth approximately $30,000. Institutional investors own 94.30% of the company’s stock.

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.