Flex Chief Accounting Officer Sold $281K In Company Stock

Revealing a significant insider sell on June 5, Daniel Wendler, Chief Accounting Officer at Flex FLEX, as per the latest SEC filing.

What Happened: Wendler's decision to sell 6,572 shares of Flex was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total value of the sale is $281,793.

In the Thursday's morning session, Flex's shares are currently trading at $42.92, experiencing a up of 0.35%.

All You Need to Know About Flex

Flex Ltd is a contract manufacturing company providing comprehensive electronics design, manufacturing, and product management services to electronics and technology companies. The company's operating segments include Flex Agility Solutions (FAS) and Flex Reliability Solutions (FRS). Flex Agility Solutions segment includes markets such as Communications, Enterprise and Cloud; Lifestyle; and Consumer Devices. Flex Reliability Solutions segment includes markets such as Automotive, Health Solutions, and Industrial.

Financial Milestones: Flex's Journey

Revenue Growth: Flex displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 3.71%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Analyzing Profitability Metrics:

• Gross Margin: The company issues a cost efficiency warning with a low gross margin of 8.8%, indicating potential difficulties in maintaining profitability compared to its peers.

• Earnings per Share (EPS): Flex's EPS reflects a decline, falling below the industry average with a current EPS of 0.587585.

Debt Management: Flex's debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.83, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Valuation Metrics: A Closer Look

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 20.27, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 0.66, the stock presents an attractive valuation, potentially signaling a buying opportunity for investors interested in sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Indicated by a lower-than-industry-average EV/EBITDA ratio of 10.01, the company suggests a potential undervaluation, which might be advantageous for value-focused investors.

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

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The Impact of Insider Transactions on Investments

While insider transactions provide valuable information, they should be part of a broader analysis in making investment decisions.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

A Deep Dive into Insider Transaction Codes

Surveying the realm of stock transactions, investors often give prominence to those unfolding in the open market, systematically detailed in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Flex's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.