WallStSmart

Flex Ltd (FLEX)vsMethode Electronics Inc (MEI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Flex Ltd generates 2772% more annual revenue ($29.27B vs $1.02B). FLEX leads profitability with a 3.3% profit margin vs -3.5%. MEI appears more attractively valued with a PEG of 0.78. FLEX earns a higher WallStSmart Score of 65/100 (C+).

FLEX

Buy

65

out of 100

Grade: C+

Growth: 6.7Profit: 5.5Value: 5.7Quality: 5.5
Piotroski: 4/9Altman Z: 2.02

MEI

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 3.5Value: 7.7Quality: 7.0
Piotroski: 4/9Altman Z: 2.29
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for FLEX.

MEIUndervalued (+57.3%)

Margin of Safety

+57.3%

Fair Value

$20.76

Current Price

$14.65

$6.11 discount

UndervaluedFair: $20.76Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FLEX3 strengths · Avg: 8.7/10
EPS GrowthGrowth
52.0%10/10

Earnings expanding 52.0% YoY

PEG RatioValuation
0.948/10

Growing faster than its price suggests

Revenue GrowthGrowth
20.6%8/10

Revenue surging 20.6% year-over-year

MEI3 strengths · Avg: 8.7/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.788/10

Growing faster than its price suggests

Revenue GrowthGrowth
15.9%8/10

15.9% revenue growth

Areas to Watch

FLEX4 concerns · Avg: 2.8/10
Profit MarginProfitability
3.3%3/10

3.3% margin — thin

Operating MarginProfitability
5.0%3/10

Operating margin of 5.0%

Debt/EquityHealth
1.083/10

Elevated debt levels

P/E RatioValuation
44.3x2/10

Premium valuation, high expectations priced in

MEI4 concerns · Avg: 2.3/10
Market CapQuality
$650.27M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-5.5%2/10

ROE of -5.5% — below average capital efficiency

EPS GrowthGrowth
-96.6%2/10

Earnings declined 96.6%

Free Cash FlowQuality
$-10.90M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : FLEX

The strongest argument for FLEX centers on EPS Growth, PEG Ratio, Revenue Growth. Revenue growth of 20.6% demonstrates continued momentum. PEG of 0.94 suggests the stock is reasonably priced for its growth.

Bull Case : MEI

The strongest argument for MEI centers on Price/Book, PEG Ratio, Revenue Growth. Revenue growth of 15.9% demonstrates continued momentum. PEG of 0.78 suggests the stock is reasonably priced for its growth.

Bear Case : FLEX

The primary concerns for FLEX are Profit Margin, Operating Margin, Debt/Equity. A P/E of 44.3x leaves little room for execution misses. Thin 3.3% margins leave little buffer for downturns.

Bear Case : MEI

The primary concerns for MEI are Market Cap, Return on Equity, EPS Growth.

Key Dynamics to Monitor

FLEX carries more volatility with a beta of 1.65 — expect wider price swings.

FLEX is growing revenue faster at 20.6% — sustainability is the question.

FLEX generates stronger free cash flow (283M), providing more financial flexibility.

Monitor ELECTRONIC COMPONENTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

FLEX scores higher overall (65/100 vs 54/100) and 20.6% revenue growth. MEI offers better value entry with a 57.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Flex Ltd

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Flex Ltd. provides design, engineering, manufacturing and supply chain services and solutions to OEMs in Asia, the Americas and Europe. The company is headquartered in Singapore.

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Methode Electronics Inc

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Methode Electronics, Inc. designs, manufactures and markets component devices and subsystems globally. The company is headquartered in Chicago, Illinois.

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