Deswell Industries Inc (DSWL)vsFlex Ltd (FLEX)
DSWL
Deswell Industries Inc
$2.97
-4.19%
TECHNOLOGY · Cap: $48.93M
FLEX
Flex Ltd
$115.30
+3.11%
TECHNOLOGY · Cap: $41.31B
Smart Verdict
WallStSmart Research — data-driven comparison
Flex Ltd generates 47619% more annual revenue ($29.27B vs $61.33M). DSWL leads profitability with a 17.3% profit margin vs 3.3%. DSWL appears more attractively valued with a PEG of 0.89. FLEX earns a higher WallStSmart Score of 65/100 (C+).
DSWL
Buy53
out of 100
Grade: C-
FLEX
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-43.4%
Fair Value
$2.51
Current Price
$2.97
$0.46 premium
Intrinsic value data unavailable for FLEX.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Earnings expanding 52.0% YoY
Growing faster than its price suggests
Revenue surging 20.6% year-over-year
Areas to Watch
Smaller company, higher risk/reward
Operating margin of 0.2%
Weak financial health signals
Revenue declined 13.4%
3.3% margin — thin
Operating margin of 5.0%
Elevated debt levels
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : DSWL
The strongest argument for DSWL centers on P/E Ratio, Price/Book, Altman Z-Score. Profitability is solid with margins at 17.3% and operating margin at 0.2%. PEG of 0.89 suggests the stock is reasonably priced for its growth.
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.
Bear Case : DSWL
The primary concerns for DSWL are Market Cap, Operating Margin, Piotroski F-Score.
Bear Case : FLEX
The primary concerns for FLEX are Profit Margin, Operating Margin, Debt/Equity. A P/E of 42.2x leaves little room for execution misses. Thin 3.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
DSWL profiles as a declining stock while FLEX is a growth play — different risk/reward profiles.
FLEX carries more volatility with a beta of 1.67 — 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.
Bottom Line
FLEX scores higher overall (65/100 vs 53/100) and 20.6% revenue growth. 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.
Deswell Industries Inc
TECHNOLOGY · ELECTRONIC COMPONENTS · China
Deswell Industries, Inc. manufactures and sells injection molded plastic parts and components, electronic products and sub-assemblies, and metal molds and accessory parts to original equipment manufacturers and contractors. The company is headquartered in Macau.
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.
Visit Website →Compare with Other ELECTRONIC COMPONENTS Stocks
Want to dig deeper into these stocks?