WallStSmart

Flex Ltd (FLEX)vsMethode Electronics Inc (MEI)

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Smart Verdict

WallStSmart Research — data-driven comparison

Flex Ltd generates 2703% more annual revenue ($29.27B vs $1.04B). 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

52

out of 100

Grade: C-

Growth: 3.3Profit: 2.5Value: 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 (+57.7%)

Margin of Safety

+57.7%

Fair Value

$20.99

Current Price

$14.88

$6.11 discount

UndervaluedFair: $20.99Overvalued

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

MEI2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.788/10

Growing faster than its price suggests

Areas to Watch

FLEX4 concerns · Avg: 3.3/10
P/E RatioValuation
38.7x4/10

Premium valuation, high expectations priced in

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

MEI4 concerns · Avg: 2.3/10
Market CapQuality
$518.99M3/10

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 of 10.4% 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 P/E Ratio, Profit Margin, Operating Margin. 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 profiles as a growth stock while MEI is a turnaround play — different risk/reward profiles.

FLEX carries more volatility with a beta of 1.66 — expect wider price swings.

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

FLEX generates stronger free cash flow (40M), providing more financial flexibility.

Bottom Line

FLEX scores higher overall (65/100 vs 52/100) and 20.6% revenue growth. MEI offers better value entry with a 57.7% 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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