Does FLEX LTD. have an economic moat?

Based on its FY2026 SEC filings, the Moat Index scores FLEX LTD. (FLEX) 46.5 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 16, returns on capital 73, balance-sheet safety 52, capital discipline 48.

Is FLEX stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $12.15 per share versus a recent price of $119.25 — 881% above value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has FLEX's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 46.5 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

FLEX LTD.

FLEX · Technology · $43.6B mkt cap · FY2026 filings · Shallow moat ·

Doesn't clear the bar

Shallow moat

The four filters

Pricing power16

Median gross margin 7.0% over 10y, stable.

Returns on capital73

Median ROIC 14.9%, above the 9% hurdle in 86% of years.

Balance-sheet safety52

Net debt/EBITDA 1.0x, interest coverage 6x.

Capital discipline48

Owner earnings -2.8%/yr, share count shrinking (buybacks).

Margin of safety

Above valueOn sale

881% above value

Owner earnings (normalized): $400.0M
Est. intrinsic value / share: $12.15
Recent price: $119.25
Discount to value: 881% above value

Conservative model: 9% discount rate, 0% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

20 years of fundamentals

The business, in plain English

FLEX LTD. booked $27.9B of revenue in FY2026 in the Technology sector and kept 9.2% of it as gross profit — a thin-margin business by that measure. After every other cost, 3.2% of each revenue dollar reached the bottom line.

Across the filed record, revenue held roughly flat, from $27.6B (FY2008) to $27.9B (FY2026) — about 0.1% a year compounded over 18 years.

It earned 16.2% on invested capital in FY2026, with a median of 14.9% across 7 filed years. The Returns on Capital filter above scores it 73/100.

The balance sheet carried $3.8B of total debt in FY2026 against $247.0M of owner earnings — roughly 15.2 years of owner earnings to retire it all. Balance-Sheet Safety scores it 52/100.

The share count fell 54.8% between FY2009 and FY2026 — management has been retiring shares, which concentrates each remaining owner's claim. Capital Discipline scores it 48/100.

Put together: Returns on Capital is the strongest of the four filters (73/100) and Pricing Power the weakest (16/100), which is how FLEX lands at 47/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$27.9B FY2026

Gross marginRevenue kept after cost of goods9.2% FY2026

Return on invested capitalOperating profit on the capital employed16.2% FY2026

Owner earningsCash an owner could take out$247.0M FY2026

Gaps in a line mean that item isn’t in FLEX’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale46.5 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — FLEX has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Technology context

#222 of 532 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

#220CLVT CLARIVATE PLC46.8 out of 100, Shallow moatShallow moat
#221DGII DIGI INTERNATIONAL INC.46.5 out of 100, Shallow moatShallow moat
#223EXTR EXTREME NETWORKS, INC.46.3 out of 100, Shallow moatShallow moat
#224BLIN Bridgeline Digital, Inc.46.1 out of 100, Shallow moatShallow moat

Compare FLEX with its nearest peers →All Technology companies on the Index →

Common questions about FLEX

Does FLEX LTD. have an economic moat?: Based on its FY2026 SEC filings, the Moat Index scores FLEX LTD. (FLEX) 46.5 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 16, returns on capital 73, balance-sheet safety 52, capital discipline 48.
Is FLEX stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $12.15 per share versus a recent price of $119.25 — 881% above value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has FLEX's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 46.5 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell FLEX. See the disclaimer.