Here’s Why Wall Street is Bullish on Flex Ltd. (FLEX)

​Flex Ltd. (NASDAQ:FLEX) is one of the High-Flying Tech Stocks to Buy. Wall Street has a positive outlook on the stock. Recently, on January 14, Melissa Fairbanks from Raymond James upgraded the stock from Hold to Buy with a $75 price target. Earlier on January 13, Tim Long from Barclays reiterated a Buy rating on Flex Ltd. (NASDAQ:FLEX) but lowered the price target from $78 to $71.

​Melissa from Raymond James noted that her positive outlook is based on the strong position of Flex in the cloud and AI infrastructure sector. She added that the company has a competitive edge over its competitors due to its differentiated power solutions for hyperscale data centers. She noted that after discussion with the company’s management, she sees strong near-term growth. Melissa expects the company’s cloud/AI revenues to grow at a solid double-digit pace and finds the recent share price pull-back an attractive entry point for investors.

​The analyst at Raymond James also highlighted the power business of Flex Ltd. (NASDAQ:FLEX) offers higher margins than the market average. She noted that as the segment expands within the data centers, the overall profitability will rise roughly 7%.

​That said, Wall Street has a Strong Buy opinion on the stock, with all 12-analysts covering the stock having a Buy rating.

​Flex Ltd. (NASDAQ:FLEX), previously known as Flextronics, is a multinational electronics manufacturing services company. With a global workforce across 30 countries, the company offers design and engineering, supply chain, and advanced manufacturing solutions to diverse industries and end markets like automotive, cloud, communications, consumer devices, data center, healthcare, industrial, and lifestyle.

While we acknowledge the potential of FLEX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than FLEX and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.