KeyBanc Raises FLEX Price Target, Keeps Overweight Rating

Flex Ltd. (NASDAQ:FLEX) is one of the 10 Best Tech Stocks Under $50 To Invest In. On July 2, KeyBanc increased its price target for Flex Ltd. (NASDAQ:FLEX) to $60 from $50 while keeping an “Overweight” rating.

The investment firm highlighted Flex Ltd.’s (NASDAQ:FLEX) differentiated strategy in the data center market. The company reaches more of the product-and-service total addressable market through its wide range of power products built on proprietary intellectual property.

KeyBanc Raises FLEX Price Target, Keeps Overweight Rating

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KeyBanc analysts noted that when compared to its peers, Flex Ltd. (NASDAQ:FLEX) has achieved superior gross margin expansion. However, Flex Ltd. (NASDAQ:FLEX) still trades at a discount, trading at 16.5 times earnings compared to an average of 18.9 times for similar companies involved in data centers and AI.

Flex Ltd. (NASDAQ:FLEX) is a global manufacturing partner that helps companies design and build products. The company offers technology innovation, supply chain, and manufacturing solutions to a wide range of industries and end markets. Flex Ltd. (NASDAQ:FLEX) also designs and manufactures power and compute solutions for the data center market.

While we acknowledge the potential of FLEX as an investment, 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 a 100x upside potential, check out our report about the cheapest AI stock.

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