Flextronics (FLEX) PT Raised to $17 at RBC Capital; Following 3Q Report

RBC Capital raised its price target on Flextronics (NASDAQ: FLEX) to $17.00 (from $16.00) while maintaining a Outperform rating following the company's 3Q report. FLEX reported 3Q results of $6.11B/ $0.34, which was inline with Street expectations of $6.21B/ $0.33.

Analyst Amit Daryanani commented, "FLEX reported Dec-qtr results and guided Marqtr largely inline with expectations. The notable standout was strong FCF generation ($363M or $0.66/share) in Dec-qtr that highlights the strong FCF generation of this model as investors await benefits of multiple new ramps – Nike, Bose, and other non-tech (consumer and healthcare) programs. We continue to expect in CY17 FLEX will see modest revenue growth (tech flat to down, but non-tech up double digits) and steady margin, EPS and FCF growth. We expect Nike program at volume to be $1B + revenues (2 years away) and generate op-margins of 8-10%. Maintain OP but modestly raising our estimates and adjusting our target to $17 (prior $16)."

You May Also Be Interested In

• Take-Two Interactive (TTWO) PT Raised to $368 at BofA Securities
• Outdoor Holding (POWW) PT Raised to $2.75 at Roth/MKM, reiterates Top Pick
• Delta Air Lines (DAL) PT Raised to $107 at UBS Ahead of Q2 Results