On September 18, 2023, Paul Lundstrom, the Chief Financial Officer (CFO) of Flex Ltd (FLEX, Financial), sold 53,517 shares of the company. This move is part of a broader trend of insider selling at Flex Ltd, which we will explore in more detail.
Paul Lundstrom is a seasoned financial executive with extensive experience in the technology industry. As CFO of Flex Ltd, he is responsible for the company's financial strategy and operations. His role includes overseeing financial planning and analysis, accounting and financial reporting, tax, treasury, internal audit, and investor relations.
Flex Ltd is a leading sketch-to-scale solutions company that designs and builds intelligent products for a connected world. With more than 200,000 professionals across 30 countries, the company provides innovative design, engineering, manufacturing, real-time supply chain insight, and logistics services to companies of all sizes in various industries and end-markets.
Over the past year, Lundstrom has sold a total of 213,144 shares and has not made any purchases. This recent sale represents a significant portion of his transactions over the past year.
The insider transaction history for Flex Ltd shows a clear trend of insider selling. Over the past year, there have been 38 insider sells and no insider buys. This could be a signal to investors about the company's future prospects.
On the day of the insider's recent sale, shares of Flex Ltd were trading for $25.72 apiece, giving the company a market cap of $11.52 billion. The price-earnings ratio is 14.93, which is lower than the industry median of 21.91 and lower than the company’s historical median price-earnings ratio.
With a price of $25.72 and a GuruFocus Value of $23.48, Flex Ltd has a price-to-GF-Value ratio of 1.1. This suggests that the stock is fairly valued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
The insider's recent sale, coupled with the broader trend of insider selling at Flex Ltd, could be a signal to investors. However, the stock's current valuation suggests that it is fairly valued. Investors should consider these factors, along with their own research and analysis, when making investment decisions.
