Summary: Flex Ltd. - S&P Global Ratings’ Credit Research

Summary: Flex Ltd.

Summary: Flex Ltd. - S&P Global Ratings’ Credit Research
Summary: Flex Ltd.
Published Jul 12, 2018
10 pages (3451 words) — Published Jul 12, 2018
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

Good market position in global contract manufacturing; Good design, engineering, and supply chain capabilities; Strategic focus on high-growth, high-margin end markets; Increasing risk of trade war between the U.S. and China; Competitive industry landscape; Concentrated customer base; and Declining legacy communications and data center business. Adjusted leverage of 2.9x for fiscal 2018 (ending in March), which we expect to fall to the mid-2x area in 2019; Unadjusted free operating cash flow (FOCF) of $192 million and adjusted FOCF-to-debt of 3.5%; and We expect the company to pursue acquisitions and share buybacks while keeping leverage below 3x. S&P Global Ratings' stable outlook on San Jose, Calif.-headquartered outsourced manufacturing provider Flex Ltd. reflects our expectation that the company's leading market position and

  
Brief Excerpt:

...Business Risk: Satisfactory Financial Risk: Intermediate + Good market position in global contract manufacturing; + Good design, engineering, and supply chain capabilities; + Strategic focus on high-growth, high-margin end markets; + Increasing risk of trade war between the U.S. and China; + Competitive industry landscape; + Concentrated customer base; and + Declining legacy communications and data center business. + Adjusted leverage of 2.9x for fiscal 2018 (ending in March), which we expect to fall to the mid-2x area in 2019; + Unadjusted free operating cash flow (FOCF) of $192 million and adjusted FOCF-to-debt of 3.5%; and + We expect the company to pursue acquisitions and share buybacks while keeping leverage below 3x....

  
Report Type:

Summary

Ticker
Issuer
GICS
Electronic Manufacturing Services (45203020)
Sector
Global Issuers , Structured Finance
Country
Region
Latin America
Format:
PDF Adobe Acrobat
Buy Now

S&P Global Ratings’ Credit Research—S&P Global Ratings’ credit research provides analysis on issuers and debt obligations of corporations, states and municipalities, financial institutions, insurance companies and sovereign governments. S&P Global Ratings also offers insight into the credit risk of structured finance deals, providing an independent view of credit risk associated with a growing array of debt-securitized instruments.

About the Author


Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Summary: Flex Ltd." Jul 12, 2018. Alacra Store. Nov 19, 2018. <http://www.alacrastore.com/s-and-p-credit-research/Summary-Flex-Ltd-2070677>
  
APA:
S&P Global Ratings’ Credit Research. (). Summary: Flex Ltd. Jul 12, 2018. New York, NY: Alacra Store. Retrieved Nov 19, 2018 from <http://www.alacrastore.com/s-and-p-credit-research/Summary-Flex-Ltd-2070677>
  
US$ 225.00
$  £  
Have a Question?

Any questions about the report you're considering? Our Customer Service Team can help! Or visit our FAQs.

More Research

Search all our Residential Mortgage-Backed Securities from one place.