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Flex Ltd. posts strong FY26 with 31% growth in Cloud & Power, plans tax-free CPI spinoff in Q1 ’27

Company Fundamentals
07 May 2026
Seeking Alpha
View Source
Bullish
pluang ai news

Flex Ltd. reported strong fiscal year 2026 results, driven by a 31% year-over-year growth in its Cloud and Power Infrastructure (CPI) segment. The company provided FY27 guidance that significantly exceeded market expectations, projecting net sales between $32.3 billion and $33.8 billion and adjusted earnings per share of $4.21 to $4.51. Flex also announced a tax-free spinoff of its high-growth CPI business, targeted for the first quarter of 2027, which is expected to unlock significant shareholder value. Investors are advised to wait for the CPI spinoff, as the remaining company (RemainCo) may see a sharp share price decline post-separation, while the new spin-off (SpinCo) will offer focused exposure to AI infrastructure.

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