Expion360 (NASDAQ:XPON) & Flex (NASDAQ:FLEX) Critical Contrast

Expion360 (NASDAQ:XPON) and Flex (NASDAQ:FLEX) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, profitability, analyst recommendations, earnings and valuation.

Analyst Ratings

This is a summary of recent ratings for Expion360 and Flex, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Expion360	1	0	0	0	1.00
Flex	0	2	9	1	2.92

Flex has a consensus price target of $115.70, indicating a potential downside of 17.05%. Given Flex’s stronger consensus rating and higher possible upside, analysts plainly believe Flex is more favorable than Expion360.

Valuation and Earnings

This table compares Expion360 and Flex”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Expion360	$9.65 million	0.58	-$6.24 million	($1.18)	-0.41
Flex	$27.91 billion	1.83	$880.00 million	$2.33	59.87

Flex has higher revenue and earnings than Expion360. Expion360 is trading at a lower price-to-earnings ratio than Flex, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Expion360 has a beta of 0.47, suggesting that its stock price is 53% less volatile than the S&P 500. Comparatively, Flex has a beta of 1.64, suggesting that its stock price is 64% more volatile than the S&P 500.

Institutional & Insider Ownership

34.5% of Expion360 shares are owned by institutional investors. Comparatively, 94.3% of Flex shares are owned by institutional investors. 1.6% of Expion360 shares are owned by insiders. Comparatively, 0.6% of Flex shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Expion360 and Flex’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Expion360	-74.66%	-115.70%	-78.46%
Flex	3.15%	22.12%	5.53%

Summary

Flex beats Expion360 on 14 of the 15 factors compared between the two stocks.

About Expion360

Expion360 Inc. designs, assembles, manufactures, and sells lithium iron phosphate batteries and supporting accessories under the VPR 4EVER name for recreational vehicles, marine, golf, industrial, residential, and off-the-grid applications. It provides battery monitors; direct current battery chargers; various models of industrial tie-downs; power generators AURA POWERCAP; terminal blocks; and bus bars. The company also engages in the development of e360 Home Energy Storage systems; e360 SmartTalk mobile application. It serves dealers, wholesalers, private label customers, and original equipment manufacturers in the United States and internationally. The company was formerly known as Yozamp Products Company, LLC and changed its name to Expion360 Inc. in November 2021. Expion360 Inc. was founded in 2016 and is headquartered in Redmond, Oregon.

About Flex

Flex Ltd. provides technology, supply chain, and manufacturing solutions in Asia, the Americas, and Europe. It operates through three segments: Flex Agility Solutions (FAS), Flex Reliability Solutions (FRS), and Nextracker. The FAS segment offers flexible supply and manufacturing system comprising communications, enterprise and cloud solution, which includes data, edge, and communications infrastructure; lifestyle solution including appliances, consumer packaging, floorcare, micro mobility, and audio; and consumer devices, such as mobile and high velocity consumer devices. Its FRS segment provides complex ramps with specialized production models and critical environments, which comprise automotive including next generation mobility, autonomous, connectivity, electrification, and smart technologies; health solutions, such as medical devices, medical equipment, and drug delivery; and industrial solutions including capital equipment, industrial devices, and renewables and grid edge. The Nextracker segment offers solar tracker and software solutions, which are used in utility-scale and ground-mounted distributed generation solar projects. In addition, it provides a broad array of services including design and engineering, component services, rapid prototyping, fulfillment, and circular economy solutions. The company was formerly known as Flextronics International Ltd. and changed its name to Flex Ltd. in September 2016. Flex Ltd. was founded in 1969 and is headquartered in Singapore.