Plexus (PLXS) opened fiscal Q1 2026 with revenue of US$1.1b and basic EPS of US$1.54, while trailing twelve month basic EPS stood at US$6.56 on revenue of US$4.1b, setting a clear earnings season backdrop for investors. Over the past year, the company has seen revenue move from US$3.96b to US$4.1b on a trailing basis, with basic EPS rising from US$4.08 to US$6.56, giving investors a fuller view of how the latest quarterly print fits within the recent earnings run and margin profile.

See our full analysis for Plexus.

With the numbers on the table, the next step is to compare these results with the most widely discussed narratives about Plexus to see which stories align and which start to look stretched.

TTM earnings up 45.7% with margins at 4.3%

• Over the last 12 months, Plexus generated US$176.8 million of net income on US$4.1b of revenue, with trailing net profit margin at 4.3% compared with 3.1% a year earlier.
• What is interesting for a bullish angle is that earnings grew 45.7% year over year while five year earnings growth averaged 2.4% per year, which means:
  • The recent 4.3% margin, versus 3.1% previously, lines up with the idea that profitability has been stronger in the latest period.
  • At the same time, earnings are forecast in the data to grow about 6% per year and revenue about 7.5% per year, which is much lower than the recent 45.7% jump and gives bulls less evidence that the latest surge repeats.

Quarterly profit steady around US$40 million

• In Q1 2026, net income was US$41.2 million on US$1.1b of revenue, very similar to the US$41.2 million reported in Q4 2024 on US$1.1b of revenue, even though Q4 2025 showed a higher net income of US$51.4 million on US$1.1b of revenue.
• Investors with a more cautious, bearish take might point out that Q1 2026 basic EPS of US$1.54 sits below Q4 2025 EPS of US$1.91, and that:
  • The trailing twelve month EPS of US$6.56 is higher than the US$4.39 level from early 2025, yet the most recent quarter does not match the strongest quarter in that run.
  • This pattern can be used by critics to argue that the sharp 45.7% annual earnings growth relies on a strong recent stretch that may not be reflected in every individual quarter like Q1 2026.

Have a closer look at how bullish and bearish investors frame this pattern around Plexus’s recent profit run. 📊 Read the full Plexus Consensus Narrative.

P/E of 29.9x versus 78.5x peers

• The shares trade on a trailing P/E of 29.9x at a price of US$197.60, compared with a 78.5x average for peers and 28x for the wider US Electronic industry, while the DCF fair value in the data is US$34.31.
• What stands out for anyone weighing bullish views is the tension between earnings growth and these valuation markers:
  • Supportive data for bulls includes the 45.7% earnings growth over the past year and margin at 4.3%, which some may argue helps to justify a P/E slightly above the broader industry’s 28x.
  • On the other hand, the current US$197.60 share price sits well above the DCF fair value of US$34.31, which gives plenty of room for more cautious investors to question how much of that recent strength is already reflected in the price.

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Plexus's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

See What Else Is Out There

The mix of a 29.9x P/E, a share price far above the DCF fair value, and uneven recent quarterly earnings growth may leave you questioning the risk reward trade off.

If that gap between price and underlying value makes you uneasy, use our these 865 undervalued stocks based on cash flows today to focus on companies where cash flow suggests more grounded pricing and potential upside.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.