Plexus just dropped its Q4 2026 scorecard and the share price flinched hard. The stock fell 9.6% today, even though the quarter delivered US$1.43b of revenue and basic EPS of US$2.57. That is a sharp move for a business services and manufacturing specialist that came into the print already down over the past month.
The emotional hit sits in the quote screen. The core story sits in the income statement, where this latest step up in sales and earnings presents a very different mood than the one day chart suggests.
Like Plexus putting up US$1.43b of sales and US$2.57 of EPS while the share price drops 9.6%, you sometimes see solid scorecards get punished anyway. If you want a shortlist of companies that pair dependable fundamentals with balance sheets built to handle this kind of volatility, run your eye over our list of solid balance sheet and fundamentals stocks (22 results)
Q4 2026 Earnings Summary
- Revenue (Q4 2026 vs. Q4 2025): US$1,426.57m vs. US$1,058.37m (up roughly 35%)
- Net Income (Excl. Extra Items, Q4 2026 vs. Q4 2025): US$68.51m vs. US$51.43m (up about 33%)
- Basic EPS (Q4 2026 vs. Q4 2025): US$2.57 vs. US$1.91 (increased roughly 34%)
- Non GAAP Operating Margin (Q4 2026 vs. FY26 Full Year): 6.7% vs. 6.2% (Q4 above full year level)
Prefer clean, visual charts instead of a dense wall of earnings tables and filings? Get a full picture of Plexus with an easy-to-scan breakdown of its valuation in the interactive company report for Plexus.
Plexus Bull Case Hinges On Penang And Data Center Ramps
The bullish script argues Plexus turns pipeline into higher quality revenue and sturdier profitability.
"The main thing that has to go right is that Plexus successfully brings its expanded Penang capacity and data center power and energy storage wins into full production, while maintaining working capital efficiency around the low to mid 60 day cash cycle the company currently reports and targets through fiscal 2027."
Q4 provides that view with some concrete milestones. Plexus lifted non GAAP operating margin to 6.7% compared with a 6.2% full year level, while keeping the cash cycle at a record 62 days. Management also raised FY27 margin goals to a range of 6.5% to 7%, which signals confidence that new Penang capacity and early data center programs are ramping without stressing working capital so far.
Not everyone reads the same price the same way. → See the higher figure this Narrative lands on, and how it gets there.
Plexus Bear Case: Capacity And Cash Risks Under Review
Bears argue Plexus could end up with too much factory space and not enough paying work to fill it.
"Heavy dependence on semicap and aerospace and defense programs means any slowdown in equipment spending, defense budgets or program ramps could interrupt the current mid teens revenue growth outlook and leave Plexus with underutilized capacity, pressuring revenue and operating margins."
Q4 revenue of US$1.43b, up 35% year on year, and a 6.7% non GAAP operating margin do not yet show that slowdown. Record FY26 revenue of about US$5.0b and raised FY27 margin targets suggest existing capacity is being used rather than sitting idle. Free cash flow of roughly US$6m in Q4 and a record 62 day cash cycle keep the working capital watch item alive, but underutilization is not the story this quarter.
Hunt For Mispriced Earners
Plexus recently showed how a sharp price move can distract from resilient earnings. The real opportunity is in stocks that could be undervalued before the market reassesses them.
- Company 1 - 49% below our estimate - tests if a dominant payments and marketplace ecosystem can scale into a new country.
- Company 2 - 44% below our estimate - converts a large backlog of complex mega-projects into cash while managing legacy disputes.
- Company 3 - 36% below our estimate - builds a recommerce platform channeling trade-in subsidies into higher-margin refurbished device transactions.
Those are three of them. See the full list of 30 companies trading below our fair value estimates →
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