An inductor includes a coil, a conductive lead frame, and a housing. The coil includes a coil body and a lead protruding from the coil body. The lead has a U-bend portion. The lead is electrically fixed onto the conductive lead frame. The housing encapsulates the coil and exposes the conductive lead frame. A method of manufacturing an inductor includes the following steps: providing a coil, providing a conductive lead frame, making a lead of the coil be electrically fixed onto the conductive lead frame, bending the lead to form a U-bend portion and make the main body of the coil close to a portion of the lead that connects with the conductive lead frame, and forming a housing to encapsulate the coil and expose the conductive lead frame.