Core Insights - Jabil Inc. (JBL) is leveraging its robust supply chain network to navigate geopolitical unrest and supply chain disruptions, which have affected many companies globally [1][7] - The company is investing $500 million in the Southeast U.S. to enhance its position in the AI hardware supply chain, focusing on localizing manufacturing to meet regional demands [3][7] Supply Chain and Market Position - Jabil's extensive presence in over 25 countries allows it to adapt production to changing market dynamics, enhancing reliability for customers [2][3] - The company is responding to trade-related uncertainties and tariffs by sourcing components from resilient suppliers, thereby mitigating supply chain risks [2] Competitive Landscape - Jabil faces competition from Celestica, Inc. and Flex Ltd., both of which have strong manufacturing networks and are also focusing on localized production to improve supply chain resilience [4][5] - Celestica is expanding its facilities in the U.S., Thailand, and Malaysia to meet the demand for AI data center products, while Flex boasts a significant global manufacturing footprint [4][5] Financial Performance - Jabil's stock has increased by 66% over the past year, although this is lower than the Electronic-Manufacturing Services industry's growth of 120.4% [6][7] - The company's shares are currently trading at a forward price/earnings ratio of 18.94, which is below the industry average of 24.75 [8] Earnings Estimates - Jabil's earnings estimates for 2025 have seen an upward revision over the past 60 days, indicating positive sentiment among analysts [10]

Jabil TodayJBLJabil$210.42 -14.86 (-6.60%) 52-Week Range$108.66▼$237.14Dividend Yield0.15%P/E Ratio40.86Price Target$242.29Add to WatchlistJabil NYSE: JBL is well-positioned to benefit from AI, as it is the leading manufacturer and manufacturing service provider in the tech industry. Its client list is diverse, including leading tech companies such as Apple NASDAQ: AAPL and Amazon NASDAQ: AMZN, as well as consumer giants like Johnson & Johnson NYSE: JNJ, among others. The Q4 2025 results reveal the strengt ...

Core Viewpoint - Jabil Inc. has shown strong performance in its fourth-quarter results for fiscal year 2025, exceeding market expectations, yet its stock price has declined due to prior high performance and market conditions [3][4][6] Company Overview - Jabil Inc. is a global manufacturing services company providing design, manufacturing, supply chain, and product management services across various sectors, including electronics, healthcare, and packaging [1] - The company competes with Flex Ltd. and Sanmina Corporation in the electronics manufacturing services industry [1] Stock Performance - As of September 25, 2025, Jabil's stock price is $210.20, reflecting a decrease of 6.69% or $15.08 [5] - The stock has traded between a low of $203.55 and a high of $213.22 on the same day, with a yearly high of $237.14 and a low of $108.66 [5] - The market capitalization of Jabil is approximately $22.56 billion, with a trading volume of 2,983,613 shares on the NYSE [5] Analyst Insights - Analyst Melissa Fairbanks from Raymond James set a new price target for Jabil at $260, indicating a potential increase of 23.69% from the current stock price [2][6] - The stock's decline occurred despite strong fourth-quarter results and positive guidance for the upcoming quarter [2][6] Strategic Initiatives - Jabil's strategic use of artificial intelligence and robotics is expected to enhance manufacturing efficiency and is projected to increase AI-related sales by 25% next year [3][4][6]

Core Insights - Jabil reported strong fourth-quarter results for fiscal year 2025, exceeding Wall Street's expectations and providing optimistic guidance for the next quarter, yet the stock experienced a significant decline of 6.7% on the day of the announcement [2][3][7] Financial Performance - The company achieved a 99.6% stock price increase over the past year, but the stock was trading at a high valuation of 43.7 times trailing earnings prior to the report [3][6] - Despite the positive AI growth narrative, Jabil faced challenges in other segments, with automotive sales down 5% year-over-year, healthcare revenues up only 4%, and connected living sales down 27% [4][7] Market Reaction - The stock's decline is viewed as a reality check rather than a disaster, as it remains up 86% over the past year even after the correction [6][7] - The anticipated 25% growth in AI-related sales for 2026 is less impressive compared to the 80% growth expected in 2025, indicating a potential slowdown in the AI growth momentum [4][6]

Core Insights - Jabil Inc. is a significant player in the electronics manufacturing services industry, providing design, manufacturing, and supply chain solutions while facing competition from companies like Flex Ltd. and Sanmina Corporation [1] Financial Performance - For the quarter ending September 25, 2025, Jabil reported earnings per share (EPS) of $3.29, exceeding the estimated $2.92 and marking an earnings surprise of +11.53% [2][6] - The company's revenue for the same quarter was $8.3 billion, surpassing the estimated $7.59 billion and showing a notable increase from $6.96 billion in the same period last year [3][6] Market Drivers - The strong financial performance is attributed to a surge in demand for data centers powered by artificial intelligence, reflecting Jabil's strategic focus on AI-driven markets [4][6] Financial Metrics - Jabil has a price-to-earnings (P/E) ratio of approximately 40.19, indicating high market valuation of its earnings [5] - The price-to-sales ratio is about 0.79, and the enterprise value to sales ratio is around 0.86, suggesting investor confidence [5] - The company's debt-to-equity ratio stands at approximately 2.59, highlighting its leverage level, while a current ratio of around 0.98 indicates its ability to cover short-term liabilities [5]

Core Insights - Jabil, Inc. (JBL) reported strong fourth-quarter fiscal 2025 results, with both net income and revenues exceeding expectations, driven by growth in data center infrastructure, capital equipment, healthcare, and retail automation markets [1] Financial Performance - Net income on a GAAP basis for the quarter was $218 million or $1.99 per share, up from $138 million or $1.18 in the prior-year quarter, primarily due to top-line growth [2] - Non-GAAP net income for the quarter was $360 million or $3.29 per share, compared to $270 million or $2.30 in the prior-year quarter, surpassing the Zacks Consensus Estimate of $2.95 [2] - For fiscal 2025, GAAP net income was $657 million or $5.92 per share, down from $1.38 billion or $11.17 per share a year ago; non-GAAP net income was $1.08 billion or $9.75 per share, compared to $1.05 billion or $8.49 per share in fiscal 2024 [3] Revenue Growth - Net sales for the quarter increased to $8.3 billion from $6.96 billion in the year-ago quarter, beating the consensus estimate of $7.66 billion, driven by strong demand in the Intelligent Infrastructure segment [4] - The Regulated Industries segment contributed 38% to revenues, with a 3% year-over-year growth attributed to the healthcare and packaging end market [4] - Intelligent Infrastructure accounted for 45% of total revenues, with a significant 62% year-over-year increase, supported by demand in capital equipment and AI-related cloud and data center infrastructure [5] - The Connected Living & Digital Commerce segment contributed 17% of total revenues, experiencing a 14% year-over-year decline due to soft demand for consumer-driven products, although strong growth in digital commerce partially mitigated this trend [5] Profitability Metrics - Gross profit for the quarter was $783 million, up from $663 million in the year-ago quarter; non-GAAP operating income was $337 million, an increase from $318 million in the prior year [6] - Non-GAAP operating margin improved to 6.3%, up from 5.8% in the year-ago quarter [6] Cash Flow and Liquidity - In fiscal 2025, Jabil generated $1.64 billion of net cash from operating activities, slightly down from $1.71 billion a year ago; as of August 31, 2025, the company had $1.93 billion in cash and cash equivalents, with $2.38 billion in notes payable and long-term debt [7] - Free cash flow stood at $1.31 billion, compared to $1.05 billion in 2024 [7] Future Guidance - For the first quarter of fiscal 2026, revenues are expected to be in the range of $7.7 billion to $8.3 billion, with non-GAAP operating income projected between $400 million and $460 million; non-GAAP earnings per share are estimated to be between $2.47 and $2.87 [8][9] - Management anticipates that AI data center infrastructure, healthcare, and advanced warehouse and retail automation will be the major growth drivers in 2026, projecting fiscal 2026 revenues at $31.3 billion and non-GAAP earnings per share at $11.00 [9]

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Group 1 - Jabil Inc. (NYSE:JBL) is recognized as a relatively undervalued stock within the S&P 500, with positive remarks from Jim Cramer highlighting its role as a contract manufacturer in electronics [1] - The company provides a range of manufacturing and design solutions, serving various industries including healthcare, mobility, cloud, and automotive [1] - Jabil has been actively buying back stock at an annual rate of 5%, indicating strong financial health and commitment to shareholder value [1] Group 2 - The competitive landscape includes Celestica, which is performing well, suggesting that Jabil may need to enhance its value proposition to remain competitive [1] - While Jabil shows potential as an investment, there are AI stocks that may offer greater upside potential and lower downside risk, indicating a shift in investment focus within the tech sector [1]

Group 1 - The article does not provide any specific information or data regarding companies or industries [1]

Corporate Earnings Overview - Corporate earnings are a primary driver of stock market returns, with the current bull market supported by a resilient corporate backdrop, particularly in the tech sector due to an investment boom in artificial intelligence [1][2] - Total earnings growth in Q2 was 12.5% year-over-year, with revenues up 6.2%, both exceeding estimates, indicating strong corporate performance despite concerns like tariffs [3][4] - S&P 500 earnings for Q3 are expected to rise by 5.1% year-over-year, with a 6% increase in revenues, although this reflects a deceleration compared to Q3 2024 [5] Earnings Revisions and Outlook - The trend of earnings estimate revisions for Q3 has been mainly positive since April-May, with increases noted in sectors like technology and financials, which is seen as a bullish sign [7] - Annual S&P 500 earnings are projected to increase by 9.3% in 2025, supported by a 4.1% rise in revenues, with expectations for accelerated growth in the coming years [9][10] Company-Specific Insights - Jabil (JBL) reported fiscal Q4 earnings of $3.29 per share, surpassing estimates by 11.5%, with revenues of $8.25 billion, exceeding consensus by 7.67% [13][14] - Costco (COST) is expected to report fiscal Q4 earnings of $5.81 per share, reflecting a 12.8% growth year-over-year, with revenues projected at $86.23 billion [16][20] - Costco's performance will provide insights into membership trends and consumer behavior, particularly in a value-focused retail environment [17][20]