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Jabil (JBL) Outpaces Stock Market Gains: What You Should Know

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Jabil (JBL - Free Report) closed the most recent trading day at $62.69, moving +1.19% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.43%.

Prior to today's trading, shares of the electronics manufacturer had gained 4.05% over the past month. This has lagged the Computer and Technology sector's gain of 4.49% and outpaced the S&P 500's gain of 2.56% in that time.

Investors will be hoping for strength from JBL as it approaches its next earnings release. On that day, JBL is projected to report earnings of $1.36 per share, which would represent year-over-year growth of 38.78%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.64 billion, up 4.6% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.54 per share and revenue of $29.54 billion. These totals would mark changes of +91.03% and +8.34%, respectively, from last year.

Any recent changes to analyst estimates for JBL should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. JBL is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, JBL currently has a Forward P/E ratio of 11.19. This represents a premium compared to its industry's average Forward P/E of 10.54.

We can also see that JBL currently has a PEG ratio of 0.93. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Electronics - Manufacturing Services industry currently had an average PEG ratio of 0.82 as of yesterday's close.

The Electronics - Manufacturing Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 79, putting it in the top 32% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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