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Here's How Much a $1000 Investment in Jabil Made 10 Years Ago Would Be Worth Today
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For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Jabil (JBL - Free Report) ten years ago? It may not have been easy to hold on to JBL for all that time, but if you did, how much would your investment be worth today?
Jabil's Business In-Depth
With that in mind, let's take a look at Jabil's main business drivers.
Headquartered in St. Petersburg, FL, Jabil, Inc., is one of the largest global suppliers of electronic manufacturing services. The company offers electronics design, production, product management and after-market services to customers catering to aerospace, automotive, computing, consumer, defense, industrial, instrumentation, medical, networking, peripherals, storage and telecommunications industries.
Jabil reported revenues of $33.5 billion in fiscal 2022.
Beginning fiscal 2015, Jabil has two reporting segments: Electronics Manufacturing Services (EMS) segment and Diversified Manufacturing Services (DMS). The EMS segment includes enterprise and infrastructure, high velocity, and industrial energy businesses whereas the DMS segment will include Jabil’s Nypro and Green Point brands.
The EMS segment (50.2% of fiscal 2022 revenues) is focused on leveraging IT, supply chain design and engineering, technologies largely centered on core electronics, sharing of large scale manufacturing infrastructure and serving a broad range of end markets. EMS segment is typically a low margin but high-volume business that manufactures products at a quicker cycle time and in larger quantities. The EMS segment includes customers primarily in the automotive, computing, digital home, energy, industrial, networking, printing, storage and telecommunications industries.
The DMS segment (49.8% of fiscal 2022 revenues) is focused on providing engineering solutions, heavy participation in consumer markets, access to higher growth markets and a focus on material sciences and technologies. The DMS segment is a high-margin business and includes customers primarily from the consumer lifestyles, health care, mobility and packaging industries.
The company’s largest customers included Apple, Cisco, Hewlett-Packard Company, Keysight Technologies, LM Ericsson, NetApp, Nokia Networks, SolarEdge Technologies, Valeo S.A. and Zebra Technologies.
The company faces significant competition from the likes of Benchmark Electronics, Celestica, Flex, Hon-Hai Precision Industry, Plexus and Sanmina.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Jabil, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in January 2013 would be worth $3,818.78, or a 281.88% gain, as of January 13, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 170.59% and the price of gold increased 9.67% over the same time frame in comparison.
Looking ahead, analysts are expecting more upside for JBL.
Jabil is benefiting from strong demand in key end markets with excellent operational execution and skillful management of supply chain dynamics. It is likely to witness healthy top-line growth owing to secular tailwinds in healthcare, automotive, industrial, 5G and cloud businesses. Jabil’s focus on end-market and product diversification is a key catalyst. Its Photonics business unit and EFFECT Photonics have joined forces to develop next-generation coherent optical modules, which will likely drive top-line expansion. However, the company is likely to face volatility in raw material prices owing to supply chain disruptions. It faces intense competition from both domestic and international electronic manufacturing service providers that strains margins. Commoditization and consolidation are other headwinds for Jabil.
Shares have gained 11.30% over the past four weeks and there have been 3 higher earnings estimate revisions for fiscal 2023 compared to none lower. The consensus estimate has moved up as well.
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Here's How Much a $1000 Investment in Jabil Made 10 Years Ago Would Be Worth Today
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Jabil (JBL - Free Report) ten years ago? It may not have been easy to hold on to JBL for all that time, but if you did, how much would your investment be worth today?
Jabil's Business In-Depth
With that in mind, let's take a look at Jabil's main business drivers.
Headquartered in St. Petersburg, FL, Jabil, Inc., is one of the largest global suppliers of electronic manufacturing services. The company offers electronics design, production, product management and after-market services to customers catering to aerospace, automotive, computing, consumer, defense, industrial, instrumentation, medical, networking, peripherals, storage and telecommunications industries.
Jabil reported revenues of $33.5 billion in fiscal 2022.
Beginning fiscal 2015, Jabil has two reporting segments: Electronics Manufacturing Services (EMS) segment and Diversified Manufacturing Services (DMS). The EMS segment includes enterprise and infrastructure, high velocity, and industrial energy businesses whereas the DMS segment will include Jabil’s Nypro and Green Point brands.
The EMS segment (50.2% of fiscal 2022 revenues) is focused on leveraging IT, supply chain design and engineering, technologies largely centered on core electronics, sharing of large scale manufacturing infrastructure and serving a broad range of end markets. EMS segment is typically a low margin but high-volume business that manufactures products at a quicker cycle time and in larger quantities. The EMS segment includes customers primarily in the automotive, computing, digital home, energy, industrial, networking, printing, storage and telecommunications industries.
The DMS segment (49.8% of fiscal 2022 revenues) is focused on providing engineering solutions, heavy participation in consumer markets, access to higher growth markets and a focus on material sciences and technologies. The DMS segment is a high-margin business and includes customers primarily from the consumer lifestyles, health care, mobility and packaging industries.
The company’s largest customers included Apple, Cisco, Hewlett-Packard Company, Keysight Technologies, LM Ericsson, NetApp, Nokia Networks, SolarEdge Technologies, Valeo S.A. and Zebra Technologies.
The company faces significant competition from the likes of Benchmark Electronics, Celestica, Flex, Hon-Hai Precision Industry, Plexus and Sanmina.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Jabil, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in January 2013 would be worth $3,818.78, or a 281.88% gain, as of January 13, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
The S&P 500 rose 170.59% and the price of gold increased 9.67% over the same time frame in comparison.
Looking ahead, analysts are expecting more upside for JBL.
Jabil is benefiting from strong demand in key end markets with excellent operational execution and skillful management of supply chain dynamics. It is likely to witness healthy top-line growth owing to secular tailwinds in healthcare, automotive, industrial, 5G and cloud businesses. Jabil’s focus on end-market and product diversification is a key catalyst. Its Photonics business unit and EFFECT Photonics have joined forces to develop next-generation coherent optical modules, which will likely drive top-line expansion. However, the company is likely to face volatility in raw material prices owing to supply chain disruptions. It faces intense competition from both domestic and international electronic manufacturing service providers that strains margins. Commoditization and consolidation are other headwinds for Jabil.
Shares have gained 11.30% over the past four weeks and there have been 3 higher earnings estimate revisions for fiscal 2023 compared to none lower. The consensus estimate has moved up as well.