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Jabil (JBL) Advances While Market Declines: Some Information for Investors

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In the latest trading session, Jabil (JBL - Free Report) closed at $140.06, marking a +0.39% move from the previous day. This move outpaced the S&P 500's daily loss of 0.38%. On the other hand, the Dow registered a loss of 0.16%, and the technology-centric Nasdaq decreased by 0.13%.

Shares of the electronics manufacturer have appreciated by 13.23% over the course of the past month, outperforming the Computer and Technology sector's gain of 3.93% and the S&P 500's gain of 4.74%.

The investment community will be closely monitoring the performance of Jabil in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $1.94, reflecting a 3.19% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.91 billion, down 15.08% from the year-ago period.

JBL's full-year Zacks Consensus Estimates are calling for earnings of $9.11 per share and revenue of $30.61 billion. These results would represent year-over-year changes of +5.56% and -11.78%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Jabil. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Jabil is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Jabil has a Forward P/E ratio of 15.32 right now. This represents a premium compared to its industry's average Forward P/E of 14.66.

Meanwhile, JBL's PEG ratio is currently 1.28. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Electronics - Manufacturing Services industry had an average PEG ratio of 1.05.

The Electronics - Manufacturing Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 217, this industry ranks in the bottom 14% of all industries, numbering over 250.

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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