Back to top

Image: Bigstock

Jabil (JBL) Outperforms Broader Market: What You Need to Know

Read MoreHide Full Article

Jabil (JBL - Free Report) closed at $117.75 in the latest trading session, marking a +0.56% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.27% for the day. At the same time, the Dow lost 0.31%, and the tech-heavy Nasdaq gained 0.88%.

Shares of the electronics manufacturer witnessed a loss of 0.64% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.82% and underperforming the S&P 500's gain of 2.85%.

Analysts and investors alike will be keeping a close eye on the performance of Jabil in its upcoming earnings disclosure. The company's earnings report is set to go public on June 20, 2024. The company's upcoming EPS is projected at $1.90, signifying a 4.52% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $6.51 billion, showing a 23.23% drop compared to the year-ago quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.41 per share and revenue of $28.49 billion, indicating changes of -2.55% and -17.89%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Jabil. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Jabil currently has a Zacks Rank of #3 (Hold).

From a valuation perspective, Jabil is currently exchanging hands at a Forward P/E ratio of 13.92. This indicates a discount in contrast to its industry's Forward P/E of 15.19.

We can additionally observe that JBL currently boasts a PEG ratio of 1.35. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Electronics - Manufacturing Services industry was having an average PEG ratio of 1.3.

The Electronics - Manufacturing Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 92, positioning it in the top 37% of all 250+ industries.

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

Keep in mind to rely on to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Jabil, Inc. (JBL) - free report >>

Published in