Jabil (JBL) AI Stock Analysis

• Market Cap: $27.51B
• Dividend Yield: 0.14%
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): 40.5
• Beta (1Y): 1.53
• Revenue Growth: 13.18%
• EPS Growth: -38.37%
• Country: US
• Employees: 138,000
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 2.85
• Shares Outstanding: 105,595,270
• 10 Day Avg. Volume: 959,383
• 30 Day Avg. Volume: 1,024,943
• PEG Ratio: -0.72
• Price to Book (P/B): 14.82
• Price to Sales (P/S): 0.75
• P/FCF Ratio: 19.14
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 0.95
• Enterprise Value/Gross Profit: 10.68
• Enterprise Value/Ebitda: 14.93
• 1Y Price Target: $271.71
• Price Target Upside: 0.23% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): 11.59
• Revenue Forecast (FY): $32.44B

• Rating: 73 Outperform
• Price Target: $302.00 ▲(11.40% Upside)
• Action: Upgraded Date: 01/29/26
• Date: Action: Upgraded 01/29/26

The score is driven primarily by solid underlying financial performance (steady growth and strong free cash flow, tempered by high leverage and low net margins) and supportive technicals (clear uptrend with healthy momentum). Earnings call commentary adds confidence via raised guidance and AI-driven growth. Valuation is the main constraint due to the high P/E and minimal dividend yield.

Positive Factors

Strong free cash flow and liquidity

Consistent adjusted FCF generation and a $1.6B cash buffer materially improve financial flexibility. Predictable cashflow supports capex for advanced manufacturing, funds integration of acquisitions, enables debt reduction or opportunistic investments and underpins multi-quarter strategic execution.

AI and Intelligent Infrastructure demand tailwinds

Leadership in cloud, data center and AI-related manufacturing ties Jabil to a secular, high-capex cycle. Durable demand from hyperscalers and networking providers supports sustained volume, higher utilization of advanced lines and product mix improvement versus legacy consumer cycles.

Operational execution driving margin expansion

Upward guidance and expanding core margins reflect improving operational efficiency and pricing/portfolio mix. If sustained, margin expansion increases durable operating cashflow, funds reinvestment in automation, and strengthens competitive positioning versus lower-cost peers.

Negative Factors

High leverage on the balance sheet

Substantial leverage raises refinancing and interest-rate sensitivity risk. High debt limits strategic flexibility, increases fixed costs during downturns, and constrains ability to fund growth or buybacks without further issuance or asset sales over the medium term.

Low net margins and weak OCF conversion

Narrow net margins leave little room to absorb cost inflation or pricing pressure. Subpar OCF conversion implies earnings volatility versus cash, limiting durable self-funding for capex, debt paydown or strategic investments during cyclical revenue weakness.

End-market concentration and segment headwinds

Revenue exposure to segments facing customer pruning and delayed automotive recovery increases earnings variability. Structural client rationalization and lumpy program ramps can depress utilization and margins, making multi-quarter growth uneven despite strength in other end markets.

Jabil Business Overview & Revenue Model

Company Description

Jabil Inc. provides manufacturing services and solutions worldwide. The company operates in two segments, Electronics Manufacturing Services and Diversified Manufacturing Services. It offers electronics design, production, and product management services. The company provides electronic design services, such as application-specific integrated circuit design, firmware development, and rapid prototyping services; and designs plastic and metal enclosures that include the electro-mechanics, such as the printed circuit board assemblies (PCBA). It also specializes in the three-dimensional mechanical design comprising the analysis of electronic, electro-mechanical, and optical assemblies, as well as offers various industrial design, mechanism development, and tooling management services. In addition, the company provides computer-assisted design services consisting of PCBA design, as well as PCBA design validation and verification services; and other consulting services, such as the generation of a bill of materials, approved vendor list, and assembly equipment configuration for various PCBA designs. Further, it offers product and process validation services, such as product system, product safety, regulatory compliance, and reliability tests, as well as manufacturing test solution development services. Additionally, the company provides systems assembly, test, direct-order fulfillment, and configure-to-order services. It serves 5G, wireless and cloud, digital print and retail, industrial and semi-cap, networking and storage, automotive and transportation, connected devices, healthcare and packaging, and mobility industries. The company was formerly known as Jabil Circuit, Inc. and changed its name to Jabil Inc. in June 2017. Jabil Inc. was founded in 1966 and is headquartered in Saint Petersburg, Florida.

How the Company Makes Money

Jabil generates revenue primarily through its Electronics Manufacturing Services (EMS) and Diversified Manufacturing Services (DMS) segments. The EMS segment involves the production of electronic components and assemblies for original equipment manufacturers (OEMs) across various industries. Revenue from this segment is driven by long-term contracts with customers, which provide a steady stream of income. The DMS segment focuses on providing manufacturing and supply chain services for non-electronic products, contributing to revenue diversification. Key revenue streams include contracts with large technology companies, automotive manufacturers, and healthcare firms. Additionally, Jabil benefits from strategic partnerships with major brands, enabling it to leverage existing client relationships and expand its service offerings. Other factors contributing to its earnings include operational efficiency, cost management, and investment in advanced manufacturing technologies.

Jabil Financial Statement Overview

Summary

Income statement strength is supported by steady TTM revenue growth (4.4%) and stable gross margin (~8.9%), but profitability is constrained by a low net margin (2.3%). Cash flow is a positive with strong TTM free cash flow growth (9.2%) and solid FCF-to-net income (77.5%), offset by weaker operating cash flow conversion to net income. Balance sheet risk remains elevated due to high leverage (debt-to-equity 2.51), despite strong ROE (51.1%).

Income Statement

Jabil's income statement shows a stable growth trajectory with a revenue growth rate of 4.4% in the TTM period. The gross profit margin is consistent at around 8.9%, indicating efficient cost management. However, the net profit margin is relatively low at 2.3%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are moderate, reflecting stable operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 2.51, indicating significant leverage, which could pose financial risks. Return on equity is strong at 51.1%, showcasing effective use of equity to generate profits. The equity ratio is moderate, suggesting a balanced asset structure but with a reliance on debt financing.

Cash Flow

Cash flow analysis indicates a healthy free cash flow growth rate of 9.2% in the TTM period, reflecting strong cash generation capabilities. The operating cash flow to net income ratio is low, suggesting potential challenges in converting income to cash. However, the free cash flow to net income ratio is robust at 77.5%, indicating efficient cash management.

Breakdown	TTM	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	31.11B	29.80B	28.88B	34.70B	33.48B	29.29B
Gross Profit	2.78B	2.65B	2.68B	2.87B	2.63B	2.36B
EBITDA	1.99B	1.81B	2.62B	2.39B	2.30B	1.94B
Net Income	703.00M	657.00M	1.39B	818.00M	996.00M	696.00M
Balance Sheet
Total Assets	19.28B	18.54B	17.35B	19.42B	19.72B	16.65B
Cash, Cash Equivalents and Short-Term Investments	1.57B	1.93B	2.20B	1.80B	1.48B	1.57B
Total Debt	3.37B	3.37B	3.26B	3.25B	3.41B	3.32B
Total Liabilities	17.93B	17.03B	15.61B	16.56B	17.27B	14.52B
Stockholders Equity	1.34B	1.51B	1.74B	2.87B	2.45B	2.14B
Cash Flow
Free Cash Flow	1.19B	1.17B	932.00M	704.00M	266.00M	274.00M
Operating Cash Flow	1.65B	1.64B	1.72B	1.73B	1.65B	1.43B
Investing Cash Flow	-758.00M	-714.00M	1.35B	-723.00M	-858.00M	-851.00M
Financing Cash Flow	-1.40B	-1.20B	-2.67B	-680.00M	-888.00M	-413.00M

Jabil Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 271.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JBL, the sentiment is Positive. The current price of 271.09 is above the 20-day moving average (MA) of 250.94, above the 50-day MA of 239.50, and above the 200-day MA of 213.36, indicating a bullish trend. The MACD of 7.32 indicates Negative momentum. The RSI at 65.64 is Neutral, neither overbought nor oversold. The STOCH value of 74.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JBL.

Jabil Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PLXS	74 Outperform	$5.28B	30.57	12.63%	―	1.82%	56.52%
JBL	73 Outperform	$27.51B	40.53	47.87%	0.14%	13.18%	-38.37%
FLEX	72 Outperform	$24.20B	29.15	16.85%	―	0.77%	0.51%
SANM	71 Outperform	$8.07B	35.43	9.74%	―	7.40%	13.79%
TTMI	68 Neutral	$9.72B	59.73	10.67%	―	17.88%	91.41%
BHE	64 Neutral	$2.05B	84.31	3.37%	1.44%	-2.93%	-40.33%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Jabil Corporate Events

Jabil reshapes board leadership with new independent directors

On January 22, 2026, Jabil Inc. expanded its Board of Directors from seven to nine members, appointing former TTM Technologies CEO Thomas T. Edman and former Amazon Web Services marketing chief Raejeanne Skillern as independent directors, with Edman joining the Audit and Cybersecurity Committees and Skillern joining the Audit Committee. On the same date, longtime director Steven Raymund was elevated to Chairman of the Board, director Sujatha Chandrasekaran was named to the Compensation and Cybersecurity Committees, and Executive Chairman Mark T. Mondello concluded his employment and Board service, transitioning into a two-year consulting role providing advisory and strategic services to the company, moves that collectively signal a reconfiguration of Jabil’s governance and strategic oversight as it marks its 60th year and seeks to strengthen capabilities in electronics manufacturing, cloud, and data center markets.

The most recent analyst rating on (JBL) stock is a Buy with a $275.00 price target. To see the full list of analyst forecasts on Jabil stock, see the JBL Stock Forecast page.

Jabil shareholders reshape board composition at annual meeting

At its annual meeting of stockholders held on January 22, 2026, Jabil Inc. reported the election of directors Anousheh Ansari, Sujatha Chandrasekaran, Michael Dastoor, Christopher S. Holland and Steven A. Raymund, while John C. Plant and N.V. “Tiger” Tyagarajan failed to secure a majority of votes, triggering the company’s director resignation policy and prompting conditional resignations that the Nominating and Governance Committee and full board must evaluate within a defined 90-day decision window. Shareholders also ratified Ernst & Young LLP as Jabil’s independent auditor for the fiscal year ending August 31, 2026, approved the company’s executive compensation on an advisory basis, and rejected a shareholder proposal to allow action by written consent, outcomes that collectively reinforced existing governance and compensation structures while raising questions about board composition and investor sentiment toward specific directors.

The most recent analyst rating on (JBL) stock is a Buy with a $275.00 price target. To see the full list of analyst forecasts on Jabil stock, see the JBL Stock Forecast page.

Jabil Completes $1 Billion Senior Notes Debt Offering

On January 23, 2026, Jabil Inc. completed a $1 billion underwritten public debt offering, issuing $500 million of 4.200% Senior Notes due February 1, 2029 and $500 million of 4.750% Senior Notes due February 1, 2033, both unsecured and ranking pari passu with the company’s existing and future senior unsecured indebtedness. The notes, which carry semi-annual interest payments beginning August 1, 2026, include issuer-friendly optional redemption features—initially at a make-whole premium before near-maturity call dates and at par thereafter—as well as a requirement for Jabil to offer to repurchase the notes at 101% upon a change of control repurchase event, and are subject to covenants that restrict certain liens, sale-leasebacks, funded debt at restricted subsidiaries, subsidiary guarantees, and major corporate restructurings, thereby shaping Jabil’s future balance sheet flexibility and providing bondholders with structural protections. The offering was executed under a standard underwriting agreement with a syndicate led by BNP Paribas, Citigroup, Crédit Agricole and SMBC Nikko, utilizing Jabil’s existing shelf registration to efficiently tap the capital markets.

The most recent analyst rating on (JBL) stock is a Buy with a $275.00 price target. To see the full list of analyst forecasts on Jabil stock, see the JBL Stock Forecast page.