Jabil (JBL) AI Stock Analysis

• Market Cap: $22.51B
• Dividend Yield: 0.15%
• Average Volume (3M): 1.52M
• Price to Earnings (P/E): 35.4
• Beta (1Y): 1.53
• Revenue Growth: 3.18%
• EPS Growth: -46.01%
• Country: US
• Employees: 138,000
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 3.29
• Shares Outstanding: 107,318,840
• 10 Day Avg. Volume: 1,242,707
• 30 Day Avg. Volume: 1,517,658
• PEG Ratio: -0.72
• Price to Book (P/B): 14.82
• Price to Sales (P/S): 0.75
• P/FCF Ratio: 13.68
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 0.80
• Enterprise Value/Gross Profit: 9.00
• Enterprise Value/Ebitda: 13.68
• 1Y Price Target: $253.67
• Price Target Upside: 21.18% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 59 Neutral
• Price Target: $216.00 ▲(3.18% Upside)

Jabil's overall stock score reflects strong earnings call insights and robust cash flow performance, offset by high leverage and valuation concerns. The strategic focus on AI and infrastructure growth is promising, but challenges in certain segments and technical indicators suggest caution.

Positive Factors

Revenue Growth

Projected revenue growth indicates strong market demand and effective business strategies, enhancing Jabil's competitive position and long-term prospects.

AI Infrastructure Expansion

Expansion in AI infrastructure positions Jabil at the forefront of technological advancements, driving future growth and innovation in high-demand sectors.

Free Cash Flow

Robust free cash flow enhances financial stability, providing flexibility for strategic investments and debt reduction, supporting long-term growth.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting Jabil's ability to invest in growth opportunities and manage economic downturns effectively.

Profitability Margins

Pressure on profitability margins may affect Jabil's ability to sustain earnings growth, impacting long-term financial health and shareholder returns.

Automotive and Transportation Decline

Decline in automotive and transportation markets may hinder revenue growth, necessitating strategic adjustments to mitigate impact on overall performance.

Jabil Business Overview & Revenue Model

Company Description

Jabil (JBL) is a global manufacturing services company that specializes in electronic manufacturing services (EMS) and solutions. With a presence in diverse sectors including automotive, healthcare, industrial, and consumer electronics, Jabil provides a range of services such as design, engineering, manufacturing, and supply chain management. The company is known for its ability to deliver high-quality products and services, leveraging advanced technologies and innovative practices to meet the needs of its customers.

How the Company Makes Money

Jabil generates revenue primarily through its contract manufacturing services, which involve producing electronic components and assemblies for a variety of industries. Key revenue streams include the production of consumer electronics, medical devices, and automotive components. The company benefits from long-term contracts with major clients, which provide a stable revenue base. Additionally, Jabil's engineering and design services add value by offering integrated solutions that enhance customer products. Strategic partnerships with technology firms and OEMs (Original Equipment Manufacturers) also play a crucial role in expanding Jabil's market reach and driving earnings, as these collaborations often lead to large-scale manufacturing agreements.

Jabil Financial Statement Overview

Summary

Jabil's financial performance is characterized by solid revenue growth and strong cash flow generation, but it faces challenges with profitability margins and high leverage. The income statement shows moderate performance with positive revenue growth, but decreasing margins. The balance sheet indicates significant leverage, while cash flow analysis highlights robust free cash flow growth.

Income Statement

Jabil's income statement shows moderate performance with a gross profit margin of 8.88% and a net profit margin of 2.20% for TTM. Revenue growth is positive at 4.52%, indicating a recovery from the previous year's decline. However, margins have decreased compared to the previous year, suggesting pressure on profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 2.22, indicating significant leverage. Return on equity is strong at 45.71%, but the equity ratio is relatively low, suggesting potential financial risk due to high debt levels.

Cash Flow

Cash flow analysis shows robust free cash flow growth of 68.7% and a healthy free cash flow to net income ratio of 73.35%. The operating cash flow to net income ratio is lower, indicating potential challenges in converting earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	29.80B	29.80B	28.88B	34.70B	33.48B	29.29B
Gross Profit	2.65B	2.58B	2.68B	2.87B	2.63B	2.36B
EBITDA	1.74B	1.81B	2.62B	2.39B	2.30B	1.94B
Net Income	657.00M	657.00M	1.39B	818.00M	996.00M	696.00M
Balance Sheet
Total Assets	18.54B	18.54B	17.35B	19.42B	19.72B	16.65B
Cash, Cash Equivalents and Short-Term Investments	1.93B	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	17.03B	17.03B	15.61B	16.56B	17.27B	14.52B
Stockholders Equity	1.51B	1.51B	1.74B	2.87B	2.45B	2.14B
Cash Flow
Free Cash Flow	1.17B	1.17B	932.00M	704.00M	266.00M	274.00M
Operating Cash Flow	1.64B	1.64B	1.72B	1.73B	1.65B	1.43B
Investing Cash Flow	-714.00M	-714.00M	1.35B	-723.00M	-858.00M	-851.00M
Financing Cash Flow	-1.20B	-1.20B	-2.67B	-680.00M	-888.00M	-413.00M

Jabil Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 209.34
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 209.34 is below the 20-day moving average (MA) of 210.99, below the 50-day MA of 212.11, and above the 200-day MA of 180.04, indicating a neutral trend. The MACD of -2.64 indicates Negative momentum. The RSI at 49.87 is Neutral, neither overbought nor oversold. The STOCH value of 80.29 is Negative, 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
SANM	79 Outperform	$7.09B	27.67	11.58%	―	5.87%	20.66%
PLXS	78 Outperform	$4.06B	25.27	12.12%	―	2.31%	48.63%
FLEX	74 Outperform	$23.77B	27.29	17.67%	―	-3.63%	2.26%
BHE	67 Neutral	$1.48B	39.43	3.49%	1.62%	-5.95%	-43.46%
TTMI	66 Neutral	$6.04B	65.59	5.89%	―	14.24%	424.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
JBL	59 Neutral	$22.51B	35.43	40.43%	0.15%	3.18%	-46.01%

Jabil Corporate Events

Jabil Secures New $3.2 Billion Credit Facility

Jabil Inc. has entered into a new senior unsecured credit agreement on June 18, 2025, establishing a five-year revolving credit facility initially amounting to $3.2 billion, with the potential to increase by up to $1.0 billion at the lenders’ discretion. This agreement, replacing the company’s previous credit agreement dated January 22, 2020, involves several major financial institutions and offers flexibility in currency options and interest rates based on Jabil’s credit ratings. The move signifies Jabil’s strategic financial management, enhancing its liquidity position without incurring early termination penalties, and reflects its ongoing relationships with major financial service providers.