Jabil (NYSE:JBL) Downgraded by Zacks Investment Research

Jabil (NYSE:JBLGet Rating) was downgraded by Zacks Investment Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Tuesday, Zacks.com reports. They currently have a $64.00 price objective on the technology company’s stock. Zacks Investment Research‘s price objective would indicate a potential upside of 5.61% from the company’s current price.

According to Zacks, “Jabil is benefiting from solid demand in key end markets together with excellent operational execution and skillful management of supply chain dynamics. It is likely to witness strong top-line growth in healthcare, automotive, industrial and 5G wireless and cloud businesses. Jabil’s Photonics business unit and EFFECT Photonics joined forces to develop next-generation coherent optical modules. EFFECT Photonics will make its System-on-Chip optical technology available, and Jabil will leverage its manufacturing coherent modules with extensive sourcing capabilities. However, the company is expected to suffer from supply chain disruptions. It faces intense competition from both domestic and international electronic manufacturing services and design providers. Commoditization and consolidation are other headwinds for the company.”

Several other research firms have also recently weighed in on JBL. Citigroup reiterated a “top pick” rating and set a $90.00 price objective on shares of Jabil in a research report on Thursday, March 17th. StockNews.com upgraded Jabil from a “buy” rating to a “strong-buy” rating in a research report on Friday, April 15th. One research analyst has rated the stock with a hold rating, four have assigned a buy rating and three have issued a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Buy” and an average price target of $76.29.

JBL traded up $2.78 during trading hours on Tuesday, reaching $60.60. The company’s stock had a trading volume of 15,170 shares, compared to its average volume of 740,737. Jabil has a 52 week low of $52.33 and a 52 week high of $72.11. The company’s 50-day moving average is $58.83 and its 200-day moving average is $61.69. The company has a debt-to-equity ratio of 1.02, a quick ratio of 0.55 and a current ratio of 1.01. The firm has a market cap of $8.56 billion, a PE ratio of 11.19, a price-to-earnings-growth ratio of 0.76 and a beta of 1.38.

Jabil (NYSE:JBLGet Rating) last posted its quarterly earnings data on Wednesday, March 16th. The technology company reported $1.51 earnings per share for the quarter, topping the consensus estimate of $1.27 by $0.24. The firm had revenue of $7.55 billion for the quarter, compared to analysts’ expectations of $7.44 billion. Jabil had a return on equity of 36.62% and a net margin of 2.63%. The company’s quarterly revenue was up 10.6% compared to the same quarter last year. During the same quarter last year, the business earned $0.99 EPS. Equities analysts anticipate that Jabil will post 6.4 earnings per share for the current fiscal year.

In other news, CEO Mark T. Mondello sold 12,000 shares of the stock in a transaction on Monday, April 4th. The stock was sold at an average price of $62.20, for a total transaction of $746,400.00. Following the sale, the chief executive officer now directly owns 2,055,589 shares of the company’s stock, valued at approximately $127,857,635.80. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Corporate insiders own 2.59% of the company’s stock.

Large investors have recently added to or reduced their stakes in the stock. Allegheny Financial Group LTD acquired a new stake in Jabil in the fourth quarter valued at about $25,000. Catalyst Capital Advisors LLC bought a new position in Jabil in the fourth quarter valued at about $29,000. Counterpoint Mutual Funds LLC bought a new position in Jabil in the fourth quarter valued at about $31,000. Prospera Financial Services Inc bought a new position in Jabil in the first quarter valued at about $32,000. Finally, Edmond DE Rothschild Holding S.A. bought a new position in Jabil in the first quarter valued at about $34,000. 79.69% of the stock is currently owned by institutional investors and hedge funds.

About Jabil (Get Rating)

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).

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