Electronics manufacturing services provider Jabil (NYSE:JBL) will be reporting earnings today before market hours. Here’s what investors should know.
Jabil beat analysts’ revenue expectations by 5.8% last quarter, reporting revenues of $6.99 billion, down 16.6% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates and full-year revenue guidance slightly topping analysts’ expectations.
Is Jabil a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Jabil’s revenue to decline 5.4% year on year to $6.4 billion, improving from the 16.8% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.83 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Jabil has missed Wall Street’s revenue estimates twice over the last two years.
With Jabil being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for tech hardware & electronics stocks. However, the whole sector has been hit hard over the last month as stocks in Jabil’s peer group are down 8.8% on average. Jabil is down 16.6% during the same time and is heading into earnings with an average analyst price target of $172.44 (compared to the current share price of $144.49).
Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
