NYSE:JBL

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Jabil Inc. provides manufacturing services and solutions worldwide. More Details


Snowflake Analysis

Adequate balance sheet with reasonable growth potential and pays a dividend.


Similar Companies

Share Price & News

How has Jabil's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: JBL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: JBL's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

5.2%

JBL

3.3%

US Electronic

2.8%

US Market


1 Year Return

1.4%

JBL

20.1%

US Electronic

20.9%

US Market

Return vs Industry: JBL underperformed the US Electronic industry which returned 20.1% over the past year.

Return vs Market: JBL underperformed the US Market which returned 20.9% over the past year.


Shareholder returns

JBLIndustryMarket
7 Day5.2%3.3%2.8%
30 Day18.9%17.9%11.1%
90 Day15.3%19.5%6.5%
1 Year2.4%1.4%21.3%20.1%23.6%20.9%
3 Year42.3%37.8%33.0%29.2%47.3%37.6%
5 Year61.3%51.9%108.7%98.8%94.3%72.9%

Long-Term Price Volatility Vs. Market

How volatile is Jabil's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Jabil undervalued compared to its fair value and its price relative to the market?

41.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JBL ($39.39) is trading below our estimate of fair value ($66.82)

Significantly Below Fair Value: JBL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: JBL is poor value based on its PE Ratio (110.8x) compared to the US Electronic industry average (25.4x).

PE vs Market: JBL is poor value based on its PE Ratio (110.8x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: JBL is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: JBL is overvalued based on its PB Ratio (3.3x) compared to the US Electronic industry average (2.3x).


Next Steps

Future Growth

How is Jabil forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

44.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JBL's forecast earnings growth (44.2% per year) is above the savings rate (2.2%).

Earnings vs Market: JBL's earnings (44.2% per year) are forecast to grow faster than the US market (22% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: JBL's revenue (1.4% per year) is forecast to grow slower than the US market (10.3% per year).

High Growth Revenue: JBL's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JBL's Return on Equity is forecast to be high in 3 years time (27.3%)


Next Steps

Past Performance

How has Jabil performed over the past 5 years?

-21.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JBL has a large one-off loss of $270.5M impacting its August 31 2020 financial results.

Growing Profit Margin: JBL's current net profit margins (0.2%) are lower than last year (1.1%).


Past Earnings Growth Analysis

Earnings Trend: JBL's earnings have declined by 21.3% per year over the past 5 years.

Accelerating Growth: JBL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: JBL had negative earnings growth (-81.2%) over the past year, making it difficult to compare to the Electronic industry average (-14.1%).


Return on Equity

High ROE: JBL's Return on Equity (3.1%) is considered low.


Next Steps

Financial Health

How is Jabil's financial position?


Financial Position Analysis

Short Term Liabilities: JBL's short term assets ($9.1B) exceed its short term liabilities ($9.1B).

Long Term Liabilities: JBL's short term assets ($9.1B) exceed its long term liabilities ($3.5B).


Debt to Equity History and Analysis

Debt Level: JBL's debt to equity ratio (151.7%) is considered high.

Reducing Debt: JBL's debt to equity ratio has increased from 71.5% to 151.7% over the past 5 years.

Debt Coverage: JBL's debt is well covered by operating cash flow (45.4%).

Interest Coverage: JBL's interest payments on its debt are well covered by EBIT (4.6x coverage).


Balance Sheet


Next Steps

Dividend

What is Jabil current dividend yield, its reliability and sustainability?

0.81%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: JBL's dividend (0.81%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: JBL's dividend (0.81%) is low compared to the top 25% of dividend payers in the US market (4.08%).


Stability and Growth of Payments

Stable Dividend: JBL's dividends per share have been stable in the past 10 years.

Growing Dividend: JBL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (90%), JBL's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JBL's dividends in 3 years are forecast to be thoroughly covered by earnings (7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.2yrs

Average management tenure


CEO

Mark Mondello (56 yo)

7.67yrs

Tenure

US$11,412,435

Compensation

Mr. Mark T. Mondello has been the Chief Executive Officer at Jabil Inc. since March, 2013. Mr. Mondello served as the Chief Operating Officer of Jabil Inc. from November 2002 to March 1, 2013. Mr. Mondello...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD11.41M) is above average for companies of similar size in the US market ($USD6.89M).

Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Mark Mondello
CEO & Director7.67yrsUS$11.41m1.42%
$ 83.4m
Michael Dastoor
Executive VP & CFO2.17yrsUS$2.86m0.19%
$ 11.0m
Steven Borges
Executive VP & CEO of Regulated Industries6.83yrsUS$3.13m0.20%
$ 11.6m
Michael Loparco
Executive VP & CEO of Electronic Manufacturing Services4.83yrsUS$3.05m0.22%
$ 12.7m
Kenneth Wilson
Executive VP & CEO of Jabil Green Point3.83yrsUS$3.00m0.17%
$ 10.0m
Jean Kneisler
CTO & VPno datano datano data
May Yap
Senior VP & Chief Information Officer0.17yrno datano data
Beth Walters
Senior Vice President of Communications & Investor Relationsno datano datano data
Robert Katz
Chief Ethics & Compliance Officer4.17yrsno data0.11%
$ 6.5m
Joanne Moretti
Chief Marketing Officer & Senior VP4.25yrsno datano data
Bruce Johnson
Executive VP & Chief Human Resources Officer3.83yrsno data0.13%
$ 7.9m
Donald Myers
Senior Vice President of Corporate Developmentno datano datano data

4.2yrs

Average Tenure

55.5yo

Average Age

Experienced Management: JBL's management team is considered experienced (4.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mark Mondello
CEO & Director7.67yrsUS$11.41m1.42%
$ 83.4m
John Plant
Independent Director4.83yrsUS$282.81k0.023%
$ 1.4m
Thomas Sansone
Independent Vice Chairman of the Board & Lead Independent Director21.83yrsUS$282.81k1.17%
$ 69.2m
Timothy Main
Chairman of the Board7.83yrsUS$422.81k0.20%
$ 11.6m
Steven Raymund
Independent Director24.83yrsUS$307.81k0.11%
$ 6.7m
Anousheh Ansari
Independent Director4.83yrsUS$287.81k0.022%
$ 1.3m
David Stout
Independent Director11.17yrsUS$302.81k0.060%
$ 3.6m
Martha Brooks
Independent Director9.67yrsUS$287.81k0.051%
$ 3.0m
Christopher Holland
Independent Director2.83yrsUS$287.30k0.0098%
$ 579.1k

7.8yrs

Average Tenure

63yo

Average Age

Experienced Board: JBL's board of directors are considered experienced (7.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Jabil Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Jabil Inc.
  • Ticker: JBL
  • Exchange: NYSE
  • Founded: 1966
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Market Cap: US$5.891b
  • Shares outstanding: 149.55m
  • Website: https://www.jabil.com

Number of Employees


Location

  • Jabil Inc.
  • 10560 Dr. Martin Luther King
  • Jr. Street North
  • Saint Petersburg
  • Florida
  • 33716
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JBLNYSE (New York Stock Exchange)YesCommon StockUSUSDApr 1993
JBLDB (Deutsche Boerse AG)YesCommon StockDEEURApr 1993

Biography

Jabil Inc. provides manufacturing services and solutions worldwide. The company operates in two segments, Electronics Manufacturing Services and Diversified Manufacturing Services. It offers electronics de...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/30 00:19
End of Day Share Price2020/11/27 00:00
Earnings2020/08/31
Annual Earnings2020/08/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.