Jabil (NYSE:JBL) Downgraded by Zacks Research to "Hold"

Key Points

• Jabil (NYSE:JBL) has been downgraded from a "strong-buy" rating to a "hold" rating by Zacks Research.
• The stock currently has an average rating of "Moderate Buy" with a consensus target price of $231.71.
• In recent trades, insiders sold significant shares; for example, Director Steven A. Raymund sold over 13,000 shares for approximately $2.99 million.

Zacks Research downgraded shares of Jabil (NYSE:JBL - Free Report) from a strong-buy rating to a hold rating in a research note released on Tuesday morning,Zacks.com reports.

Other research analysts have also issued reports about the stock. Barclays raised their price objective on shares of Jabil from $206.00 to $223.00 and gave the stock an "overweight" rating in a report on Tuesday, June 17th. Raymond James Financial reissued a "strong-buy" rating and set a $230.00 price objective (up from $170.00) on shares of Jabil in a report on Wednesday, June 18th. UBS Group raised their price objective on shares of Jabil from $157.00 to $208.00 and gave the stock a "neutral" rating in a report on Wednesday, June 18th. Stifel Nicolaus assumed coverage on shares of Jabil in a report on Wednesday, July 2nd. They set a "buy" rating and a $245.00 price objective for the company. Finally, The Goldman Sachs Group raised their price objective on shares of Jabil from $188.00 to $215.00 and gave the stock a "buy" rating in a report on Wednesday, June 18th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, Jabil has an average rating of "Moderate Buy" and a consensus target price of $231.71.

Jabil Stock Down 2.5%

JBL traded down $5.24 during trading hours on Tuesday, reaching $204.63. 1,645,247 shares of the stock traded hands, compared to its average volume of 1,362,662. The firm's fifty day simple moving average is $218.35 and its two-hundred day simple moving average is $175.97. The company has a market cap of $21.96 billion, a price-to-earnings ratio of 39.73, a PEG ratio of 1.43 and a beta of 1.25. Jabil has a fifty-two week low of $99.67 and a fifty-two week high of $232.84. The company has a debt-to-equity ratio of 1.85, a current ratio of 0.98 and a quick ratio of 0.64.

Jabil (NYSE:JBL - Get Free Report) last released its quarterly earnings results on Tuesday, June 17th. The technology company reported $2.55 earnings per share for the quarter, beating analysts' consensus estimates of $2.28 by $0.27. The business had revenue of $7.83 billion during the quarter, compared to analyst estimates of $7.03 billion. Jabil had a net margin of 2.02% and a return on equity of 60.19%. The business's revenue was up 15.7% on a year-over-year basis. During the same period last year, the business earned $1.89 EPS. Jabil has set its FY 2025 guidance at 9.330-9.330 EPS. Q4 2025 guidance at 2.640-3.040 EPS. As a group, analysts forecast that Jabil will post 8.05 earnings per share for the current fiscal year.

Jabil Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 3rd. Investors of record on Friday, August 15th will be given a $0.08 dividend. The ex-dividend date is Friday, August 15th. This represents a $0.32 annualized dividend and a yield of 0.2%. Jabil's dividend payout ratio (DPR) is currently 6.21%.

Insider Transactions at Jabil

In related news, EVP Andrew Priestley sold 3,702 shares of Jabil stock in a transaction dated Wednesday, July 23rd. The shares were sold at an average price of $225.00, for a total value of $832,950.00. Following the sale, the executive vice president directly owned 44,833 shares in the company, valued at $10,087,425. This trade represents a 7.63% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Chairman Mark T. Mondello sold 20,000 shares of Jabil stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $219.20, for a total transaction of $4,384,000.00. Following the completion of the sale, the chairman owned 1,420,190 shares in the company, valued at approximately $311,305,648. This represents a 1.39% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 312,847 shares of company stock worth $63,199,847 over the last 90 days. Corporate insiders own 1.73% of the company's stock.

Institutional Trading of Jabil

Hedge funds have recently bought and sold shares of the company. Orion Porfolio Solutions LLC raised its position in shares of Jabil by 230.5% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 10,327 shares of the technology company's stock worth $2,252,000 after buying an additional 7,202 shares in the last quarter. MASTERINVEST Kapitalanlage GmbH bought a new stake in shares of Jabil during the 2nd quarter worth about $1,950,000. Neuberger Berman Group LLC raised its position in shares of Jabil by 207.6% during the 2nd quarter. Neuberger Berman Group LLC now owns 46,812 shares of the technology company's stock worth $10,210,000 after buying an additional 31,593 shares in the last quarter. Newbridge Financial Services Group Inc. bought a new stake in shares of Jabil during the 2nd quarter worth about $142,000. Finally, CYBER HORNET ETFs LLC bought a new stake in shares of Jabil during the 2nd quarter worth about $72,000. 93.39% of the stock is currently owned by institutional investors.

About Jabil

Jabil Inc provides manufacturing services and solutions worldwide. It operates in two segments, Electronics Manufacturing Services and Diversified Manufacturing Services. The company offers electronics design, production, and product management services; electronic circuit 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).