Jabil: On Fire Year-To-Date (+13%) And Still A Fantastic Value

Summary

• At pixel time, the stock of Jabil is up 13.6% this year, yet still trades with a forward P/E of only 9.3x.
• Florida-based JBL will likely be a prime beneficiary of the global trend to diversify and off-shore electronic manufacturing operations away from China.
• Free cash flow is growing as the company shifts to higher margin opportunities. As a result, earnings and FCF are growing faster than revenue.
• Jabil has a history of topping consensus EPS estimates, and did so again in its Q1 FY23. It's likely to do the same for Q2 and full-year 2023.

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For whatever reason, and despite the company's consistent excellent financial and operational performance, my Seeking Alpha articles on Jabil (NYSE:JBL) get some of the fewest page views of all the companies I cover on a consistent basis. I actually view

Analyst’s Disclosure:I/we have a beneficial long position in the shares of JBL. VOO, QQQ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I am an electronics engineer, not a CFA. The information and data presented in this article were obtained from company documents and/or sources believed to be reliable, but have not been independently verified. Therefore, the author cannot guarantee their accuracy. Please do your own research and contact a qualified investment advisor. I am not responsible for the investment decisions you make.