From Quiver Quantitative:

Hedge funds and asset managers have been increasing their holdings in Jabil Inc. (NYSE: JBL), with firms like Fidelity, Point72 Asset Management, and Whale Rock Capital Management adding to their JBL positions. Jabil reported $8.4 billion in net revenue, GAAP EBIT of $303 million dollars, and GAAP Diluted EPS of $1.47/share for the first quarter of FY24. With projected net revenue of $7 – $7.6 billion, GAAP EBIT of $216 – $301 million dollars, and GAAP Diluted EPS of $0.77 to $1.37/share for Q2 F24, the company foresees weakened earnings due to softened demand. However, Jabil looks like a compelling investment opportunity at current valuations. Jabil operates through two main segments: Electronics Manufacturing Services (EMS) and Diversified Manufacturing Services (DMS). Jabil competes in a highly competitive landscape and poses a significant long-term investment opportunity due to its operational efficiency and growth potential. Jabil Inc.’s strategy for sustained growth revolves around leveraging its position as a leading manufacturing services provider to expand and diversify its offerings and customer base. Management is solid, and their capital allocation priorities do a great job of creating long-term shareholder value. It is a very efficient business, and looking at its income statement, we can see some stellar sustained growth in revenue, gross profit, and earnings within the last decade.



Read more: The Bull Case for Jabil Inc. (NYSE: JBL)