Skip to main content

Market Overview

Earnings Preview for Jabil Circuit

Share:

Jabil Circuit (NYSE: JBL) is set to report third-quarter fiscal 2011 results Tuesday, June 21, after the markets close. Analysts are looking for the tech company to report that earnings grew 29.8% from a year ago to $0.57 per share. Sixty days ago, that consensus earnings estimate was the same. The revenue forecast for the quarter calls for $4.1 billion, an increase of 19.9% from the same period of last year.

The Company

St. Petersburg, Florida-based Jabil Circuit is one of the leading providers of electronics manufacturing services in the world. Its largest customers include Apple (NASDAQ: AAPL), Cisco Systems (NASDAQ: CSCO), General Electric (NYSE: GE), IBM (NYSE: IBM), Research In Motion (NASDAQ: RIMM) and Hewlett-Packard (NYSE: HPQ).

In the three months that ended in May, the company added an independent board member and announced a strategic partnership with JA Solar (NASDAQ: JASO).

Looking Ahead

Analysts so far expect to see sequential and year-over-year growth of earnings and revenue from Jabil in the fourth quarter. For the full year, earnings are expected to be up 34.5% to $2.32 per share and revenues up 22.7% to $16.5 billion. Note that earnings results were better than expected in the past nine quarters; the beat was by 6.7% in the previous quarter.

Performance

The long-term earnings per share growth forecast is 10.0%. The trailing P/E ratio is 8.8 and the PEG ratio is 0.8. Jabil has a return on equity of 15.2 and a dividend yield of 1.5%. Analysts on average recommend buying JBL and have for more than 90 days. Their mean price target (a sign of where they expect the share price to go) is currently $25.45.

However, the share price has traded mostly between $19 and $22 since December. Shares closed Friday at $18.29. Yet, year to date, the stock has outperformed its industry average, but underperformed the broader markets.

 

Related Articles (AAPL + CSCO)

View Comments and Join the Discussion!

Posted-In: Apple Cisco SystemsEarnings Long Ideas News Short Ideas Previews Trading Ideas

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com