📊 JBL Key Takeaways
Is JBL a Good Investment? Thesis Analysis
Jabil demonstrates solid operational performance with strong free cash flow generation ($536M) and exceptional ROE (27.5%), but faces significant financial constraints from high leverage (2.88x D/E) and razor-thin margins (2.2% net, 4% operating) with flat profitability despite 3.2% revenue growth. Liquidity metrics are concerning with a current ratio of 1.01x and quick ratio of 0.68x, leaving limited financial flexibility.
Why Buy JBL? Key Strengths
- Strong free cash flow generation of $536M (3.2% FCF margin) provides operational flexibility
- Exceptional ROE of 27.5% demonstrates efficient capital deployment despite thin margins
- Scale advantage with $16.6B revenue and positive 3.2% YoY growth provides market stability
- Solid operating cash flow of $734M supports dividend and debt service capacity
JBL Investment Risks to Consider
- High financial leverage of 2.88x D/E with tight interest coverage of 3.0x creates vulnerability to rate increases
- Net income flat YoY despite revenue growth indicates profitability deterioration and margin compression
- Liquidity stress with current ratio of 1.01x and quick ratio of 0.68x limits operational cushion
- Structural thin margins (9% gross, 2.2% net) typical of contract manufacturing leave zero margin for error
- Potential share dilution evidenced by 47% YoY EPS decline despite flat net income
Key Metrics to Watch
- Net margin expansion/contraction - must improve from 2.2% to justify current leverage
- Debt/Equity ratio trend - monitor if deleveraging efforts reduce 2.88x ratio
- Free cash flow sustainability - confirm $536M FCF continues for debt reduction
- Interest coverage ratio - must remain above 3.0x minimum threshold
- Working capital management - current ratio decline below 1.01x would signal distress
JBL Financial Metrics
💡 AI Analyst Insight
The relatively thin 3.2% FCF margin may limit capital allocation flexibility.
JBL Profitability Ratios
JBL vs Default Sector
How JABIL INC compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is JBL Overvalued or Undervalued?
Based on fundamental analysis, JABIL INC has mixed fundamental signals relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
JBL Balance Sheet & Liquidity
JBL 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: JABIL INC's revenue has grown significantly by 18% over the 5-year period, indicating strong business expansion. The most recent EPS of $6.02 reflects profitable operations.
JBL Growth Metrics (YoY)
JBL Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2026 | $6.7B | $117.0M | $1.06 |
| Q1 2026 | $7.0B | $100.0M | $0.88 |
| Q3 2025 | $6.8B | $129.0M | $1.06 |
| Q2 2025 | $6.7B | $117.0M | $1.06 |
| Q1 2025 | $7.0B | $100.0M | $0.88 |
| Q3 2024 | $6.8B | $129.0M | $1.06 |
| Q2 2024 | $6.8B | $207.0M | $1.52 |
| Q1 2024 | $8.4B | $194.0M | $1.47 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
JBL Capital Allocation
JBL SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for JABIL INC (CIK: 0000898293)
📋 Recent SEC Filings
❓ Frequently Asked Questions about JBL
What is the AI rating for JBL?
JABIL INC (JBL) has an AI rating of HOLD with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are JBL's key strengths?
Claude: Strong free cash flow generation of $536M (3.2% FCF margin) provides operational flexibility. Exceptional ROE of 27.5% demonstrates efficient capital deployment despite thin margins.
What are the risks of investing in JBL?
Claude: High financial leverage of 2.88x D/E with tight interest coverage of 3.0x creates vulnerability to rate increases. Net income flat YoY despite revenue growth indicates profitability deterioration and margin compression.
What is JBL's revenue and growth?
JABIL INC reported revenue of $16.6B.
Does JBL pay dividends?
JABIL INC pays dividends, with $18.0M distributed to shareholders in the trailing twelve months.
Where can I find JBL SEC filings?
Official SEC filings for JABIL INC (CIK: 0000898293) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is JBL's EPS?
JABIL INC has a diluted EPS of $3.43.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is JBL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, JABIL INC has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is JBL stock overvalued or undervalued?
Valuation metrics for JBL: ROE of 27.5% (sector avg: 15%), net margin of 2.2% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy JBL stock in 2026?
Our dual AI analysis gives JABIL INC a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is JBL's free cash flow?
JABIL INC's operating cash flow is $734.0M, with capital expenditures of $198.0M. FCF margin is 3.2%.
How does JBL compare to other Default stocks?
Vs Default sector averages: Net margin 2.2% (avg: 12%), ROE 27.5% (avg: 15%), current ratio 1.01 (avg: 1.8).