JABIL INC (JBL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:JBL - US4663131039 - Common Stock
228.09 USD
+2.67 (+1.18%)
228.503 USD
+0.41 (+0.18%)
We assign a fundamental rating of 6 out of 10 to JBL. JBL was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. While JBL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. JBL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year JBL was profitable.
In the past year JBL had a positive cash flow from operations.
In the past 5 years JBL has always been profitable.
Each year in the past 5 years JBL had a positive operating cash flow.
1.2 Ratios
JBL has a Return On Assets of 3.54%. This is in the better half of the industry: JBL outperforms 64.00% of its industry peers.
Looking at the Return On Equity, with a value of 43.42%, JBL belongs to the top of the industry, outperforming 98.40% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 22.74%, JBL belongs to the top of the industry, outperforming 96.80% of the companies in the same industry.
JBL had an Average Return On Invested Capital over the past 3 years of 20.19%. This is significantly above the industry average of 9.26%.
The last Return On Invested Capital (22.74%) for JBL is above the 3 year average (20.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 43.42% | ||
| ROIC | 22.74% |
ROA(3y)5.25%
ROA(5y)5%
ROE(3y)50.62%
ROE(5y)45.02%
ROIC(3y)20.19%
ROIC(5y)18.61%
1.3 Margins
JBL has a Profit Margin (2.20%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of JBL has grown nicely.
With a decent Operating Margin value of 4.82%, JBL is doing good in the industry, outperforming 61.60% of the companies in the same industry.
JBL's Operating Margin has improved in the last couple of years.
JBL has a worse Gross Margin (8.88%) than 83.20% of its industry peers.
JBL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.82% | ||
| PM (TTM) | 2.2% | ||
| GM | 8.88% |
OM growth 3Y4.56%
OM growth 5Y10.49%
PM growth 3Y-9.51%
PM growth 5Y61.92%
GM growth 3Y4.14%
GM growth 5Y3.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), JBL is creating value.
JBL has less shares outstanding than it did 1 year ago.
The number of shares outstanding for JBL has been reduced compared to 5 years ago.
The debt/assets ratio for JBL has been reduced compared to a year ago.
2.2 Solvency
JBL has an Altman-Z score of 3.20. This indicates that JBL is financially healthy and has little risk of bankruptcy at the moment.
JBL has a Altman-Z score (3.20) which is in line with its industry peers.
JBL has a debt to FCF ratio of 2.46. This is a good value and a sign of high solvency as JBL would need 2.46 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.46, JBL is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
JBL has a Debt/Equity ratio of 1.58. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.58, JBL is doing worse than 92.80% of the companies in the same industry.
Although JBL does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.58 | ||
| Debt/FCF | 2.46 | ||
| Altman-Z | 3.2 |
ROIC/WACC2.58
WACC8.82%
2.3 Liquidity
JBL has a Current Ratio of 1.00. This is a normal value and indicates that JBL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of JBL (1.00) is worse than 92.00% of its industry peers.
A Quick Ratio of 0.66 indicates that JBL may have some problems paying its short term obligations.
With a Quick ratio value of 0.66, JBL is not doing good in the industry: 92.80% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
JBL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.47%, which is quite good.
The Earnings Per Share has been growing by 27.52% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 3.18% in the past year.
JBL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.79% yearly.
EPS 1Y (TTM)15.47%
EPS 3Y8.49%
EPS 5Y27.52%
EPS Q2Q%43.04%
Revenue 1Y (TTM)3.18%
Revenue growth 3Y-3.8%
Revenue growth 5Y1.79%
Sales Q2Q%18.5%
3.2 Future
JBL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.29% yearly.
Based on estimates for the next years, JBL will show a small growth in Revenue. The Revenue will grow by 7.40% on average per year.
EPS Next Y14.56%
EPS Next 2Y15.11%
EPS Next 3Y15.29%
EPS Next 5YN/A
Revenue Next Year8.09%
Revenue Next 2Y7.07%
Revenue Next 3Y7.4%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.32, JBL is valued on the expensive side.
72.00% of the companies in the same industry are more expensive than JBL, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.28. JBL is around the same levels.
The Price/Forward Earnings ratio is 20.36, which indicates a rather expensive current valuation of JBL.
Based on the Price/Forward Earnings ratio, JBL is valued a bit cheaper than 68.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.52. JBL is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.32 | ||
| Fwd PE | 20.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, JBL is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of JBL indicates a rather cheap valuation: JBL is cheaper than 80.80% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.79 | ||
| EV/EBITDA | 12 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of JBL may justify a higher PE ratio.
A more expensive valuation may be justified as JBL's earnings are expected to grow with 15.29% in the coming years.
PEG (NY)1.6
PEG (5Y)0.85
EPS Next 2Y15.11%
EPS Next 3Y15.29%
5. Dividend
5.1 Amount
JBL has a yearly dividend return of 0.15%, which is pretty low.
JBL's Dividend Yield is a higher than the industry average which is at 2.34.
With a Dividend Yield of 0.15, JBL pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.15% |
5.2 History
The dividend of JBL decreases each year by -0.41%.
JBL has paid a dividend for at least 10 years, which is a reliable track record.
JBL has decreased its dividend recently.
Dividend Growth(5Y)-0.41%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
5.48% of the earnings are spent on dividend by JBL. This is a low number and sustainable payout ratio.
DP5.48%
EPS Next 2Y15.11%
EPS Next 3Y15.29%
228.09
+2.67 (+1.18%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners98.41%
Inst Owner Change-0.25%
Ins Owners0.48%
Ins Owner Change-6.71%
Market Cap24.37B
Revenue(TTM)29.80B
Net Income(TTM)657.00M
Analysts83.75
Price Target251.66 (10.33%)
Short Float %3.89%
Short Ratio3.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.15% |
Yearly Dividend0.33
Dividend Growth(5Y)-0.41%
DP5.48%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.38%
Min EPS beat(2)9.3%
Max EPS beat(2)11.46%
EPS beat(4)4
Avg EPS beat(4)7.84%
Min EPS beat(4)5.13%
Max EPS beat(4)11.46%
EPS beat(8)7
Avg EPS beat(8)4.42%
EPS beat(12)11
Avg EPS beat(12)4.02%
EPS beat(16)15
Avg EPS beat(16)5.01%
Revenue beat(2)2
Avg Revenue beat(2)8.73%
Min Revenue beat(2)7.67%
Max Revenue beat(2)9.79%
Revenue beat(4)4
Avg Revenue beat(4)6.55%
Min Revenue beat(4)3.96%
Max Revenue beat(4)9.79%
Revenue beat(8)6
Avg Revenue beat(8)3.78%
Revenue beat(12)8
Avg Revenue beat(12)2.74%
Revenue beat(16)12
Avg Revenue beat(16)2.67%
PT rev (1m)-0.63%
PT rev (3m)9.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.43%
EPS NY rev (1m)0%
EPS NY rev (3m)2.54%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)7.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.32 | ||
| Fwd PE | 20.36 | ||
| P/S | 0.82 | ||
| P/FCF | 20.79 | ||
| P/OCF | 14.86 | ||
| P/B | 16.11 | ||
| P/tB | 61.08 | ||
| EV/EBITDA | 12 |
EPS(TTM)9.78
EY4.29%
EPS(NY)11.2
Fwd EY4.91%
FCF(TTM)10.97
FCFY4.81%
OCF(TTM)15.35
OCFY6.73%
SpS278.94
BVpS14.16
TBVpS3.73
PEG (NY)1.6
PEG (5Y)0.85
Graham Number55.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.54% | ||
| ROE | 43.42% | ||
| ROCE | 29.74% | ||
| ROIC | 22.74% | ||
| ROICexc | 37.91% | ||
| ROICexgc | 61.62% | ||
| OM | 4.82% | ||
| PM (TTM) | 2.2% | ||
| GM | 8.88% | ||
| FCFM | 3.93% |
ROA(3y)5.25%
ROA(5y)5%
ROE(3y)50.62%
ROE(5y)45.02%
ROIC(3y)20.19%
ROIC(5y)18.61%
ROICexc(3y)31.76%
ROICexc(5y)27.76%
ROICexgc(3y)44.58%
ROICexgc(5y)37.57%
ROCE(3y)26.41%
ROCE(5y)24.34%
ROICexgc growth 3Y28.09%
ROICexgc growth 5Y25.12%
ROICexc growth 3Y16.87%
ROICexc growth 5Y19.63%
OM growth 3Y4.56%
OM growth 5Y10.49%
PM growth 3Y-9.51%
PM growth 5Y61.92%
GM growth 3Y4.14%
GM growth 5Y3.48%
F-Score5
Asset Turnover1.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.58 | ||
| Debt/FCF | 2.46 | ||
| Debt/EBITDA | 1.13 | ||
| Cap/Depr | 69.44% | ||
| Cap/Sales | 1.57% | ||
| Interest Coverage | 8.86 | ||
| Cash Conversion | 77.73% | ||
| Profit Quality | 178.39% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 3.2 |
F-Score5
WACC8.82%
ROIC/WACC2.58
Cap/Depr(3y)97.85%
Cap/Depr(5y)115.12%
Cap/Sales(3y)2.42%
Cap/Sales(5y)3.07%
Profit Quality(3y)110.53%
Profit Quality(5y)79.53%
High Growth Momentum
Growth
EPS 1Y (TTM)15.47%
EPS 3Y8.49%
EPS 5Y27.52%
EPS Q2Q%43.04%
EPS Next Y14.56%
EPS Next 2Y15.11%
EPS Next 3Y15.29%
EPS Next 5YN/A
Revenue 1Y (TTM)3.18%
Revenue growth 3Y-3.8%
Revenue growth 5Y1.79%
Sales Q2Q%18.5%
Revenue Next Year8.09%
Revenue Next 2Y7.07%
Revenue Next 3Y7.4%
Revenue Next 5YN/A
EBIT growth 1Y-0.07%
EBIT growth 3Y0.59%
EBIT growth 5Y12.47%
EBIT Next Year59.19%
EBIT Next 3Y24.4%
EBIT Next 5YN/A
FCF growth 1Y25.75%
FCF growth 3Y63.94%
FCF growth 5Y33.7%
OCF growth 1Y-4.43%
OCF growth 3Y-0.22%
OCF growth 5Y5.46%
JABIL INC / JBL FAQ
What is the fundamental rating for JBL stock?
ChartMill assigns a fundamental rating of 6 / 10 to JBL.
Can you provide the valuation status for JABIL INC?
ChartMill assigns a valuation rating of 5 / 10 to JABIL INC (JBL). This can be considered as Fairly Valued.
How profitable is JABIL INC (JBL) stock?
JABIL INC (JBL) has a profitability rating of 8 / 10.
What are the PE and PB ratios of JABIL INC (JBL) stock?
The Price/Earnings (PE) ratio for JABIL INC (JBL) is 23.32 and the Price/Book (PB) ratio is 16.11.
What is the earnings growth outlook for JABIL INC?
The Earnings per Share (EPS) of JABIL INC (JBL) is expected to grow by 14.56% in the next year.