Why Jabil Could Continue to Go Higher

TigerOptions
06-25

I’ve been closely tracking $Jabil Circuit(JBL)$ and believe that it’s emerging as one of the more compelling stocks to consider at the moment. The company isn’t searching for attention—it’s commanding it through a potent combination of accelerating growth, technical strength, and growing analyst optimism. Let me walk you through why Jabil has captured my attention.

First and foremost, Jabil delivered an exceptional Q3 report. The company posted a 35% increase in earnings per share, marking its second straight quarter of robust profit improvement, and about a 16% rise in revenue, which extended its accelerating sales streak to four consecutive quarters. Seeing both top and bottom lines strengthen so meaningfully is rare outside of high-octane tech names. It tells me Jabil isn’t just riding a cyclical uptick—it’s executing well across multiple business lines.

In addition, Jabil holds a prestigious 95 EPS Rating and an IBD Composite Rating of 96, placing it in the top 4% of U.S. stocks based on fundamental and technical performance. When I see ratings like those, I can’t ignore the possibility of strong follow-through—historically, the best performers frequently emerge from this echelon.

Wall Street’s sentiment on Jabil adds further conviction. Raymond James maintains a Strong Buy rating with a $170 price target, praising Jabil’s capabilities across cloud/AI data centers and communications equipment—supported by its U.S.-based tech infrastructure and strategic customer relationships. Meanwhile, Zacks pegs Jabil with a #2 Buy ranking. These are not fringe opinions—they reflect respected firms aligning on Jabil’s potential.

Technical Setup

JBL Daily Chart

From a chart perspective, I see real potential in JBL’s setup. A classic example of consolidation turning into a launch pad. While the risk-reward ratio is no longer attractive given that it has already risen so much at a short period of time, I believe there is still room for a little more push higher. This means that I will consider short term options strategy to anticipate another leg higher. For a safer option, we can wait for a pull back to happen before trying to trade this stock.

What strikes me most is how Jabil has branched into higher-growth sectors while maintaining strong contract-manufacturing roots. Everything from cloud and AI data centers to advanced industrial, automotive, and healthcare applications now forms part of its Intelligent Infrastructure segment. That diversification reduces cyclical risk and gears the company for synchronous expansion as tech demand shifts—something not every mid-cap can claim.

That said, I’m cautious about two main risks. First, contract manufacturers like Jabil are still sensitive to cyclical tech spending. Should chip or cloud capex cool abruptly, sales could soften quickly. Second, the stock has already eclipsed analyst targets of average $173, so future multiple expansion may be harder to achieve without fresh earnings acceleration.

I must admit, the current price looks overbought. Personally, I would say that the true value is at $180–$185. For patient investors, it is better to wait for a pullback to $168-$175 range. If the price drops below $165, the next range to look at is $145-$150.

Final Thoughts

Jabil combines accelerating earnings and revenue growth with elite ratings (EPS 95, Composite 96), affirmation from analysts, and a classic breakout-setup in its chart. Amid broader market fatigue, JBL offers a mid-cap growth opportunity with institutional backing and a technical structure that is increasingly attractive.

If you’re hunting for a disciplined, intelligent way into a consumer-facing, tech-enabled manufacturing play, I believe Jabil deserves to be on your watchlist.

@MillionaireTiger @Tiger_comments @Daily_Discussion @CaptainTiger @TigerSG

Disclaimer: This is a general analysis and not financial advice. Always conduct your own research before making any investment decisions.

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Comments

  • Kristina_
    06-25
    Kristina_
    JBL is lowkey killing it lately! Loving how they’re tapping into cloud & AI infra—def feels like a hidden tech gem with real momentum.[Miser]
  • JimmyHua
    06-25
    JimmyHua
    Solid fundamentals and a clean chart—JBL looks like a stable long-term hold. Definitely keeping this one on my radar.💪
  • AL_Ishan
    06-25
    AL_Ishan
    JBL ain't flashy, but that growth combo is kinda fire🔥 Might YOLO some short-term calls if it keeps heating up.
  • Mortimer Arthur
    06-26
    Mortimer Arthur
    Great earnings. Big run coming

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