Jabil Stock Hits Highs on AI Tailwinds and Strong Buybacks

Core Insights - Jabil's share price has shown recovery, with Q3 results indicating a significant boost from AI investments, particularly in cloud and data center segments [1][4] - The company reported $7.83 billion in revenue for Q3, a 15.7% year-over-year increase, outperforming consensus estimates by 1000 basis points [4] - Jabil's guidance for Q4 and the fiscal year suggests continued strength, with expectations for revenue and earnings to exceed consensus targets [6] Financial Performance - Operating income increased by 55% and net income by 72%, with adjusted earnings of $2.55, surpassing expectations by $0.23 [5] - Despite a decline in cash balance and equity, investments and inventory increases offset these declines, with aggressive share buybacks reducing the share count by 10% year-over-year [2][3] Market Trends - Analysts maintain a Moderate Buy rating for Jabil, with a 12-month price forecast of $169.17, indicating a potential downside of 13.88% from the current price [7][8] - Institutional ownership is strong at approximately 94%, with institutions actively buying shares this year [9] - The stock has shown bullish momentum post-Q3 results, with a market surge of over 10% and indications of further upward movement [10]