Jabil (NYSE: JBL) shares rose nearly 2% intraday on Wednesday after BofA Securities raised its price target to $280 from $265 while maintaining a Buy rating.
BofA said it recently hosted an investor meeting with senior Jabil executives, including EVP Matt Crowley and SVP Adam Berry, and came away more confident in the company’s growth outlook. The firm said demand in Jabil’s Intelligent Infrastructure business remained strong for at least the next 24 to 36 months.
According to the analyst, Jabil was receiving greater visibility from customers than usual, with purchase orders arriving earlier due to lengthening component lead times. Looking to fiscal 2027, Jabil sees opportunities to partner with networking OEMs as data center architectures evolve toward rack-level systems.
While guidance was unchanged, BofA said it was more confident that Jabil could accelerate AI-related revenue growth next year, potentially returning to the roughly 50% year-over-year growth seen previously, compared with the 35% growth guided for fiscal 2026.
The firm raised its price objective to $280 based on a 20x multiple applied to calendar 2027 earnings of $13.75 per share, reflecting increased confidence in revenue growth and margin expansion.
