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Jabil Inc (NYSE:JBL) Senior Vice President and Chief Procurement Officer, McKay Francis, recently sold 11,755 shares of the company's common stock. The transactions, executed on October 31, 2024, were completed at a weighted average price of $121.7098 per share, totaling approximately $1.43 million. Following this sale, Francis holds 41,507 shares of Jabil Inc. The trades were conducted at prices ranging from $121.6818 to $121.9250.
In other recent news, Jabil Inc. reported robust Q4 and fiscal year 2024 financial results, with revenues reaching $7 billion. The company also completed a $2.5 billion share repurchase program and announced a new $1 billion buyback plan for fiscal year 2025. Projections for Q1 FY '25 revenues are between $6.3 billion and $6.9 billion, with core earnings per share estimated at $1.65 to $2.05.
Jabil Inc. has made significant strategic moves, such as acquiring Mikros Technologies LLC to boost its data center solutions and address thermal management needs in sectors like AI, energy storage, and electric vehicles. The company has also reorganized into three segments: Regulated Industries, Intelligent Infrastructure, and Connected Living & Digital Commerce, and divested its Mobility business for $2.2 billion, returning much of the proceeds to shareholders.
In partnership with Axiado Corporation, Jabil Inc. has developed new server solutions aimed at enhancing security for cloud and data center environments. These servers, adhering to Open Compute Project standards, feature advanced AI-driven cybersecurity and offer a choice between AMD (NASDAQ:AMD) 5th Generation EPYC Zen5 and Intel (NASDAQ:INTC) Xeon 6 processors.
Lastly, Jabil Inc. has amended its bylaws to lower the ownership threshold required for shareholders to call a special meeting from a majority to at least twenty-five percent of the voting power. This change aims to streamline the process for shareholders to convene special meetings and enhance shareholder rights. These are the recent developments in Jabil Inc.'s operations.
InvestingPro Insights
In light of the recent stock sale by Jabil Inc's Senior Vice President, it's worth examining some key financial metrics and insights provided by InvestingPro. Jabil's market capitalization stands at $14.39 billion, reflecting its significant presence in the Electronic Equipment, Instruments & Components industry. The company's P/E ratio of 11.27 suggests that it may be undervalued compared to its peers, which aligns with an InvestingPro Tip indicating that Jabil is trading at a low P/E ratio relative to its near-term earnings growth.
Despite the insider sale, Jabil has shown strong financial performance. The company's revenue for the last twelve months as of Q4 2024 was $28.88 billion, although it experienced a revenue decline of 16.77% during this period. This decline might explain why 5 analysts have revised their earnings downwards for the upcoming period, as noted in another InvestingPro Tip.
On a positive note, Jabil has maintained dividend payments for 19 consecutive years, demonstrating a commitment to shareholder returns. This is complemented by management's aggressive share buyback program, which could potentially boost shareholder value. The company's dividend yield stands at 0.26%, with the last ex-dividend date on August 15, 2024.
For investors seeking a more comprehensive analysis, InvestingPro offers 12 additional tips on Jabil, providing a deeper understanding of the company's financial health and market position. These insights can be particularly valuable when interpreting insider trading activities in the context of broader company performance.
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