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Kristine Melachrino, Senior Vice President and General Counsel at Jabil Inc. (NYSE:JBL), recently sold 3,592 shares of the company's common stock. The transaction, which took place on October 30, 2024, was executed at an average price of $124.17 per share, amounting to a total value of approximately $446,002.
Following this sale, Melachrino holds 31,978 shares of Jabil Inc. The transaction was reported in a Form 4 filing with the Securities and Exchange Commission on November 1, 2024.
In other recent news, Jabil Inc. reported robust Q4 and fiscal year 2024 financial results, with revenues hitting $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. Looking ahead, Jabil projects Q1 FY '25 revenues to be between $6.3 billion and $6.9 billion, with core earnings per share estimated at $1.65 to $2.05.
In a strategic move, Jabil acquired Mikros Technologies LLC, aiming to enhance its data center solutions and address thermal management needs in sectors like AI, energy storage, and electric vehicles. Jabil has also reorganized into three segments: Regulated Industries, Intelligent Infrastructure, and Connected Living & Digital Commerce. The company divested its Mobility business for $2.2 billion, returning much of the proceeds to shareholders.
Furthermore, Jabil lowered the ownership threshold required for shareholders to call a special meeting, seen as a step towards enhancing shareholder rights and improving corporate governance practices. Additionally, Jabil and Axiado Corporation have developed new server solutions aimed at enhancing security for cloud and data-center environments. These recent developments reflect Jabil's commitment to its growth strategy and returning value to shareholders.
InvestingPro Insights
While Kristine Melachrino's recent stock sale might raise eyebrows, it's essential to consider Jabil Inc.'s broader financial picture. According to InvestingPro data, Jabil boasts a market capitalization of $14.39 billion and trades at a P/E ratio of 11.27, suggesting a potentially undervalued stock relative to its earnings.
An InvestingPro Tip highlights that management has been aggressively buying back shares, which could signal confidence in the company's future prospects and potentially offset the impact of insider sales. Additionally, Jabil has maintained dividend payments for 19 consecutive years, demonstrating a commitment to shareholder returns.
Despite a revenue decline of 16.77% in the last twelve months, Jabil remains profitable with a gross profit of $2.676 billion. The company's operating income margin stands at 5.01%, indicating efficient operations despite challenging market conditions.
For investors seeking a more comprehensive analysis, InvestingPro offers 12 additional tips for Jabil, providing a deeper understanding of the company's financial health and market position.
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