BofA Stays Bullish on Jabil (JBL) as FY26 Outlook Exceeds Expectations

Jabil Inc. (NYSE:JBL) is included among the 20 Best Performing Dividend Stocks in 2025.

On December 18, BofA raised its price target on Jabil Inc. (NYSE:JBL) to $265 from $262 and kept a Buy rating on the stock. The move followed what the firm described as a “strong” fiscal Q1, along with higher FY26 revenue and EPS guidance that came in above both BofA’s and the Street’s estimates. The analyst noted that momentum in existing programs and a growing pipeline of potential AI-related projects leave room for upside, calling FY26 guidance “conservative.”

A day earlier, on December 17, Jabil forecast full-year revenue and profit above Wall Street expectations. The outlook reflected rising demand tied to AI-driven data center spending and pushed the shares up more than 5.8% in premarket trading. The company expects fiscal 2026 revenue of $32.4 billion. Analysts were looking for about $31.52 billion, based on LSEG data. That gap caught attention, especially in a market where guidance matters as much as results. Investment in data center infrastructure continues to build as companies expand computing capacity to support AI technologies. That trend has worked in Jabil’s favor. The company also beat expectations in the first quarter, reinforcing confidence in its execution.

Jabil Inc. (NYSE:JBL) operates as a global engineering, design, manufacturing, and supply chain partner. It works with major brands, including Apple, helping bring products from early concept through production across sectors such as healthcare, automotive, technology, and aerospace.

While we acknowledge the potential of JBL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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