Benzinga | Mar 15, 2021 11:49AM EDT

A Preview Of Jabil's Earnings

On Tuesday, March 16, Jabil (NYSE:JBL) will release its latest earnings report. Benzinga's outlook for Jabil is included in the following report.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Analysts expect Jabil earnings of $0.95 per share. Revenue will likely be around $6.57 billion, according to the consensus estimate. Jabil EPS in the same period a year ago totaled $0.5. Revenue was $6.12 billion.

Why Analyst Estimates And Earnings Surprises Are Important

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to report earnings in line when it publishes results Tuesday, quarterly profit would be up 90.0%. Revenue would be up 7.27% from the year-ago period. Jabil's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q1 2020 Q4 2020 Q3 2020 Q2 2020EPS Estimate 1.27 0.66 0.32 0.64EPS Actual 1.60 0.98 0.37 0.50Revenue Estimate 7.03 B 6.29 B 5.57 B 6.16 BRevenue Actual 7.83 B 7.30 B 6.34 B 6.12 B

Stock Performance

Shares of Jabil were trading at $48.425 as of March 12. Over the last 52-week period, shares are up 124.08%. Given that these returns are generally positive, long-term shareholders are probably content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Jabil is scheduled to hold the call at 08:30:00 ET and can be accessed here.