Jabil raises FY26 sales outlook to $35 billion on strong Q3

1 min read Updated on 17 Jun 2026, 05:34 PM

Reviewed by

Anirudha BScanX News Team

AI Summary

Jabil Inc. has raised its fiscal 2026 outlook for revenue to $35 billion and core diluted EPS to $12.70, driven by strong AI infrastructure demand. For the third quarter ended May 31, 2026, net revenue increased 11.79% to $8.751 billion, with core diluted EPS of $3.16. The company projects Q4 net revenue between $9.2 billion and $10.0 billion, with core diluted EPS expected between $3.80 and $4.20.

*this image is generated using AI for illustrative purposes only.

Jabil Inc. raised its fiscal 2026 outlook for revenue, core operating margins, core earnings per share (EPS), and adjusted free cash flow, citing strong demand for AI infrastructure and better-than-expected performance in its automotive and connected living segments. The company increased its sales outlook from $34.000 billion to $35.000 billion and adjusted its core diluted EPS guidance from $12.25 to $12.70, compared to an analyst estimate of $12.38.

Third Quarter Performance

For the three months ended May 31, 2026, Jabil achieved net revenue of $8.751 billion, an 11.79 percent increase over sales of $7.828 billion in the same period last year. U.S. GAAP operating income was $445 million, with U.S. GAAP diluted EPS of $2.59. On a non-GAAP basis, core operating income was $504 million and core diluted EPS was $3.16, beating the analyst consensus estimate of $3.10. Net income attributable to Jabil Inc. was $275 million.

Outlook

Jabil provided guidance for the fourth quarter of fiscal 2026, projecting net revenue between $9.2 billion and $10.0 billion. The company expects U.S. GAAP diluted EPS to range from $3.24 to $3.64, compared to an analyst estimate of $3.01, while core diluted EPS is forecast between $3.80 and $4.20, versus an analyst estimate of $3.72.

For the full fiscal year 2026, Jabil increased its outlook to $35 billion in net revenue. The company projects a core operating margin of 5.8%, core diluted EPS of $12.70, and adjusted free cash flow of $1.4+ billion.

Metric	Q3 FY26 Result	Q4 FY26 Outlook	FY26 Outlook
Net Revenue	$8.751 billion	$9.2 - $10.0 billion	$35 billion
Core Diluted EPS	$3.16	$3.80 - $4.20	$12.70
U.S. GAAP Diluted EPS	$2.59	$3.24 - $3.64	N/A
Core Operating Income	$504 million	$589 - $649 million	N/A
Adjusted Free Cash Flow	N/A	N/A	$1.4+ billion

How sustainable is the current demand for AI infrastructure, and what risks could impact future growth in this segment?

What specific strategies is Jabil employing to maintain or expand its core operating margins beyond fiscal 2026?

How might increased competition in the automotive and connected living markets affect Jabil's market share and pricing power?

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Barclays maintains Underweight on CarMax, raises target to $31

0 min read Updated on 12 Jun 2026, 10:10 PM

Reviewed by

Radhika SScanX News Team

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Barclays analyst John Babcock maintained an Underweight rating on CarMax and increased the price target to $31 from $26. The decision reflects a revised valuation while keeping a cautious view. CarMax is listed on the NYSE under the symbol KMX.

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Barclays analyst John Babcock has maintained an Underweight rating on CarMax, raising the price target to $31 from the previous $26. The revision signals a shift in the valuation outlook while retaining a cautious stance on the stock.

The updated price target of $31 suggests a specific entry point for investors, though the Underweight rating indicates continued underperformance relative to the broader market or sector peers. This rating adjustment follows a review of the company's financial position and market conditions.

CarMax operates as a retailer of used vehicles in the United States and is listed on the New York Stock Exchange (NYSE) under the ticker symbol KMX. The company's performance is closely tied to consumer demand and the automotive retail cycle.