Jabil: AI Infrastructure Play Is Becoming More Than Just A Cycle

Jabil is rated a buy with an FY 2027 price target of $363, implying 15% upside driven by AI infrastructure growth. JBL's Q3 2026 results showed 12% YoY revenue growth, led by a 21% surge in intelligent infrastructure and expanding operating margins. Execution on hyperscaler AI contracts and sustained margin expansion are critical for further re-rating and share appreciation into FY 2027. Risks include reduced portfolio diversification as intelligent infrastructure may exceed 50% of revenue, increasing vulnerability to AI spending cycles. Jabil ( JBL ) is a company providing design, manufacturing, and supply chain solutions for original equipment manufacturers (OEM) globally, making it an EMS (electronics manufacturing services) provider.