Jabil Downgraded to Hold on Valuation Concerns

Jabil was downgraded to 'Hold' as its valuation rerated to ~23x NTM P/E, near a 10-year high. AI revenue remains strong, with management guiding for ~$13.6B in FY2026 AI revenue, up 50% year-over-year. Consensus EPS estimates rose to $20, but execution risk around hyperscaler ramp and capacity persists.