Jabil (NYSE: JBL) is experiencing significant growth driven by the booming AI data center market, with its shares soaring 80% over the past year. The company reported a robust fiscal Q2, achieving a 23% year-over-year revenue increase to $8.3 billion, largely fueled by its intelligent infrastructure segment, which saw a staggering 52% revenue growth. Jabil’s adjusted earnings per share rose by 39% to $2.69, surpassing analyst expectations, and the company has raised its full-year revenue guidance to $34 billion.

This growth trajectory is critical as Jabil anticipates a 46% increase in AI revenue for fiscal 2026, bolstered by ongoing discussions with a potential new hyperscaler customer. The company is also on track with a $500 million investment to expand its manufacturing capabilities, which is expected to enhance operational efficiency and margins.

For market professionals, Jabil presents a compelling investment opportunity. With a current forward P/E ratio of 20 and analysts projecting continued earnings growth, the stock could see a 53% upside, making it a strategic addition for those looking to capitalize on the expanding AI infrastructure landscape.

Source: fool.com