Patroller, An Employeee Perspective
From the Yahoo board. Post seems to ring true, so I find
no reason to doubt it's veracity. It's very positive.
Jabil Info For All / jatampa1 / May 26 1998
This will be an extremely lengthy message, but worth reading....
you may want to print it, then read it.
REPLY TO: MailtoJerry
I work at Jabil's St.Pete, FL campus (Test Engineering Department).
I am not on the Board of Directors, so this is not insider trading
information.
"MailtoJerry" asked me how business looks from the inside. Well,
here is my view.....
First, you will have to understand that even though Jabil Circuit
falls under the Tech. Sector, there is an amazing diversity of
product lines that make up the company.
From Cisco, 3Com, NEC, Itronix, Fujikura, Quantum, Apple, Whirlpool,
GI, ViaSat, Diva, PairGain, Gateway, etc, etc, etc... With
manufacturing plants in Florida, California, Michigan, Scotland,
Mexico, and Malasia. So why all the up's and down's? Jabil gets
penalized when individual markets, for example, the "HOME PC"
market, runs into trouble. People see "Technology" and panic.
But if you research their product line, Home PC's bairly concern
the interest of Jabil. This explains a lot of the up's and down's
of Jabil (in my opinion). Jabil's revenue increases, profit increases,
employee profit sharing is at an all time high, yet the stock goes down!!
Jabil is absolutely ontop of things, and I think our corporate team
is "beyond" professional. So where does this leave us? Well, as most
of you know, it leaves us confused, but also undervalued (see
www.vectorvest.com for Jabil valuation. IMPRESSIVE)
Current issues that are in discussion right now consist of:
HP,Dell,Quantum,and up coming contracts. I GO THREW THESE TOPICS
IN THE VERY NEXT MESSAGE..............
Concerning HP: Jabil has a new deal with HP concerning their Printer
Manufacturing Plants. One of the past messages asked why there has
been no details announced that might help boost the stock? From what
I understand, this transfer will not really happen until August 31,
1998. The deal "is" fact, and is an enormous amount of revenue. But
there will be a transision period. I don't think the news will have
much effect until revenue is shown as "Jabil Revenue", and not "HP
Revenue". REMEMBER, THIS HP INFORMATION OTHER THEN THE FACT
THAT THERE IS A DEAL, IS JUST MY PERSONAL VIEW.
Concerning DELL: The DELL contract is FACT. Jabil has built for DELL
in the past, and I am happy to have them back. DELL is an excellent,
well run company.
At the top of their field, due to their mail order style business
(low promotion cost,etc). From the news floating around, we will be
building prototypes sometime later on this year, and may not start
full production until early next year. Again, like HP, no immediate
revenue, may be the reason for no significant rise in the stock due
to the news.
Concerning Quantum: Quantum DLT 4000 series is coming back to the
ST. Pete campus some time in June. Joining the already existing DLT
7000 series. This is good for the St. Pete campus. We are a little
light since we have more room now due to the construction of our new
building. But with this added business to St.Pete, and another
production line from HP going into the St. Pete campus, it's looking
good.
There have been other rumors about "Ericson", and "GE", visiting us
recently. I have no proof that this is true. But I will keep you
posted if anything happens. The second quarter of this year was a
bit on the slow side compared to Jabil's recent growth. So keep your
eyes out on the next quarterly earnings. This may hold the stock
down for a little longer. But Jabil suprises over and over, you
never know. But I myself, am going to be cautious for just a little
while. But if the price is right, I may increase my position.
To sum it up, a slower second quarter, and some transition time on
new contracts, should keep you on your toes. But when HP revenues
begin to turn into Jabil revenues, and Quantum returns production to
ST. Pete, and revenues begin on DELL, AND rumors on Ericson and GE,
and a few others pan out, I can't seem to find anything negative.
Especially since we are already undervalued by a long shot. I KNOW
THE PREVIOUS SENTENCE WAS A RUN-ON, HA,HA..
I love the company I work for, I love the job I do, and I care about
the quality of workmanship that comes out of our company. If we don't
do it right the first time, it just comes back to us. I take pride
in the products that I help produce in the U.S.A. I am a shareholder
as well, and the job I do effects me as a shareholder. And you better
believe that I care about the value of our stock. In my opinion, I
find that this attitude is shared among many at Jabil. Thank you
for having the patience to read this pathetically over-extended
message..
(Also - an added bonus!!!Peter)
Jabil Circuit Reiterated 'Buy' at Needham & Co.
Bloomberg News
May 26, 1998, 6:15 a.m. PT
Princeton, New Jersey, May 26 (Bloomberg Data) -- Jabil Circuit
Inc. was reiterated ''buy'' by analyst John J. McManus at Needham &
Co.
|
