FedEx, Adobe, JBL Earnings on tap for Next Week

NEW YORK ( TheStreet) -- Wall Street will be watching technology companies Adobe Systems and JBL Circuit along with FedEx as the companies report pivotal earnings.

FedEx (FDX)
  • 52-Week High: $98.50
  • 52-Week Low: $65.15
  • Book Value: $52.27
  • Price To Book: 1.64
  • The Company:

    FedEx is a global transportation and logistics enterprise that offers customers a one-stop source for global shipping, logistics and supply chain solutions. FedEx trades an average of 2.1 million shares per day with a market cap of $27.7 Billion.

    FedEx is anticipated to report thriving fourth-quarter earnings before the market opens on Tuesday. The consensus estimate is currently $1.92 a share, an improvement of 17 cents (8.9%) from $1.75 during the same period last year.

    The trailing 12-month price-to-earnings ratio is 13.9, the mean fiscal year estimate price-to-earnings ratio is 11.59, based on earnings of $7.45 per share this year. Investors are receiving 52 cents in dividends for a yield of .6%.

    In the last month, the stock has fallen -1.71%, and a week ago the price tested the 200-day moving average. I am a long-term bull with Fedex. I believe both FedEx and UPS ( UPS) are going to benefit from falling fuel prices. Switching over to natural gas is already starting to pay off and margins should improve with lower costs.

    Management has provided an improvement in year-over-year revenue. Revenue reported was $39.30 billion in the last fiscal year compared to $34.73 billion in the previous year. The bottom line has rising earnings year-over-year of $1.45 billion last fiscal year compared to $1.18 billion in the previous year.

    Industry and peer comparison:

    Adobe Systems (ADBE)
  • 52-Week High: $34.7
  • 52-Week Low: $22.69
  • Book Value: $12.07
  • Price To Book: 2.57
  • The Company:

    Adobe is a provider of graphic design, publishing and imaging software for Web and print production. Adobe trades an average of 3.6 million shares per day with a market cap of $15.8 Billion.

    Adobe is anticipated to report growing second-quarter earnings after the market closes on Tuesday. The consensus estimate is currently 48 cents a share, an improvement of 8 cents (16.7 percent) from 40 cents during the same period last year.

    The trailing 12-month price-to-earnings ratio is 17.8, the mean fiscal year estimated price-to-earnings ratio is 15.66, based on earnings of $1.99 per share this year.

    For the same fiscal period year-over-year, revenue has improved to $3.80 billion in the last fiscal year compared to $2.95 billion in the previous year. The bottom line has rising earnings year-over-year of $774.68 million for the last fiscal year compared to $386.50 million in the previous year.

    During the last month, the stock has fallen -3.41%. The shares are trading right in between the 200-day moving average providing support and the 90-day moving average presenting resistance. Short interest is small at just over 3%. The earnings multiple is a little rich compared to Microsoft ( MSFT) and other tech companies, but so is the growth.

    Industry and peer comparison:

    Jabil Circuit (JBL)

    The Company:

    JBL is a worldwide independent provider of electronic manufacturing services. JBL trades an average of 3.1 million shares per day with a market cap of $4 Billion.

    JBL is anticipated to report rising third-quarter earnings after the market closes on Tuesday. The consensus estimate is currently 56 cents a share, an improvement of 7 cents (12.5 percent) from 49 cents during the same period last year.

    The trailing 12-month price-to-earnings ratio is 9.3, the mean fiscal year estimate price-to-earnings ratio is 8.3, based on earnings of $2.25 a share this year. Investors are receiving 32 cents in dividends for a yield of 1.71 %.

    In the last month, JBL has dropped -3.21%, like most of the market. Overall I would rate the stock as oversold and due for a bounce. The short interest isn't elevated so don't expect a short squeeze; however, the stock is beat up enough to bounce on its own. JBL will have to put up the numbers on the board, but if they do, expect a nice move higher.

    Revenue year-over-year has increased to $13.41 billion last fiscal year compared to $11.68 billion in the previous year. The bottom line has rising earnings year-over-year of $168.84 million last fiscal year compared to $-1.17 billion in the previous year.

    JBL Circuit (JBL)
  • 52-Week High: $27.13
  • 52-Week Low: $14.08
  • Book Value: $9.68
  • Price To Book: 1.94
  • Industry and peer comparison:
    At the time of publication the author did not hold a position in any stock mentioned.

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