The firm maintained its price target of $25 and a "hold" rating on Jabil Circuit.
The company released its third quarter earnings results yesterday with revenue of $4.4 billion, and $0.49 earnings per share.
This result indicates that the contract electronics manufacturer missed consensus but beat on the bottom line in the third quarter, and forecast the fourth quarter's results below expectations, according to Barron's.
"Margins continue to be under pressure, in Enterprise & Infrastructure segments, driven by new program ramps and investments in new capacity in China," Deutsche Bank analysts said.
However, margins are positive on growth in fiscal year 2016, driven by continued growth in industrial and favorable mix, Deutsche Bank added.
Jabil Circuit is a provider of electronic manufacturing services and solutions that operates Diversified Manufacturing Services (DMS), Enterprise & Infrastructure (E&I) and High Velocity Systems (HVS).
Separately, TheStreet Ratings team rates JABIL CIRCUIT INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate JABIL CIRCUIT INC (JBL) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, increase in net income, solid stock price performance and growth in earnings per share. We feel its strengths outweigh the fact that the company has had somewhat disappointing return on equity."