Deutsche Bank Lowers Estimates Following JBL's 4Q

Deutsche Bank has published a research report for Jabil Circuit Inc. JBL following 4Q10 result. In the report, Deutsche Bank writes "JBL reported mixed F4Q-10 results with revenue of $3.89B and EPS of $0.52 vs. Consensus of $3.89B/$0.49. Revenue grew 12% Q/Q with the EMS segment seeing stronger-than-expected growth (+10% vs. +8% Q/Q), as Industrial, Instrumentation and Medical (+15% Q/Q) and Telecom (+17% Q/Q) drove the upside. The Consumer segment was weaker-than-expected (+18% vs. +25% Q/Q) due to lower mobility volumes (Research In Motion RIMM is JBL's largest mobility customer). During the Q, Stock options expense increased substantially Q/Q, which added $0.17/share to EPS when stripped out of earnings." Deutsche Bank maintains its Hold rating but has lowered the price target from $16 to $15. Jabil Circuit Inc. closed yesterday at $13.76.