UPDATE: Stifel Nicolaus Lowers PT to Jabil Circuit to $29 on Weak Guide to FQ4

Stifel Nicolaus reiterates its Buy rating on Jabil Circuit

and lowers its price target from $31 to $29. Stifel Nicolaus notes, "Jabil's 3QFY12 sales and EPS of $4.25bn and $0.64 were in line with our recently lowered estimates, but August-Q sales guide (flattish q/q) was below our assumption of 3% growth due to somewhat tempered end markets as well as the timing of new program ramps. More significant was the relatively weak and wide range of operating margin and EPS guidance (4.1-4.6%, vs. our estimate of 4.6%) and $0.54-$0.66 (we were at $0.68). Management cited near-term challenges with new customer transitions and program ramps in both its Enterprise & Infrastructure and Diversified Manufacturing segments. … We expect margins to expand again beginning in the Nov quarter and remain favorable on the long-term story, despite the near-term headwinds." JBL closed at $ on Tuesday.