JACOBS SOLUTIONS INC (J) Stock Fundamental Analysis
USA - NYSE:J - US46982L1089 - Common Stock
153.36 USD
-0.13 (-0.08%)
153.36 USD
0 (0%)
J gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 86 industry peers in the Professional Services industry. J has an average financial health and profitability rating. J is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
J had positive earnings in the past year.
J had a positive operating cash flow in the past year.
In the past 5 years J has always been profitable.
J had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
J has a better Return On Assets (6.97%) than 71.26% of its industry peers.
With a decent Return On Equity value of 20.82%, J is doing good in the industry, outperforming 73.56% of the companies in the same industry.
The Return On Invested Capital of J (8.59%) is better than 60.92% of its industry peers.
J had an Average Return On Invested Capital over the past 3 years of 8.77%. This is below the industry average of 13.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 20.82% | ||
| ROIC | 8.59% |
ROA(3y)5.26%
ROA(5y)4.52%
ROE(3y)12.81%
ROE(5y)10.79%
ROIC(3y)8.77%
ROIC(5y)8.35%
1.3 Margins
J's Profit Margin of 6.92% is fine compared to the rest of the industry. J outperforms 72.41% of its industry peers.
In the last couple of years the Profit Margin of J has remained more or less at the same level.
Looking at the Operating Margin, with a value of 7.58%, J is in the better half of the industry, outperforming 64.37% of the companies in the same industry.
J's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 24.63%, J is doing worse than 65.52% of the companies in the same industry.
J's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.58% | ||
| PM (TTM) | 6.92% | ||
| GM | 24.63% |
OM growth 3Y-1.98%
OM growth 5Y5.54%
PM growth 3Y32.42%
PM growth 5Y0.8%
GM growth 3Y4.47%
GM growth 5Y4.84%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so J is still creating some value.
The number of shares outstanding for J has been reduced compared to 1 year ago.
Compared to 5 years ago, J has less shares outstanding
The debt/assets ratio for J has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.05 indicates that J is not in any danger for bankruptcy at the moment.
J's Altman-Z score of 3.05 is fine compared to the rest of the industry. J outperforms 60.92% of its industry peers.
The Debt to FCF ratio of J is 6.09, which is on the high side as it means it would take J, 6.09 years of fcf income to pay off all of its debts.
J has a Debt to FCF ratio (6.09) which is comparable to the rest of the industry.
J has a Debt/Equity ratio of 0.66. This is a neutral value indicating J is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.66, J perfoms like the industry average, outperforming 41.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 6.09 | ||
| Altman-Z | 3.05 |
ROIC/WACC1.01
WACC8.46%
2.3 Liquidity
A Current Ratio of 1.39 indicates that J should not have too much problems paying its short term obligations.
With a Current ratio value of 1.39, J perfoms like the industry average, outperforming 49.43% of the companies in the same industry.
J has a Quick Ratio of 1.39. This is a normal value and indicates that J is financially healthy and should not expect problems in meeting its short term obligations.
J has a Quick ratio (1.39) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
J shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -26.75%.
J shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.49% yearly.
Looking at the last year, J shows a very negative growth in Revenue. The Revenue has decreased by -29.67% in the last year.
The Revenue has been decreasing by -2.02% on average over the past years.
EPS 1Y (TTM)-26.75%
EPS 3Y4.9%
EPS 5Y7.49%
EPS Q2Q%-17.35%
Revenue 1Y (TTM)-29.67%
Revenue growth 3Y-6.55%
Revenue growth 5Y-2.02%
Sales Q2Q%-47.27%
3.2 Future
Based on estimates for the next years, J will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.66% on average per year.
Based on estimates for the next years, J will show a quite strong growth in Revenue. The Revenue will grow by 13.53% on average per year.
EPS Next Y-14.84%
EPS Next 2Y-0.65%
EPS Next 3Y3.17%
EPS Next 5Y8.66%
Revenue Next Year46.49%
Revenue Next 2Y7.99%
Revenue Next 3Y18.41%
Revenue Next 5Y13.53%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.67, J can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of J is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.06. J is around the same levels.
A Price/Forward Earnings ratio of 21.40 indicates a rather expensive valuation of J.
J's Price/Forward Earnings ratio is in line with the industry average.
J's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 32.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.67 | ||
| Fwd PE | 21.4 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as J.
J's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.48 | ||
| EV/EBITDA | 17.33 |
4.3 Compensation for Growth
J has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.56
EPS Next 2Y-0.65%
EPS Next 3Y3.17%
5. Dividend
5.1 Amount
J has a yearly dividend return of 0.83%, which is pretty low.
J's Dividend Yield is a higher than the industry average which is at 4.51.
With a Dividend Yield of 0.83, J pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
5.2 History
The dividend of J is nicely growing with an annual growth rate of 8.08%!
J has been paying a dividend for over 5 years, so it has already some track record.
As J did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)8.08%
Div Incr Years6
Div Non Decr Years7
5.3 Sustainability
18.99% of the earnings are spent on dividend by J. This is a low number and sustainable payout ratio.
The dividend of J is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP18.99%
EPS Next 2Y-0.65%
EPS Next 3Y3.17%
153.36
-0.13 (-0.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners90.24%
Inst Owner Change1.01%
Ins Owners0.33%
Ins Owner Change-0.05%
Market Cap18.33B
Revenue(TTM)11.50B
Net Income(TTM)795.82M
Analysts80
Price Target162.6 (6.03%)
Short Float %2.19%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
Yearly Dividend1.14
Dividend Growth(5Y)8.08%
DP18.99%
Div Incr Years6
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.88%
Min EPS beat(2)0.96%
Max EPS beat(2)2.79%
EPS beat(4)3
Avg EPS beat(4)-1.61%
Min EPS beat(4)-12.7%
Max EPS beat(4)2.79%
EPS beat(8)6
Avg EPS beat(8)3.28%
EPS beat(12)8
Avg EPS beat(12)2.39%
EPS beat(16)10
Avg EPS beat(16)1.58%
Revenue beat(2)0
Avg Revenue beat(2)-2.96%
Min Revenue beat(2)-3.82%
Max Revenue beat(2)-2.09%
Revenue beat(4)0
Avg Revenue beat(4)-4.91%
Min Revenue beat(4)-12.26%
Max Revenue beat(4)-1.44%
Revenue beat(8)4
Avg Revenue beat(8)0.64%
Revenue beat(12)7
Avg Revenue beat(12)1.61%
Revenue beat(16)8
Avg Revenue beat(16)0.75%
PT rev (1m)2.49%
PT rev (3m)7.38%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-2.35%
EPS NY rev (1m)0.34%
EPS NY rev (3m)1.05%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.77%
Revenue NY rev (1m)33.95%
Revenue NY rev (3m)29.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.67 | ||
| Fwd PE | 21.4 | ||
| P/S | 1.59 | ||
| P/FCF | 44.48 | ||
| P/OCF | 36.65 | ||
| P/B | 4.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.33 |
EPS(TTM)5.75
EY3.75%
EPS(NY)7.17
Fwd EY4.67%
FCF(TTM)3.45
FCFY2.25%
OCF(TTM)4.18
OCFY2.73%
SpS96.21
BVpS31.97
TBVpS-14.8
PEG (NY)N/A
PEG (5Y)3.56
Graham Number64.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 20.82% | ||
| ROCE | 10.62% | ||
| ROIC | 8.59% | ||
| ROICexc | 10.19% | ||
| ROICexgc | 53.27% | ||
| OM | 7.58% | ||
| PM (TTM) | 6.92% | ||
| GM | 24.63% | ||
| FCFM | 3.58% |
ROA(3y)5.26%
ROA(5y)4.52%
ROE(3y)12.81%
ROE(5y)10.79%
ROIC(3y)8.77%
ROIC(5y)8.35%
ROICexc(3y)10.34%
ROICexc(5y)9.66%
ROICexgc(3y)231.28%
ROICexgc(5y)157.22%
ROCE(3y)10.84%
ROCE(5y)10.32%
ROICexgc growth 3Y118.11%
ROICexgc growth 5Y78.34%
ROICexc growth 3Y11.41%
ROICexc growth 5Y10.22%
OM growth 3Y-1.98%
OM growth 5Y5.54%
PM growth 3Y32.42%
PM growth 5Y0.8%
GM growth 3Y4.47%
GM growth 5Y4.84%
F-Score6
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 6.09 | ||
| Debt/EBITDA | 2.22 | ||
| Cap/Depr | 34.34% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 44.35% | ||
| Profit Quality | 51.79% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 3.05 |
F-Score6
WACC8.46%
ROIC/WACC1.01
Cap/Depr(3y)42.12%
Cap/Depr(5y)45.69%
Cap/Sales(3y)0.92%
Cap/Sales(5y)0.86%
Profit Quality(3y)98.48%
Profit Quality(5y)117.24%
High Growth Momentum
Growth
EPS 1Y (TTM)-26.75%
EPS 3Y4.9%
EPS 5Y7.49%
EPS Q2Q%-17.35%
EPS Next Y-14.84%
EPS Next 2Y-0.65%
EPS Next 3Y3.17%
EPS Next 5Y8.66%
Revenue 1Y (TTM)-29.67%
Revenue growth 3Y-6.55%
Revenue growth 5Y-2.02%
Sales Q2Q%-47.27%
Revenue Next Year46.49%
Revenue Next 2Y7.99%
Revenue Next 3Y18.41%
Revenue Next 5Y13.53%
EBIT growth 1Y-31.7%
EBIT growth 3Y-8.4%
EBIT growth 5Y3.41%
EBIT Next Year3.68%
EBIT Next 3Y7.79%
EBIT Next 5Y7.97%
FCF growth 1Y-53.54%
FCF growth 3Y13.8%
FCF growth 5YN/A
OCF growth 1Y-51.58%
OCF growth 3Y13.24%
OCF growth 5YN/A
JACOBS SOLUTIONS INC / J FAQ
Can you provide the ChartMill fundamental rating for JACOBS SOLUTIONS INC?
ChartMill assigns a fundamental rating of 5 / 10 to J.
Can you provide the valuation status for JACOBS SOLUTIONS INC?
ChartMill assigns a valuation rating of 3 / 10 to JACOBS SOLUTIONS INC (J). This can be considered as Overvalued.
What is the profitability of J stock?
JACOBS SOLUTIONS INC (J) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for J stock?
The Price/Earnings (PE) ratio for JACOBS SOLUTIONS INC (J) is 26.67 and the Price/Book (PB) ratio is 4.8.
Can you provide the expected EPS growth for J stock?
The Earnings per Share (EPS) of JACOBS SOLUTIONS INC (J) is expected to decline by -14.84% in the next year.