JACOBS SOLUTIONS INC (J) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:J - US46982L1089 - Common Stock
133.94 USD
-1.34 (-0.99%)
133.94 USD
0 (0%)
Taking everything into account, J scores 5 out of 10 in our fundamental rating. J was compared to 86 industry peers in the Professional Services industry. Both the profitability and the financial health of J get a neutral evaluation. Nothing too spectacular is happening here. J has a correct valuation and a medium 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's Return On Assets of 2.58% is in line compared to the rest of the industry. J outperforms 51.16% of its industry peers.
J has a Return On Equity (7.97%) which is in line with its industry peers.
J has a better Return On Invested Capital (9.19%) than 65.12% of its industry peers.
J had an Average Return On Invested Capital over the past 3 years of 8.58%. This is below the industry average of 12.04%.
The 3 year average ROIC (8.58%) for J is below the current ROIC(9.19%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.58% | ||
| ROE | 7.97% | ||
| ROIC | 9.19% |
ROA(3y)4.61%
ROA(5y)4.22%
ROE(3y)11.82%
ROE(5y)10.63%
ROIC(3y)8.58%
ROIC(5y)7.98%
1.3 Margins
Looking at the Profit Margin, with a value of 2.41%, J is in line with its industry, outperforming 48.84% of the companies in the same industry.
In the last couple of years the Profit Margin of J has declined.
Looking at the Operating Margin, with a value of 8.42%, J is in the better half of the industry, outperforming 66.28% of the companies in the same industry.
In the last couple of years the Operating Margin of J has grown nicely.
J has a Gross Margin of 24.81%. This is in the lower half of the industry: J underperforms 66.28% of its industry peers.
In the last couple of years the Gross Margin of J has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.42% | ||
| PM (TTM) | 2.41% | ||
| GM | 24.81% |
OM growth 3Y4.5%
OM growth 5Y6.1%
PM growth 3Y-17.62%
PM growth 5Y-7.83%
GM growth 3Y3.63%
GM growth 5Y5.41%
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.
Compared to 1 year ago, J has less shares outstanding
Compared to 5 years ago, J has less shares outstanding
J has a worse debt/assets ratio than last year.
2.2 Solvency
J has an Altman-Z score of 2.93. This is not the best score and indicates that J is in the grey zone with still only limited risk for bankruptcy at the moment.
J has a Altman-Z score of 2.93. This is comparable to the rest of the industry: J outperforms 53.49% of its industry peers.
The Debt to FCF ratio of J is 3.68, which is a good value as it means it would take J, 3.68 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of J (3.68) is better than 61.63% of its industry peers.
J has a Debt/Equity ratio of 0.61. This is a neutral value indicating J is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.61, J perfoms like the industry average, outperforming 43.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 2.93 |
ROIC/WACC1.11
WACC8.27%
2.3 Liquidity
A Current Ratio of 1.30 indicates that J should not have too much problems paying its short term obligations.
The Current ratio of J (1.30) is comparable to the rest of the industry.
A Quick Ratio of 1.30 indicates that J should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.30, J perfoms like the industry average, outperforming 41.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
The earnings per share for J have decreased strongly by -15.56% in the last year.
Measured over the past 5 years, J shows a small growth in Earnings Per Share. The EPS has been growing by 2.27% on average per year.
J shows a small growth in Revenue. In the last year, the Revenue has grown by 4.60%.
The Revenue has been decreasing by -2.38% on average over the past years.
EPS 1Y (TTM)-15.56%
EPS 3Y-4.05%
EPS 5Y2.27%
EPS Q2Q%27.74%
Revenue 1Y (TTM)4.6%
Revenue growth 3Y-6.93%
Revenue growth 5Y-2.38%
Sales Q2Q%5.82%
3.2 Future
J is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.38% yearly.
J is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.58% yearly.
EPS Next Y17.94%
EPS Next 2Y15.27%
EPS Next 3Y14%
EPS Next 5Y12.38%
Revenue Next Year7.31%
Revenue Next 2Y6.85%
Revenue Next 3Y11.41%
Revenue Next 5Y13.58%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.85 indicates a rather expensive valuation of J.
The rest of the industry has a similar Price/Earnings ratio as J.
The average S&P500 Price/Earnings ratio is at 26.84. J is around the same levels.
Based on the Price/Forward Earnings ratio of 18.53, the valuation of J can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of J is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of J to the average of the S&P500 Index (23.40), we can say J is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.85 | ||
| Fwd PE | 18.53 |
4.2 Price Multiples
J's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. J is cheaper than 63.95% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, J is valued a bit cheaper than the industry average as 61.63% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.18 | ||
| EV/EBITDA | 13.65 |
4.3 Compensation for Growth
J's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
J has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as J's earnings are expected to grow with 14.00% in the coming years.
PEG (NY)1.22
PEG (5Y)9.64
EPS Next 2Y15.27%
EPS Next 3Y14%
5. Dividend
5.1 Amount
J has a yearly dividend return of 0.94%, which is pretty low.
J's Dividend Yield is a higher than the industry average which is at 1.58.
Compared to an average S&P500 Dividend Yield of 2.00, J's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
The dividend of J has a limited annual growth rate of 2.81%.
J has been paying a dividend for over 5 years, so it has already some track record.
J has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.81%
Div Incr Years6
Div Non Decr Years7
5.3 Sustainability
J pays out 52.72% of its income as dividend. This is a bit on the high side, but may be sustainable.
J's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP52.72%
EPS Next 2Y15.27%
EPS Next 3Y14%
133.94
-1.34 (-0.99%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners90.27%
Inst Owner Change0.43%
Ins Owners0.36%
Ins Owner Change5.19%
Market Cap15.91B
Revenue(TTM)12.03B
Net Income(TTM)290.25M
Analysts77.5
Price Target159.62 (19.17%)
Short Float %2.74%
Short Ratio2.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend1.26
Dividend Growth(5Y)2.81%
DP52.72%
Div Incr Years6
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.47%
Min EPS beat(2)2.15%
Max EPS beat(2)2.79%
EPS beat(4)4
Avg EPS beat(4)2.11%
Min EPS beat(4)0.96%
Max EPS beat(4)2.79%
EPS beat(8)6
Avg EPS beat(8)3.21%
EPS beat(12)9
Avg EPS beat(12)2.61%
EPS beat(16)11
Avg EPS beat(16)1.81%
Revenue beat(2)0
Avg Revenue beat(2)-2.43%
Min Revenue beat(2)-2.76%
Max Revenue beat(2)-2.09%
Revenue beat(4)0
Avg Revenue beat(4)-2.53%
Min Revenue beat(4)-3.82%
Max Revenue beat(4)-1.44%
Revenue beat(8)3
Avg Revenue beat(8)0.08%
Revenue beat(12)7
Avg Revenue beat(12)1.4%
Revenue beat(16)8
Avg Revenue beat(16)0.9%
PT rev (1m)-1.86%
PT rev (3m)0.67%
EPS NQ rev (1m)-3.38%
EPS NQ rev (3m)-7.68%
EPS NY rev (1m)0.47%
EPS NY rev (3m)0.97%
Revenue NQ rev (1m)2.9%
Revenue NQ rev (3m)1.96%
Revenue NY rev (1m)-27.5%
Revenue NY rev (3m)-2.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.85 | ||
| Fwd PE | 18.53 | ||
| P/S | 1.32 | ||
| P/FCF | 26.18 | ||
| P/OCF | 23.16 | ||
| P/B | 4.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.65 |
EPS(TTM)6.13
EY4.58%
EPS(NY)7.23
Fwd EY5.4%
FCF(TTM)5.12
FCFY3.82%
OCF(TTM)5.78
OCFY4.32%
SpS101.3
BVpS30.66
TBVpS-15.64
PEG (NY)1.22
PEG (5Y)9.64
Graham Number65.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.58% | ||
| ROE | 7.97% | ||
| ROCE | 12.82% | ||
| ROIC | 9.19% | ||
| ROICexc | 10.89% | ||
| ROICexgc | 62.19% | ||
| OM | 8.42% | ||
| PM (TTM) | 2.41% | ||
| GM | 24.81% | ||
| FCFM | 5.05% |
ROA(3y)4.61%
ROA(5y)4.22%
ROE(3y)11.82%
ROE(5y)10.63%
ROIC(3y)8.58%
ROIC(5y)7.98%
ROICexc(3y)10.31%
ROICexc(5y)9.31%
ROICexgc(3y)212.98%
ROICexgc(5y)147.14%
ROCE(3y)11.97%
ROCE(5y)11.12%
ROICexgc growth 3Y10.01%
ROICexgc growth 5Y14.23%
ROICexc growth 3Y12.32%
ROICexc growth 5Y7.96%
OM growth 3Y4.5%
OM growth 5Y6.1%
PM growth 3Y-17.62%
PM growth 5Y-7.83%
GM growth 3Y3.63%
GM growth 5Y5.41%
F-Score7
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.68 | ||
| Debt/EBITDA | 1.79 | ||
| Cap/Depr | 33.35% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 6.87 | ||
| Cash Conversion | 54.92% | ||
| Profit Quality | 209.29% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.93 |
F-Score7
WACC8.27%
ROIC/WACC1.11
Cap/Depr(3y)39.11%
Cap/Depr(5y)39.34%
Cap/Sales(3y)0.85%
Cap/Sales(5y)0.81%
Profit Quality(3y)150.96%
Profit Quality(5y)131.52%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.56%
EPS 3Y-4.05%
EPS 5Y2.27%
EPS Q2Q%27.74%
EPS Next Y17.94%
EPS Next 2Y15.27%
EPS Next 3Y14%
EPS Next 5Y12.38%
Revenue 1Y (TTM)4.6%
Revenue growth 3Y-6.93%
Revenue growth 5Y-2.38%
Sales Q2Q%5.82%
Revenue Next Year7.31%
Revenue Next 2Y6.85%
Revenue Next 3Y11.41%
Revenue Next 5Y13.58%
EBIT growth 1Y16%
EBIT growth 3Y-2.75%
EBIT growth 5Y3.58%
EBIT Next Year19.45%
EBIT Next 3Y11.96%
EBIT Next 5Y9.2%
FCF growth 1Y-34.93%
FCF growth 3Y20.51%
FCF growth 5Y-2.47%
OCF growth 1Y-34.89%
OCF growth 3Y13.1%
OCF growth 5Y-3.17%
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 4 / 10 to JACOBS SOLUTIONS INC (J). This can be considered as Fairly Valued.
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 21.85 and the Price/Book (PB) ratio is 4.37.
Can you provide the expected EPS growth for J stock?
The Earnings per Share (EPS) of JACOBS SOLUTIONS INC (J) is expected to grow by 17.94% in the next year.