KBR INC (KBR) Stock Fundamental Analysis
NYSE:KBR • US48242W1062
40.4 USD
+0.07 (+0.17%)
Last: Feb 24, 2026, 09:30 AM
KBR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 88 industry peers in the Professional Services industry. While KBR is still in line with the averages on profitability rating, there are concerns on its financial health. KBR may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- KBR had positive earnings in the past year.
- KBR had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: KBR reported negative net income in multiple years.
- In the past 5 years KBR always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 5.72%, KBR is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 25.96%, KBR is in the better half of the industry, outperforming 79.55% of the companies in the same industry.
- KBR's Return On Invested Capital of 8.28% is fine compared to the rest of the industry. KBR outperforms 60.23% of its industry peers.
- KBR had an Average Return On Invested Capital over the past 3 years of 8.52%. This is below the industry average of 12.89%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.72% | ||
| ROE | 25.96% | ||
| ROIC | 8.28% |
ROA(3y)1.42%
ROA(5y)0.72%
ROE(3y)6.1%
ROE(5y)3.19%
ROIC(3y)8.52%
ROIC(5y)7.69%
1.3 Margins
- KBR has a better Profit Margin (4.71%) than 60.23% of its industry peers.
- KBR's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 6.72%, KBR is in line with its industry, outperforming 55.68% of the companies in the same industry.
- In the last couple of years the Operating Margin of KBR has grown nicely.
- Looking at the Gross Margin, with a value of 14.28%, KBR is doing worse than 78.41% of the companies in the same industry.
- In the last couple of years the Gross Margin of KBR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.72% | ||
| PM (TTM) | 4.71% | ||
| GM | 14.28% |
OM growth 3Y7.95%
OM growth 5Y5.05%
PM growth 3Y136.13%
PM growth 5Y6.22%
GM growth 3Y9.06%
GM growth 5Y4.23%
2. Health
2.1 Basic Checks
- KBR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- KBR has less shares outstanding than it did 1 year ago.
- KBR has less shares outstanding than it did 5 years ago.
- KBR has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.47 indicates that KBR is not a great score, but indicates only limited risk for bankruptcy at the moment.
- KBR has a Altman-Z score (2.47) which is in line with its industry peers.
- KBR has a debt to FCF ratio of 5.59. This is a neutral value as KBR would need 5.59 years to pay back of all of its debts.
- KBR has a Debt to FCF ratio of 5.59. This is comparable to the rest of the industry: KBR outperforms 53.41% of its industry peers.
- KBR has a Debt/Equity ratio of 1.75. This is a high value indicating a heavy dependency on external financing.
- KBR has a worse Debt to Equity ratio (1.75) than 79.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.75 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 2.47 |
ROIC/WACC1.12
WACC7.37%
2.3 Liquidity
- KBR has a Current Ratio of 1.18. This is a normal value and indicates that KBR is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.18, KBR is doing worse than 65.91% of the companies in the same industry.
- A Quick Ratio of 1.18 indicates that KBR should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.18, KBR is doing worse than 65.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 22.04% over the past year.
- The Earnings Per Share has been growing by 14.80% on average over the past years. This is quite good.
- KBR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.66%.
- The Revenue has been growing slightly by 6.54% on average over the past years.
EPS 1Y (TTM)22.04%
EPS 3Y11.91%
EPS 5Y14.8%
EPS Q2Q%21.43%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y1.8%
Revenue growth 5Y6.54%
Sales Q2Q%-0.82%
3.2 Future
- Based on estimates for the next years, KBR will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.31% on average per year.
- Based on estimates for the next years, KBR will show a small growth in Revenue. The Revenue will grow by 6.62% on average per year.
EPS Next Y16.18%
EPS Next 2Y10.67%
EPS Next 3Y9.12%
EPS Next 5Y16.31%
Revenue Next Year2.97%
Revenue Next 2Y3.45%
Revenue Next 3Y3.97%
Revenue Next 5Y6.62%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 10.58 indicates a reasonable valuation of KBR.
- Compared to the rest of the industry, the Price/Earnings ratio of KBR indicates a somewhat cheap valuation: KBR is cheaper than 78.41% of the companies listed in the same industry.
- KBR is valuated cheaply when we compare the Price/Earnings ratio to 26.64, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 9.85, the valuation of KBR can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of KBR indicates a somewhat cheap valuation: KBR is cheaper than 78.41% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 27.75. KBR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.58 | ||
| Fwd PE | 9.85 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KBR is valued a bit cheaper than 69.32% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of KBR indicates a rather cheap valuation: KBR is cheaper than 80.68% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.01 | ||
| EV/EBITDA | 10.05 |
4.3 Compensation for Growth
- KBR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- KBR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.65
PEG (5Y)0.71
EPS Next 2Y10.67%
EPS Next 3Y9.12%
5. Dividend
5.1 Amount
- KBR has a Yearly Dividend Yield of 1.53%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.55, KBR pays a bit more dividend than its industry peers.
- KBR's Dividend Yield is comparable with the S&P500 average which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
5.2 History
- KBR has been paying a dividend for at least 10 years, so it has a reliable track record.
- KBR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)N/A
Div Incr Years5
Div Non Decr Years16
5.3 Sustainability
- 21.84% of the earnings are spent on dividend by KBR. This is a low number and sustainable payout ratio.
DP21.84%
EPS Next 2Y10.67%
EPS Next 3Y9.12%
NYSE:KBR (2/24/2026, 9:30:03 AM)
40.4
+0.07 (+0.17%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)10-30 2025-10-30/bmo
Earnings (Next)02-26 2026-02-26/bmo
Inst Owners100.55%
Inst Owner Change-0.01%
Ins Owners1.11%
Ins Owner Change0.67%
Market Cap5.13B
Revenue(TTM)8.06B
Net Income(TTM)380.00M
Analysts76.92
Price Target53.81 (33.19%)
Short Float %4.08%
Short Ratio3.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP21.84%
Div Incr Years5
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.83%
Min EPS beat(2)1.92%
Max EPS beat(2)5.73%
EPS beat(4)4
Avg EPS beat(4)7.64%
Min EPS beat(4)1.92%
Max EPS beat(4)12.56%
EPS beat(8)6
Avg EPS beat(8)5.21%
EPS beat(12)9
Avg EPS beat(12)6.19%
EPS beat(16)13
Avg EPS beat(16)6.47%
Revenue beat(2)0
Avg Revenue beat(2)-5.12%
Min Revenue beat(2)-7.14%
Max Revenue beat(2)-3.11%
Revenue beat(4)1
Avg Revenue beat(4)-1.73%
Min Revenue beat(4)-7.14%
Max Revenue beat(4)5.1%
Revenue beat(8)2
Avg Revenue beat(8)-1.69%
Revenue beat(12)3
Avg Revenue beat(12)-1.33%
Revenue beat(16)3
Avg Revenue beat(16)-1.46%
PT rev (1m)-0.94%
PT rev (3m)-3.84%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.95%
EPS NY rev (1m)0%
EPS NY rev (3m)0.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.58 | ||
| Fwd PE | 9.85 | ||
| P/S | 0.64 | ||
| P/FCF | 11.01 | ||
| P/OCF | 10 | ||
| P/B | 3.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.05 |
EPS(TTM)3.82
EY9.46%
EPS(NY)4.1
Fwd EY10.16%
FCF(TTM)3.67
FCFY9.08%
OCF(TTM)4.04
OCFY10%
SpS63.47
BVpS11.53
TBVpS-15.36
PEG (NY)0.65
PEG (5Y)0.71
Graham Number31.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.72% | ||
| ROE | 25.96% | ||
| ROCE | 11.11% | ||
| ROIC | 8.28% | ||
| ROICexc | 9.31% | ||
| ROICexgc | 43.69% | ||
| OM | 6.72% | ||
| PM (TTM) | 4.71% | ||
| GM | 14.28% | ||
| FCFM | 5.78% |
ROA(3y)1.42%
ROA(5y)0.72%
ROE(3y)6.1%
ROE(5y)3.19%
ROIC(3y)8.52%
ROIC(5y)7.69%
ROICexc(3y)9.29%
ROICexc(5y)8.43%
ROICexgc(3y)40.75%
ROICexgc(5y)33.23%
ROCE(3y)11.42%
ROCE(5y)10.32%
ROICexgc growth 3Y11.5%
ROICexgc growth 5Y16.51%
ROICexc growth 3Y5.04%
ROICexc growth 5Y4.08%
OM growth 3Y7.95%
OM growth 5Y5.05%
PM growth 3Y136.13%
PM growth 5Y6.22%
GM growth 3Y9.06%
GM growth 5Y4.23%
F-Score8
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.75 | ||
| Debt/FCF | 5.59 | ||
| Debt/EBITDA | 3.58 | ||
| Cap/Depr | 27.17% | ||
| Cap/Sales | 0.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.75% | ||
| Profit Quality | 122.63% | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 2.47 |
F-Score8
WACC7.37%
ROIC/WACC1.12
Cap/Depr(3y)52.64%
Cap/Depr(5y)40.13%
Cap/Sales(3y)1.08%
Cap/Sales(5y)0.82%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)22.04%
EPS 3Y11.91%
EPS 5Y14.8%
EPS Q2Q%21.43%
EPS Next Y16.18%
EPS Next 2Y10.67%
EPS Next 3Y9.12%
EPS Next 5Y16.31%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y1.8%
Revenue growth 5Y6.54%
Sales Q2Q%-0.82%
Revenue Next Year2.97%
Revenue Next 2Y3.45%
Revenue Next 3Y3.97%
Revenue Next 5Y6.62%
EBIT growth 1Y1.31%
EBIT growth 3Y9.89%
EBIT growth 5Y11.92%
EBIT Next Year38.51%
EBIT Next 3Y13.4%
EBIT Next 5Y12.64%
FCF growth 1Y115.74%
FCF growth 3Y16.9%
FCF growth 5Y10.28%
OCF growth 1Y66.56%
OCF growth 3Y18.45%
OCF growth 5Y12.53%
KBR INC / KBR FAQ
Can you provide the ChartMill fundamental rating for KBR INC?
ChartMill assigns a fundamental rating of 5 / 10 to KBR.
What is the valuation status for KBR stock?
ChartMill assigns a valuation rating of 8 / 10 to KBR INC (KBR). This can be considered as Undervalued.
What is the profitability of KBR stock?
KBR INC (KBR) has a profitability rating of 6 / 10.
What is the financial health of KBR INC (KBR) stock?
The financial health rating of KBR INC (KBR) is 3 / 10.
How sustainable is the dividend of KBR INC (KBR) stock?
The dividend rating of KBR INC (KBR) is 5 / 10 and the dividend payout ratio is 21.84%.