QualityDipStocks / Industrials · Defense & government services
Jacobs Solutions J
Outside our quality screen, so we don’t track its dips. It’s 2% below its 52-week high.
Outside our quality screen, trading well above our fair value estimate, 7% over its Market Value.
- Fair value est.
- $108.39−30%
- Market Value
- $143.97price +7%
- Off 52-wk high
- −2%
- Risk vs market
- Below marketbeta 0.74
4 bullish · 5 bearish See why
Key levels
Every level vs today’s $154.62
- 52-wk lowlowest close, 1 year$107.27−30.6%
- Fair value est.base case$108.39−29.9%
- Market Valueavg paid since Aug 4$143.97−6.9%
- PriceFri Oct 30 close$154.62you are here
- 52-wk highhighest close, 1 year$158.22+2.3%
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 7.1% ±2 points. Bear = 10.5% and 5.1%; bull = 8.5% and 9.1% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price is above even the bull case.
What the price implies To be worth today’s price, J’s free cash flow would need to grow about 14% a year for five years; our estimate uses 7%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 30 to Oct 30, 252 sessions). Beta = how much J moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Moves a bit less than the market, but its own price swings are 2.5× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- 0.74
- Volatility
- 33% vs 13% SPY
- Correlation SPY
- 0.29
- Correlation QQQ
- 0.13
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 4 of 5
Cash returnsFree cash flow grew 56% over the last 12 months vs the 12 months before.
GrowthSales grew 20% to $14.2B over the last 12 months vs the 12 months before (SEC filings).
Balance sheetPaid down debt: $2.2B at FY2025, 22% less than at FY2023.
GrowthSales grew 7.1% a year over the last three fiscal years, above the 4.5% median for the 146 Industrials companies we cover.
Top bearish points 5 of 5
ValuationOur DCF fair value estimate is $108.39, 30% below the price.
GrowthDiluted EPS fell 62% to $2.38 in FY2025.
ValuationP/E of 54.3× vs a 27.5× median for the 130 Industrials companies we cover.
ValuationEV/EBITDA of 28.2×, above the 16.6× median for the 96 Industrials companies we cover.
ValuationTrades 7.4% above its Market Value of $143.97, the average price paid since the Aug 4 filing.
Who’s talking about it
Notable investors, executives, analysts and public figures on Jacobs Solutions in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 1, 9:09 PM ET.
Compare with peers
Closest in size in Defense & government services
All fundamentals
P/E 54.3 · FCF yield 3.5% · ROE 10%
Valuation
- P/E
- 54.3×Industrials median 27.5×
- Price / FCF
- 28.5×
- FCF yield
- 3.5%
- EV / EBITDA
- 28.2×
- Price / sales
- 1.29×
- Price / book
- 5.63×
- Market cap
- $18.4Bprice × diluted shares
- Enterprise value
- $20.8B
Growth
- Revenue, 12 months
- $14.2B
- Sales growth, 12 months
- +20.1%vs the 12 months before
- Sales growth, 3 yrs
- +7.1%/yrfrom FY2022
- Diluted EPS, 12 months
- $2.86
- EPS growth, last FY
- −62.3%
- Net income, 12 months
- $338M
- Net income growth
- −30%12 months vs before
Profitability
- Gross margin
- 22.1%
- Operating margin
- 4.6%
- Net margin
- 2.4%
- FCF margin
- 4.5%
- Return on equity
- 10%
- Return on invested capital
- 7%
Balance sheet
- Cash & short-term inv.
- $1.2B
- Total debt
- $3.6B
- Net cash
- −$2.4B
- Debt / equity
- 1.10×
- Interest coverage
- 3.9×operating income / interest
Cash flow & returns
- Free cash flow, 12 months
- $645M
- FCF growth, 12 months
- +56%
- Dividend yield
- 0.88%$162M paid
- Payout ratio
- 48%
- Buybacks, 12 months
- $715M3.9% of market cap
- Share count, 1 year
- −1.3%diluted shares vs a year ago
- Stock-based comp
- $70M
Trailing 12 months to Jun 26, 2026; balance sheet at Jun 26, 2026. From Jacobs Solutions’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
Valuation details
DCF $108.39 · MV $143.97 · FCF value $140.37
Assumes 7.1% growth for 5 years (revenue grew 7.1% a year FY22–FY25), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $5.42 a share (trailing 12 months to Jun 26, 2026), from the 10-Q filed Aug 4, 2026. Net debt $2.4B, not deducted.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Momentum & 52-week range
RSI 72 · 5 days +6.6%
The business
FCF $0.7B · Sales +34%
- Free cash flow, 12 months$0.7B
- Free-cash-flow yield3.6%
- Free-cash-flow margin4%
- Gross margin22%
- Operating margin7%
- Return on invested capital14%
- Return on equity8%
- Sales growth (latest quarter vs year-ago quarter)+34%
- Net debt / EBITDA2.7×
Next report
Nov 23
- DateMon Nov 23, after the close
- Consensus EPS$2.14
- Year-ago EPS$1.75
- QuarterSep/2026
From Nasdaq’s earnings calendar. A report resets Market Value.
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.
J is outside our quality screen
One text when a published rule fires on one of the 333 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.