Jacobs Engineering Group Inc. (J) AI Stock Analysis

Jacobs Solutions Inc. specializes in consulting, technical, scientific, and project delivery services for government and commercial clients worldwide. Operating across the United States, Europe, Canada, Asia, and other regions, it runs three key segments: Critical Mission Solutions, People & Places Solutions, and PA Consulting. Its capabilities include cybersecurity, data analytics, systems integration, enterprise IT, and engineering design. It also delivers nuclear operations support, environmental remediation, maintenance services, construction management, and software development across sectors such as defense, transport, energy, and life sciences.

Over five fiscal years, annual revenue shifted from $14.09B in FY2021 to $12.03B in FY2025, resulting in a 5-year revenue CAGR of -2.4%. Gross margin stood at 24.8% in FY2025, with an operating margin of 7.2%. Net income fell from $806.1M in FY2024 to $290.2M in FY2025, lowering EPS to $6.13. For the trailing twelve months, revenue reached $14.22B with a profit margin of 2.4% and an operating margin of 7.4%. In the quarter ended June 30, 2026, revenue increased 34.5% year-over-year, while quarterly earnings declined 25.4%.

As of June 30, 2026, Jacobs held $1.18B in cash and short-term investments alongside total debt of $4.05B, resulting in net debt of $2.88B. Shareholders' equity was $3.26B, yielding a debt-to-equity ratio of 1.24 and a current ratio of 1.29. In FY2025, operating cash flow was $686.7M and free cash flow was $607.5M. Capital expenditures totaled $79.2M, while the company returned capital through $754.1M in share buybacks and $153.0M in dividends paid, contributing to a -8.7% change in share count over 5 years.

Jacobs trades at a trailing P/E of 46.9x, which is above the median of its S&P 500 Industrials peers at 28.4x. However, its forward P/E of 16.9x sits below the peer median of 20.7x. Its price-to-sales multiple is 1.2x compared to the peer median of 3.3x, and EV-to-EBITDA is 21.4x versus 17.2x. Over the past year, Jacobs recorded a return of -8.6%, trailing the S&P 500 benchmark return of 16.8%. Over five years, the stock gained 32.8% compared to 83.0% for the index.

Jacobs pays a quarterly dividend with a forward annual payout of $1.44 per share, representing a dividend yield of 1.02%. The payout ratio stands at 20.4%, supported by 10 consecutive years of dividend payments. Over the past five years, the company has delivered an annualized dividend growth rate of 15.2%, with its most recent ex-dividend date on August 21, 2026.

Wall Street analysts cover Jacobs with 7 Strong Buy, 3 Buy, and 6 Hold ratings, with zero Sell or Strong Sell recommendations. The mean price target is $162.33, implying upside of 15.1% over the last close of $141.08. For the fiscal year ending September 30, 2026, analysts estimate EPS of $7.27 and revenue of $15.02B. The company has beaten EPS expectations in 3 of the last 4 quarters, with its next earnings date scheduled for November 19, 2026.

This page is an AI-written research summary of Jacobs Engineering Group Inc. (J). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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