JACOBS SOLUTIONS INC (J) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:J • US46982L1089
136.88 USD
+1.62 (+1.2%)
At close: Feb 2, 2026
136.88 USD
0 (0%)
After Hours: 2/2/2026, 7:09:51 PM
We assign a fundamental rating of 5 out of 10 to J. J was compared to 89 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 is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- J had positive earnings in the past year.
- In the past year J had a positive cash flow from operations.
- J had positive earnings in each of the past 5 years.
- Each year in the past 5 years J had a positive operating cash flow.
1.2 Ratios
- J has a Return On Assets of 2.58%. This is comparable to the rest of the industry: J outperforms 52.81% of its industry peers.
- J's Return On Equity of 7.97% is in line compared to the rest of the industry. J outperforms 53.93% of its industry peers.
- The Return On Invested Capital of J (9.19%) is better than 67.42% 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 12.02%.
- The last Return On Invested Capital (9.19%) for J is above the 3 year average (8.58%), which is a sign of increasing profitability.
| 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
- J has a Profit Margin (2.41%) which is comparable to the rest of the industry.
- J's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 8.42%, J is in the better half of the industry, outperforming 67.42% of the companies in the same industry.
- In the last couple of years the Operating Margin of J has grown nicely.
- With a Gross Margin value of 24.81%, J is not doing good in the industry: 64.04% of the companies in the same industry are doing better.
- J's Gross Margin has improved in the last couple of years.
| 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
- J has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- J has less shares outstanding than it did 1 year ago.
- J has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, J has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.93 indicates that J is not a great score, but indicates only limited risk for bankruptcy at the moment.
- J has a Altman-Z score (2.93) which is in line with its industry peers.
- J has a debt to FCF ratio of 3.68. This is a good value and a sign of high solvency as J would need 3.68 years to pay back of all of its debts.
- The Debt to FCF ratio of J (3.68) is better than 62.92% of its industry peers.
- A Debt/Equity ratio of 0.61 indicates that J is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.61, J perfoms like the industry average, outperforming 43.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 2.93 |
ROIC/WACC1.09
WACC8.4%
2.3 Liquidity
- J has a Current Ratio of 1.30. 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 Current ratio (1.30) which is in line with its industry peers.
- A Quick Ratio of 1.30 indicates that J should not have too much problems paying its short term obligations.
- The Quick ratio of J (1.30) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
- J shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.56%.
- J shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.27% yearly.
- The Revenue has been growing slightly by 4.60% in the past year.
- Measured over the past years, J shows a decrease in Revenue. The Revenue has been decreasing by -2.38% on average per year.
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.
- Based on estimates for the next years, J will show a quite strong growth in Revenue. The Revenue will grow by 13.58% on average per year.
EPS Next Y18.08%
EPS Next 2Y15.17%
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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- 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
- J is valuated rather expensively with a Price/Earnings ratio of 22.33.
- The rest of the industry has a similar Price/Earnings ratio as J.
- The average S&P500 Price/Earnings ratio is at 28.41. J is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 18.91 indicates a rather expensive valuation of J.
- J's Price/Forward Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.64, J is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.33 | ||
| Fwd PE | 18.91 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, J is valued a bit cheaper than the industry average as 64.04% of the companies are valued more expensively.
- J's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. J is cheaper than 61.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.76 | ||
| EV/EBITDA | 13.65 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of J may justify a higher PE ratio.
- J's earnings are expected to grow with 14.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.24
PEG (5Y)9.85
EPS Next 2Y15.17%
EPS Next 3Y14%
5. Dividend
5.1 Amount
- J has a Yearly Dividend Yield of 1.06%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.45, J pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, J's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
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
- 52.72% of the earnings are spent on dividend by J. This is a bit on the high side, but may be sustainable.
- The dividend of J is growing, but earnings are growing more, so the dividend growth is sustainable.
DP52.72%
EPS Next 2Y15.17%
EPS Next 3Y14%
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.
What is the valuation status for J stock?
ChartMill assigns a valuation rating of 5 / 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 22.33 and the Price/Book (PB) ratio is 4.46.
What is the financial health of JACOBS SOLUTIONS INC (J) stock?
The financial health rating of JACOBS SOLUTIONS INC (J) is 5 / 10.