KBR INC (KBR) Fundamental Analysis & Valuation
NYSE:KBR • US48242W1062
Current stock price
38.05 USD
+0.53 (+1.41%)
At close:
37.545 USD
-0.5 (-1.33%)
After Hours:
This KBR fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. KBR Profitability Analysis
1.1 Basic Checks
- In the past year KBR was profitable.
- In the past year KBR had a positive cash flow from operations.
- KBR had positive earnings in 4 of the past 5 years.
- In the past 5 years KBR always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 6.30%, KBR is doing good in the industry, outperforming 65.12% of the companies in the same industry.
- KBR has a Return On Equity of 27.61%. This is amongst the best in the industry. KBR outperforms 82.56% of its industry peers.
- KBR has a Return On Invested Capital of 8.55%. This is in the better half of the industry: KBR outperforms 60.47% of its industry peers.
- KBR had an Average Return On Invested Capital over the past 3 years of 8.72%. This is below the industry average of 13.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 27.61% | ||
| ROIC | 8.55% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)11.42%
ROE(5y)9.51%
ROIC(3y)8.72%
ROIC(5y)8.28%
1.3 Margins
- KBR has a Profit Margin of 5.30%. This is in the better half of the industry: KBR outperforms 62.79% of its industry peers.
- In the last couple of years the Profit Margin of KBR has grown nicely.
- KBR has a Operating Margin (7.17%) which is comparable to the rest of the industry.
- KBR's Operating Margin has improved in the last couple of years.
- KBR has a Gross Margin of 14.67%. This is amonst the worse of the industry: KBR underperforms 80.23% of its industry peers.
- In the last couple of years the Gross Margin of KBR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.17% | ||
| PM (TTM) | 5.3% | ||
| GM | 14.67% |
OM growth 3Y5.48%
OM growth 5Y4.91%
PM growth 3Y22.79%
PM growth 5YN/A
GM growth 3Y5.4%
GM growth 5Y5.04%
2. KBR Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KBR is creating some value.
- KBR has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, KBR has less shares outstanding
- KBR has a worse debt/assets ratio than last year.
2.2 Solvency
- KBR has an Altman-Z score of 2.46. This is not the best score and indicates that KBR is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of KBR (2.46) is comparable to the rest of the industry.
- KBR has a debt to FCF ratio of 5.39. This is a neutral value as KBR would need 5.39 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.39, KBR is in line with its industry, outperforming 47.67% of the companies in the same industry.
- KBR has a Debt/Equity ratio of 1.69. This is a high value indicating a heavy dependency on external financing.
- KBR has a worse Debt to Equity ratio (1.69) than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 5.39 | ||
| Altman-Z | 2.46 |
ROIC/WACC1.18
WACC7.26%
2.3 Liquidity
- A Current Ratio of 1.22 indicates that KBR should not have too much problems paying its short term obligations.
- KBR's Current ratio of 1.22 is on the low side compared to the rest of the industry. KBR is outperformed by 63.95% of its industry peers.
- A Quick Ratio of 1.22 indicates that KBR should not have too much problems paying its short term obligations.
- KBR has a worse Quick ratio (1.22) than 63.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 |
3. KBR Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 16.42% over the past year.
- Measured over the past years, KBR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.65% on average per year.
- KBR shows a small growth in Revenue. In the last year, the Revenue has grown by 1.05%.
- The Revenue has been growing slightly by 6.19% on average over the past years.
EPS 1Y (TTM)16.42%
EPS 3Y12.76%
EPS 5Y17.65%
EPS Q2Q%8.79%
Revenue 1Y (TTM)1.05%
Revenue growth 3Y5.86%
Revenue growth 5Y6.19%
Sales Q2Q%-11.17%
3.2 Future
- The Earnings Per Share is expected to grow by 13.71% on average over the next years. This is quite good.
- Based on estimates for the next years, KBR will show a small growth in Revenue. The Revenue will grow by 6.55% on average per year.
EPS Next Y5.66%
EPS Next 2Y5.7%
EPS Next 3Y8.78%
EPS Next 5Y13.71%
Revenue Next Year2.67%
Revenue Next 2Y3.88%
Revenue Next 3Y4.29%
Revenue Next 5Y6.55%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- 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. KBR Valuation Analysis
4.1 Price/Earnings Ratio
- KBR is valuated reasonably with a Price/Earnings ratio of 9.76.
- Based on the Price/Earnings ratio, KBR is valued cheaply inside the industry as 81.40% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of KBR to the average of the S&P500 Index (26.17), we can say KBR is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 9.23, the valuation of KBR can be described as reasonable.
- KBR's Price/Forward Earnings ratio is rather cheap when compared to the industry. KBR is cheaper than 82.56% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of KBR to the average of the S&P500 Index (23.05), we can say KBR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.76 | ||
| Fwd PE | 9.23 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KBR is valued a bit cheaper than the industry average as 74.42% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, KBR is valued cheaply inside the industry as 80.23% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.98 | ||
| EV/EBITDA | 9.46 |
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 KBR may justify a higher PE ratio.
PEG (NY)1.72
PEG (5Y)0.55
EPS Next 2Y5.7%
EPS Next 3Y8.78%
5. KBR Dividend Analysis
5.1 Amount
- KBR has a Yearly Dividend Yield of 1.78%.
- Compared to an average industry Dividend Yield of 1.86, KBR pays a bit more dividend than its industry peers.
- KBR's Dividend Yield is comparable with the S&P500 average which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
- The dividend of KBR is nicely growing with an annual growth rate of 14.80%!
- 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)14.8%
Div Incr Years6
Div Non Decr Years17
5.3 Sustainability
- KBR pays out 20.24% of its income as dividend. This is a sustainable payout ratio.
- The dividend of KBR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP20.24%
EPS Next 2Y5.7%
EPS Next 3Y8.78%
KBR Fundamentals: All Metrics, Ratios and Statistics
38.05
+0.53 (+1.41%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)05-04 2026-05-04
Inst Owners99.83%
Inst Owner Change0%
Ins Owners1.11%
Ins Owner Change3.34%
Market Cap4.81B
Revenue(TTM)7.82B
Net Income(TTM)415.00M
Analysts76.92
Price Target53.81 (41.42%)
Short Float %3.58%
Short Ratio3.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend0.65
Dividend Growth(5Y)14.8%
DP20.24%
Div Incr Years6
Div Non Decr Years17
Ex-Date03-13 2026-03-13 (0.165)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.51%
Min EPS beat(2)3.3%
Max EPS beat(2)5.73%
EPS beat(4)4
Avg EPS beat(4)5.88%
Min EPS beat(4)1.92%
Max EPS beat(4)12.56%
EPS beat(8)7
Avg EPS beat(8)5.67%
EPS beat(12)9
Avg EPS beat(12)5.06%
EPS beat(16)13
Avg EPS beat(16)6.4%
Revenue beat(2)0
Avg Revenue beat(2)-2.57%
Min Revenue beat(2)-3.11%
Max Revenue beat(2)-2.03%
Revenue beat(4)0
Avg Revenue beat(4)-3.51%
Min Revenue beat(4)-7.14%
Max Revenue beat(4)-1.77%
Revenue beat(8)2
Avg Revenue beat(8)-1.42%
Revenue beat(12)3
Avg Revenue beat(12)-1.24%
Revenue beat(16)3
Avg Revenue beat(16)-1.44%
PT rev (1m)0%
PT rev (3m)-2.31%
EPS NQ rev (1m)-3.7%
EPS NQ rev (3m)-4.9%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.13%
Revenue NQ rev (1m)-0.78%
Revenue NQ rev (3m)-3.49%
Revenue NY rev (1m)-1.17%
Revenue NY rev (3m)-1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.76 | ||
| Fwd PE | 9.23 | ||
| P/S | 0.62 | ||
| P/FCF | 9.98 | ||
| P/OCF | 9.18 | ||
| P/B | 3.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.46 |
EPS(TTM)3.9
EY10.25%
EPS(NY)4.12
Fwd EY10.83%
FCF(TTM)3.81
FCFY10.02%
OCF(TTM)4.14
OCFY10.89%
SpS61.86
BVpS11.88
TBVpS-15.03
PEG (NY)1.72
PEG (5Y)0.55
Graham Number32.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 27.61% | ||
| ROCE | 11.46% | ||
| ROIC | 8.55% | ||
| ROICexc | 9.52% | ||
| ROICexgc | 42.19% | ||
| OM | 7.17% | ||
| PM (TTM) | 5.3% | ||
| GM | 14.67% | ||
| FCFM | 6.16% |
ROA(3y)2.39%
ROA(5y)2.2%
ROE(3y)11.42%
ROE(5y)9.51%
ROIC(3y)8.72%
ROIC(5y)8.28%
ROICexc(3y)9.51%
ROICexc(5y)9.08%
ROICexgc(3y)38.84%
ROICexgc(5y)38.24%
ROCE(3y)11.69%
ROCE(5y)11.1%
ROICexgc growth 3Y-4.33%
ROICexgc growth 5Y18.84%
ROICexc growth 3Y2.05%
ROICexc growth 5Y8.29%
OM growth 3Y5.48%
OM growth 5Y4.91%
PM growth 3Y22.79%
PM growth 5YN/A
GM growth 3Y5.4%
GM growth 5Y5.04%
F-Score8
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 5.39 | ||
| Debt/EBITDA | 3.49 | ||
| Cap/Depr | 24.85% | ||
| Cap/Sales | 0.54% | ||
| Interest Coverage | 3.98 | ||
| Cash Conversion | 71.78% | ||
| Profit Quality | 116.15% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 2.46 |
F-Score8
WACC7.26%
ROIC/WACC1.18
Cap/Depr(3y)34.05%
Cap/Depr(5y)35.86%
Cap/Sales(3y)0.7%
Cap/Sales(5y)0.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.42%
EPS 3Y12.76%
EPS 5Y17.65%
EPS Q2Q%8.79%
EPS Next Y5.66%
EPS Next 2Y5.7%
EPS Next 3Y8.78%
EPS Next 5Y13.71%
Revenue 1Y (TTM)1.05%
Revenue growth 3Y5.86%
Revenue growth 5Y6.19%
Sales Q2Q%-11.17%
Revenue Next Year2.67%
Revenue Next 2Y3.88%
Revenue Next 3Y4.29%
Revenue Next 5Y6.55%
EBIT growth 1Y3.51%
EBIT growth 3Y11.66%
EBIT growth 5Y11.4%
EBIT Next Year23.99%
EBIT Next 3Y9.76%
EBIT Next 5Y10.23%
FCF growth 1Y25.19%
FCF growth 3Y14.04%
FCF growth 5Y6.79%
OCF growth 1Y19.91%
OCF growth 3Y9.79%
OCF growth 5Y7.38%
KBR INC / KBR Fundamental Analysis 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 7 / 10 to KBR INC (KBR). This can be considered as Undervalued.
How profitable is KBR INC (KBR) stock?
KBR INC (KBR) has a profitability rating of 6 / 10.
What are the PE and PB ratios of KBR INC (KBR) stock?
The Price/Earnings (PE) ratio for KBR INC (KBR) is 9.76 and the Price/Book (PB) ratio is 3.2.
What is the earnings growth outlook for KBR INC?
The Earnings per Share (EPS) of KBR INC (KBR) is expected to grow by 5.66% in the next year.