KBR INC (KBR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KBR - US48242W1062 - Common Stock
40.22 USD
-0.01 (-0.02%)
40.22 USD
0 (0%)
Overall KBR gets a fundamental rating of 5 out of 10. We evaluated KBR against 86 industry peers in the Professional Services industry. KBR has a medium profitability rating, but doesn't score so well on its financial health evaluation. KBR is valued quite cheap, while showing a decent growth score. This is a good combination! KBR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year KBR was profitable.
In the past year KBR had a positive cash flow from operations.
In multiple years KBR reported negative net income over the last 5 years.
KBR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KBR's Return On Assets of 5.72% is fine compared to the rest of the industry. KBR outperforms 62.79% of its industry peers.
The Return On Equity of KBR (25.96%) is better than 76.74% of its industry peers.
KBR has a Return On Invested Capital of 8.28%. This is comparable to the rest of the industry: KBR outperforms 59.30% 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 12.04%.
| 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 Profit Margin of 4.71%. This is comparable to the rest of the industry: KBR outperforms 59.30% of its industry peers.
In the last couple of years the Profit Margin of KBR has grown nicely.
KBR has a Operating Margin of 6.72%. This is comparable to the rest of the industry: KBR outperforms 55.81% of its industry peers.
KBR's Operating Margin has improved in the last couple of years.
KBR has a worse Gross Margin (14.28%) than 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 | 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.
The number of shares outstanding for KBR has been reduced compared to 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.
The Debt to FCF ratio of KBR is 5.59, which is a neutral value as it means it would take KBR, 5.59 years of fcf income to pay off all of its debts.
KBR has a Debt to FCF ratio (5.59) which is comparable to the rest of the industry.
KBR has a Debt/Equity ratio of 1.75. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.75, KBR is not doing good in the industry: 80.23% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.75 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 2.47 |
ROIC/WACC1.11
WACC7.43%
2.3 Liquidity
A Current Ratio of 1.18 indicates that KBR should not have too much problems paying its short term obligations.
The Current ratio of KBR (1.18) is worse than 66.28% of its industry peers.
A Quick Ratio of 1.18 indicates that KBR should not have too much problems paying its short term obligations.
KBR has a worse Quick ratio (1.18) than 66.28% of its industry peers.
| 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.
The Revenue has grown by 9.66% in the past year. This is quite good.
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.
KBR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.62% yearly.
EPS Next Y16.29%
EPS Next 2Y11.14%
EPS Next 3Y10.45%
EPS Next 5Y16.31%
Revenue Next Year2.99%
Revenue Next 2Y3.68%
Revenue Next 3Y3.95%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.53 indicates a reasonable valuation of KBR.
Based on the Price/Earnings ratio, KBR is valued cheaper than 83.72% of the companies in the same industry.
When comparing the Price/Earnings ratio of KBR to the average of the S&P500 Index (26.57), we can say KBR is valued rather cheaply.
The Price/Forward Earnings ratio is 9.72, which indicates a very decent valuation of KBR.
Based on the Price/Forward Earnings ratio, KBR is valued cheaper than 87.21% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, KBR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.53 | ||
| Fwd PE | 9.72 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KBR is valued a bit cheaper than the industry average as 77.91% of the companies are valued more expensively.
88.37% of the companies in the same industry are more expensive than KBR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.96 | ||
| EV/EBITDA | 10.03 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.65
PEG (5Y)0.71
EPS Next 2Y11.14%
EPS Next 3Y10.45%
5. Dividend
5.1 Amount
KBR has a Yearly Dividend Yield of 1.64%.
KBR's Dividend Yield is a higher than the industry average which is at 1.58.
Compared to an average S&P500 Dividend Yield of 2.00, KBR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
On average, the dividend of KBR grows each year by 11.11%, which is quite nice.
KBR has been paying a dividend for at least 10 years, so it has a reliable track record.
KBR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.11%
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.
KBR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP21.84%
EPS Next 2Y11.14%
EPS Next 3Y10.45%
40.22
-0.01 (-0.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners100.59%
Inst Owner Change-1.58%
Ins Owners1.11%
Ins Owner Change0.12%
Market Cap5.11B
Revenue(TTM)8.06B
Net Income(TTM)380.00M
Analysts75
Price Target55.08 (36.95%)
Short Float %3.7%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Yearly Dividend0.53
Dividend Growth(5Y)11.11%
DP21.84%
Div Incr Years5
Div Non Decr Years16
Ex-Date
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)-7.24%
PT rev (3m)-8.52%
EPS NQ rev (1m)0.95%
EPS NQ rev (3m)-4.75%
EPS NY rev (1m)0.26%
EPS NY rev (3m)0.35%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-6.65%
Revenue NY rev (1m)-1.01%
Revenue NY rev (3m)-2.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.53 | ||
| Fwd PE | 9.72 | ||
| P/S | 0.63 | ||
| P/FCF | 10.96 | ||
| P/OCF | 9.96 | ||
| P/B | 3.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.03 |
EPS(TTM)3.82
EY9.5%
EPS(NY)4.14
Fwd EY10.29%
FCF(TTM)3.67
FCFY9.12%
OCF(TTM)4.04
OCFY10.04%
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
WACC7.43%
ROIC/WACC1.11
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 Y16.29%
EPS Next 2Y11.14%
EPS Next 3Y10.45%
EPS Next 5Y16.31%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y1.8%
Revenue growth 5Y6.54%
Sales Q2Q%-0.82%
Revenue Next Year2.99%
Revenue Next 2Y3.68%
Revenue Next 3Y3.95%
Revenue Next 5Y6.62%
EBIT growth 1Y1.31%
EBIT growth 3Y9.89%
EBIT growth 5Y11.92%
EBIT Next Year38.59%
EBIT Next 3Y14.67%
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 of KBR INC (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 5 / 10.
Can you provide the financial health for KBR stock?
The financial health rating of KBR INC (KBR) is 3 / 10.
What is the earnings growth outlook for KBR INC?
The Earnings per Share (EPS) of KBR INC (KBR) is expected to grow by 16.29% in the next year.