KBR INC (KBR) Fundamental Analysis & Valuation
NYSE:KBR • US48242W1062
Current stock price
37.49 USD
+1.47 (+4.08%)
At close:
37.88 USD
+0.39 (+1.04%)
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
- KBR had positive earnings in the past year.
- In the past year KBR had a positive cash flow from operations.
- Of the past 5 years KBR 4 years were profitable.
- KBR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- KBR has a Return On Assets of 6.30%. This is in the better half of the industry: KBR outperforms 65.88% of its industry peers.
- KBR has a Return On Equity of 27.61%. This is amongst the best in the industry. KBR outperforms 84.71% of its industry peers.
- KBR has a Return On Invested Capital of 8.55%. This is comparable to the rest of the industry: KBR outperforms 60.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for KBR is below the industry average of 12.34%.
| 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
- Looking at the Profit Margin, with a value of 5.30%, KBR is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
- KBR's Profit Margin has improved in the last couple of years.
- The Operating Margin of KBR (7.17%) is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of KBR has grown nicely.
- KBR has a Gross Margin of 14.67%. This is amonst the worse of the industry: KBR underperforms 81.18% of its industry peers.
- KBR's Gross Margin has improved in the last couple of years.
| 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 2.44. 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.
- KBR has a Altman-Z score of 2.44. This is comparable to the rest of the industry: KBR outperforms 48.24% of its industry peers.
- The Debt to FCF ratio of KBR is 5.39, which is a neutral value as it means it would take KBR, 5.39 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 5.39, KBR perfoms like the industry average, outperforming 47.06% 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 82.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 5.39 | ||
| Altman-Z | 2.44 |
ROIC/WACC1.15
WACC7.46%
2.3 Liquidity
- KBR has a Current Ratio of 1.22. This is a normal value and indicates that KBR is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.22, KBR is doing worse than 64.71% of the companies in the same industry.
- A Quick Ratio of 1.22 indicates that KBR should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.22, KBR is doing worse than 64.71% of the companies in the same industry.
| 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.
- The Earnings Per Share has been growing by 17.65% on average over the past years. This is quite good.
- Looking at the last year, KBR shows a small growth in Revenue. The Revenue has grown by 1.05% in the last year.
- KBR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.19% yearly.
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
- Based on estimates for the next years, KBR will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.71% on average per year.
- 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 Y3.95%
EPS Next 2Y4.5%
EPS Next 3Y6.99%
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.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. KBR Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 9.61, the valuation of KBR can be described as very reasonable.
- 87.06% of the companies in the same industry are more expensive than KBR, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.77, KBR is valued rather cheaply.
- With a Price/Forward Earnings ratio of 9.25, the valuation of KBR can be described as very reasonable.
- 88.24% of the companies in the same industry are more expensive than KBR, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of KBR to the average of the S&P500 Index (21.75), we can say KBR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.61 | ||
| Fwd PE | 9.25 |
4.2 Price Multiples
- KBR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. KBR is cheaper than 74.12% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, KBR is valued cheaply inside the industry as 81.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.86 | ||
| EV/EBITDA | 9.13 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KBR does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of KBR may justify a higher PE ratio.
PEG (NY)2.44
PEG (5Y)0.54
EPS Next 2Y4.5%
EPS Next 3Y6.99%
5. KBR Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.87%, KBR has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.74, KBR pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, KBR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
- On average, the dividend of KBR grows each year by 14.80%, which is quite nice.
- KBR has paid a dividend for at least 10 years, which is 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.
- KBR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.24%
EPS Next 2Y4.5%
EPS Next 3Y6.99%
KBR Fundamentals: All Metrics, Ratios and Statistics
37.49
+1.47 (+4.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Industry Strength34.78
Industry Growth47.83
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)05-05 2026-05-05
Inst Owners99.2%
Inst Owner Change-0.13%
Ins Owners1.15%
Ins Owner Change3.33%
Market Cap4.75B
Revenue(TTM)7.82B
Net Income(TTM)415.00M
Analysts76.92
Price Target52.89 (41.08%)
Short Float %3.95%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
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)-1.69%
PT rev (3m)-2.62%
EPS NQ rev (1m)-5.63%
EPS NQ rev (3m)-7.36%
EPS NY rev (1m)-1.62%
EPS NY rev (3m)-1.32%
Revenue NQ rev (1m)-0.52%
Revenue NQ rev (3m)-3.94%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-1.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.61 | ||
| Fwd PE | 9.25 | ||
| P/S | 0.61 | ||
| P/FCF | 9.86 | ||
| P/OCF | 9.07 | ||
| P/B | 3.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.13 |
EPS(TTM)3.9
EY10.4%
EPS(NY)4.05
Fwd EY10.81%
FCF(TTM)3.8
FCFY10.14%
OCF(TTM)4.13
OCFY11.02%
SpS61.7
BVpS11.85
TBVpS-14.99
PEG (NY)2.44
PEG (5Y)0.54
Graham Number32.2523 (-13.97%)
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 | 2.44 |
F-Score8
WACC7.46%
ROIC/WACC1.15
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 Y3.95%
EPS Next 2Y4.5%
EPS Next 3Y6.99%
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 Year23.49%
EBIT Next 3Y9.73%
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 9.61 and the Price/Book (PB) ratio is 3.16.
What is the earnings growth outlook for KBR INC?
The Earnings per Share (EPS) of KBR INC (KBR) is expected to grow by 3.95% in the next year.