$132.75
arrow_drop_down1.97%Is J a Buy or Sell based on AI Analysis?
Fundamental Analysis
The fundamental analysis of Jacobs Engineering Group Inc indicates a solid financial performance and stability. The company has a strong revenue growth of 9.58% and a healthy gross profit of $3.47 billion. The net margin of 4.07% reflects efficient cost management and operational effectiveness. Additionally, the return on equity of 10.6% signifies that the company is generating good returns for its shareholders. With a low debt-to-equity ratio of 0.48, Jacobs Engineering Group Inc appears to have a conservative approach towards leveraging its capital structure, which can provide stability during economic downturns. Furthermore, Jacobs Engineering Group Inc's dividend yield of 0.79% and annual dividends per share of $1.04 suggest a commitment to providing returns to its investors. The company's strong free cash flow of $837.28 million indicates ample liquidity to reinvest in growth opportunities or return value to shareholders. The PEG ratio of 1.43 reflects a balanced valuation relative to the company's growth prospects. Additionally, the enterprise value to EBITDA ratio of 15.3 suggests that Jacobs Engineering Group Inc is attractively priced in comparison to its earnings potential. Overall, these fundamental indicators present a favorable outlook for the company's financial performance and long-term sustainability.
Positive Development
Jacobs Solutions Inc. has been outperforming its competitors in the professional services sector, indicating strong market recognition and competitive advantage. The company's stock has shown resilience in the face of overall market volatility, indicating a strong investor confidence. Jacobs Solutions Inc. has been consistently increasing its dividend, which may attract more investors and increase its stock price.
Negative Development
Despite its outperformance, Jacobs Solutions Inc. underperformed in certain days, indicating potential market instability. The company's net debt to total capital ratio is 0.1827, which is relatively high, indicating a high level of debt. The company's total debt to equity ratio is 0.4329, which may indicate a high level of debt burden on the company's equity.
Technical Analysis
Jacobs Engineering Group Inc (J) has a neutral technical rating, with one buy indicator and four hold indicators in the month of March. The stock's price has seen a slight increase of 0.35%, with a seven-day price change percent of 0.02%. The stock's technical indicators, such as RSI, MACD, ADX, and ROC, suggest a hold position in the short term, while CCI, WILLR, and STOCHRSI indicate a sell position. This combination of technical analysis tools provides investors with a comprehensive view of the stock's performance and potential movements in the near future. Furthermore, Jacobs Engineering Group Inc has a beta value of 0.73, indicating a lower volatility compared to the market. The stock also has a trailing PE ratio of 26.09 and a PE ratio of 26.18, highlighting its valuation relative to earnings. Investors may also consider the company's dividend yield of 0.79% and its annual dividends per share of $1.04. Overall, the technical analysis of Jacobs Engineering Group Inc shows a mixed outlook, with indicators pointing towards a cautious approach in the short term, while the company's stable financial metrics and dividend yield may appeal to long-term investors.
Conclusion and recommendation
In light of the data provided, Jacobs Engineering Group Inc appears to be a solid investment option. With a market cap of $18.49B and a steady upward trend in various performance metrics over the past few months, including a 7.35% one-month price change and a 9.58% revenue growth, the company is showing signs of growth and stability. Additionally, the company's dividend yield of 0.79% and annual dividends per share of $1.04 indicate a commitment to providing returns to shareholders. The company's strong financials, including a low debt-to-equity ratio of 0.48 and a healthy current ratio of 1.36, suggest a sound financial footing. In conclusion, Jacobs Engineering Group Inc presents as a promising investment opportunity for investors looking for a stable and potentially profitable addition to their portfolio. The company's strong performance metrics, market position, and commitment to shareholder returns make it an attractive option. Additionally, the company's presence in the industrials sector and consistent growth in key financial indicators indicate a positive outlook for future performance. Investors may want to consider adding Jacobs Engineering Group Inc to their investment portfolio for long-term growth and stability.