J Stock Analysis — Jacobs Solutions
Sector: Industrials
AI Verdict
Jacobs trades at 16.8x next year's earnings with analysts betting on a 114.6% EPS surge—if its sticky government contracts deliver, that's cheap for the growth, but the stock is priced for a big jump that can't afford a stumble.
Competitive Moat
Jacobs Solutions specializes in large-scale engineering, consulting, and project management for critical infrastructure, giving it a moat through long-term government and enterprise contracts that are hard for smaller firms to win. Its technical expertise and relationships in regulated sectors like water, transportation, and defense create high switching costs for clients.
Summary
Jacobs is notable now for analyst consensus expecting a massive 114.6% jump in earnings per share over the next year.
Where It Stands
The stock is down -3.47% over the past year, sits at an oversold RSI of 33.3, and trades at 16.8x forward earnings—well below the 20x industrials median despite huge forecasted EPS growth.
Key Metrics
- RSI: 33.3 — Near Oversold
- Trailing P/E: 36.1x
- Forward P/E: 16.8x
- PEG Ratio: 0.31
- Earnings Growth: +1.1%
- Revenue Growth: +0.1%
- Market Cap: $13.8B
- Dividend Yield: 0.01%
- 1-Year Return: -3.47%
- 52-Week High: $168.44
- 52-Week Low: $118.33
Analyst Consensus
17 Buy · 8 Hold · 0 Sell (25 analysts)
Bull Case
With forward EPS expected to more than double (+114.6%) and a forward P/E of just 16.8x, the stock is cheap for the growth on offer if those forecasts are met.
Bear Case
If the P/E reverts to the sector median of 20x without delivering the forecasted earnings, the current 36.1x trailing multiple leaves room for disappointment and further downside.
Catalyst to Watch
Watch for quarterly earnings reports—confirmation of triple-digit EPS growth will justify the low forward P/E, while a miss could trigger further selling.