Jacobs Solutions Prepares for Earnings Announcement Amidst Mixed Market Performance
Jacobs Solutions Inc. (J) stands out as a key player in professional services, offering engineering, consulting, and technology solutions to tackle today’s complex issues. With a market capitalization of $16.4 billion, the Dallas-based firm focuses on creating sustainable results across various industries, including infrastructure, environmental, and advanced technology. The company will unveil its first-quarter earnings on Tuesday, February 4.
Market Expectations and Previous Earnings Performance
Analysts project Jacobs Solutions to post a profit of $1.29 per share, marking a 36.1% decrease compared to last year’s $2.02 for the same quarter. However, Jacobs has surpassed Wall Street’s earnings expectations for four consecutive quarters. In the previous Q4, the company reported earnings per share (EPS) of $1.37, slightly above consensus estimates, thanks to enhanced operational efficiency.
Financial Projections for Fiscal 2025
Looking ahead, analysts estimate that Jacobs Solutions will achieve an adjusted EPS of $6.06 for fiscal 2025, reflecting a 14.8% increase from $5.28 in fiscal 2024.
Stock Performance Against Market Benchmarks
Over the past year, Jacobs stock has lagged behind the S&P 500’s gains of 21.8%, with its shares rising only 20.4% during the same period. Nevertheless, it has outperformed the Industrial Select Sector SPDR Fund’s (XLI) increase of 16.9% during this time frame.
Recent Earnings Report and Future Guidance
On November 19, shares of Jacobs Solutions fell 4.9% following the release of Q4 earnings. The company reported revenue of $3 billion, representing a year-over-year increase of 4.4%. Adjusted EBITDA was $289 million, up 12.5% from the previous year. Looking to fiscal 2025, Jacobs anticipates adjusted net revenue growth in the mid-to-high single digits compared to fiscal 2024, along with an adjusted EBITDA margin estimated between 13.8% and 14%.
Analysts’ Outlook
Currently, analysts maintain a “Moderate Buy” consensus on Jacobs Solutions’ stock. Of the 15 analysts covering the firm, seven recommend a “Strong Buy,” two suggest a “Moderate Buy,” and six opt for a “Hold.” The average price target stands at $155.91, indicating a potential upside of 17.8% from current prices.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here. More news from Barchart
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