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Here's Why Jacobs Solutions (J) is a Strong Momentum Stock
ZACKS· 2025-08-19 14:51
Group 1 - Zacks Premium offers tools for investors to enhance their stock market confidence and knowledge, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market within 30 days, rated from A to F based on value, growth, and momentum [2][10] - The Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [3] - The Growth Score evaluates a company's future prospects through projected earnings and cash flow [4] - The Momentum Score identifies trends in stock prices and earnings estimates to optimize entry points for investments [5] - The VGM Score combines the three Style Scores to highlight stocks with the best overall value, growth, and momentum [6] Group 2 - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist investors in building successful portfolios, with 1 (Strong Buy) stocks yielding an average annual return of +23.75% since 1988 [7][8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [10] - Jacobs Solutions Inc. is highlighted as a stock to watch, currently holding a 3 (Hold) Zacks Rank and a VGM Score of B, with a Momentum Style Score of B and a 7% increase in shares over the past four weeks [12][13][14] - Jacobs Solutions has seen upward revisions in earnings estimates, with the Zacks Consensus Estimate increasing by $0.04 to $6.05 per share for fiscal 2025 [13]
Jacobs to Report Q2 Earnings: What to Expect From the Stock?
ZACKS· 2025-05-05 17:00
Core Viewpoint - Jacobs Solutions, Inc. is set to report its second-quarter fiscal 2025 results on May 6, with expectations of revenue growth driven by contract wins and strong project execution, despite some short-term headwinds impacting performance [1][2][5]. Financial Performance - In the last reported quarter, Jacobs' earnings and revenues exceeded the Zacks Consensus Estimate by 3.1% and 0.1%, respectively, with adjusted earnings declining 8.3% year-over-year and revenues increasing by 4.4% [1]. - The Zacks Consensus Estimate for the upcoming quarter's earnings per share has decreased to $1.41 from $1.43, while the revenue estimate is set at $3.02 billion [2]. Segment Analysis - The Infrastructure & Advanced Facilities segment, which accounted for 89.7% of total revenues in fiscal 2024, is expected to benefit from strong demand in water infrastructure, environmental services, life sciences, advanced manufacturing, and Critical Infrastructure [3]. - The PA Consulting segment contributed 10.3% to Jacobs' fiscal 2024 revenues, with anticipated growth from energy transition and digital services demand [4]. Market Conditions - Jacobs is likely to have experienced growth due to rising demand in sectors such as energy, water, and transport, along with expansion in international markets like Europe, the Middle East, and Australia [2]. - However, short-term challenges such as government funding delays, restructuring costs, and macroeconomic uncertainties may have negatively impacted quarterly performance [5]. Operational Efforts - The company's initiatives to streamline operations and enhance cost structure are expected to support margins in the second quarter [6]. Earnings Prediction - The current Earnings ESP for Jacobs is -4.03%, indicating that the model does not predict an earnings beat for this quarter [7]. - Jacobs holds a Zacks Rank of 4 (Sell), suggesting a less favorable outlook compared to other companies in the sector [8].