Jacobs Story

<div class='circular--portrait' style='background:#FF01C9;color: #FFF8DC;font-size:4em;'>JE</div>
J -- USA Stock  

USD 114.55  0.63  0.55%

Jacobs Engineering is scheduled to announce its earnings today. The next earnings report is expected on the 5th of May 2021. As some millenniums are still trying to avoid industrials space, I will try to examine Jacobs Engineering Group a little further in order to understand its potential as a viable investment. We will evaluate why we are still optimistic in anticipation of a recovery.
Published over two weeks ago
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Should analysts change their consensus on Jacobs Engineering (NYSE:J) after the recent surge?
Jacobs Engineering is FAIRLY VALUED at 106.41 per share with modest projections ahead. Macroaxis provides investment recommendation on Jacobs Engineering to complement and cross-verify current analyst consensus on Jacobs Engineering. Our trade recommendations engine determines the entity's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
What is the right price you would pay to acquire a share of Jacobs Engineering? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated.
Please read more on our stock advisor page.

What is happening with Jacobs Engineering Group this year

Annual and quarterly reports issued by Jacobs Engineering Group are formal financial statements that are published yearly and quarterly and sent to Jacobs stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Jacobs Engineering often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

How Jacobs utilizes its cash?

To perform a cash flow analysis of Jacobs Engineering, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Jacobs Engineering is receiving and how much cash it distributes out in a given period. The Jacobs Engineering cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Jacobs Engineering Net Cash Flow from Operations is increasing as compared to previous years. The last year's value of Net Cash Flow from Operations was reported at 680.17 Million

Breaking down Jacobs Engineering Further

Earning per share calculations of Jacobs Engineering is based on official Zacks consensus of 6 analysts regarding Jacobs Engineering's future annual earnings. Given the historical accuracy of 86.46%, the future earnings per share of the company is estimated to be 5.7467 with the lowest and highest values of 5.6 and 6.15, respectively. Please note that this consensus of annual earnings estimates for the firm is an estimate of EPS before non-recurring items and including employee stock options expenses.

Is Jacobs a risky opportunity?

Let's check the volatility. Jacobs is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Jacobs (NYSE:J) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. purchasing a share of a Jacobs Engineering stock makes you a part-owner of that company.

Jacobs Engineering Group Current Consensus

Here is the recent trade recommendation based on an ongoing consensus estimate among financial analysis covering Jacobs Engineering. The Jacobs consensus assessment is calculated by taking the average estimates from all of the analysts covering Jacobs Engineering

Strong Buy
11
Hold
1
Strong Buy1191.67
Buy00.0
Hold18.33
Sell00.0
Strong Sell00.0

Our perspective of the recent Jacobs Engineering surge

Recent kurtosis is at 3.04. As of the 9th of February, Jacobs Engineering retains the Market Risk Adjusted Performance of (0.47), risk adjusted performance of 0.0626, and Downside Deviation of 1.94. Jacobs Engineering technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We have analyzed nineteen technical drivers for Jacobs Engineering, which can be compared to its competitors. Please check out Jacobs Engineering jensen alpha, and the relationship between the coefficient of variation and potential upside to decide if Jacobs Engineering is priced fairly, providing market reflects its last-minute price of 111.94 per share. Given that Jacobs Engineering Group has jensen alpha of 0.1578, we strongly advise you to confirm Jacobs Engineering's regular market performance to make sure the company can sustain itself at a future point.

Our Conclusion on Jacobs Engineering

Although many other companies within the engineering & construction industry are still a little expensive, even after the recent corrections, Jacobs Engineering may offer a potential longer-term growth to traders. To conclude, as of the 9th of February 2021, our analysis shows that Jacobs Engineering almost neglects market trends. The firm is fairly valued and projects low probability of bankruptcy for the next 2 years. However, our overall 30 days buy-hold-sell advice on the firm is Strong Sell.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Jacobs Engineering Group. Please refer to our Terms of Use for any information regarding our disclosure principles.

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