Jacobs Solutions (NYSE:J) Issues Earnings Results, Beats Expectations By $0.01 EPS

Jacobs Solutions (NYSE:J) announced its quarterly earnings data on Tuesday. The company reported $1.84 earnings per share for the quarter, topping the consensus estimate of $1.83 by $0.01, FiscalAI reports. Jacobs Solutions had a return on equity of 22.29% and a net margin of 2.92%.The firm had revenue of $2.42 billion during the quarter, compared to analysts’ expectations of $2.40 billion. During the same period in the previous year, the business posted $1.62 EPS. The company’s quarterly revenue was up 8.3% compared to the same quarter last year. Jacobs Solutions updated its FY 2026 guidance to 7.200-7.300 EPS.

Here are the key takeaways from Jacobs Solutions’ conference call:

• Jacobs raised its FY2026 outlook for the third consecutive time, increasing adjusted net revenue growth to 9.5%–10%, adjusted EPS to $7.20–$7.30, and adjusted free cash flow margin to 8%. Management expects approximately 14% net revenue growth and a 16% adjusted EBITDA margin in Q4.
• Q3 adjusted EPS rose 14% to $1.84, while adjusted net revenue grew more than 8% organically and adjusted EBITDA margin expanded 109 basis points year over year to 15.2%. Share repurchases and operating leverage also supported earnings growth.
• Backlog reached a record $29 billion, up 27% year over year, with trailing book-to-bill of 1.4x on gross revenue and 1.2x on net revenue. Strong awards in advanced manufacturing, environmental services, transportation, water, and AI data centers provide management with increased visibility into FY2027 growth.
• AI infrastructure remains a major growth engine, with direct AI build-out revenue reaching 11% of adjusted net revenue and the related pipeline expanding significantly. Jacobs cited major data-center and semiconductor opportunities, including a sole-source EPCM contract for Hut 8’s planned 1-gigawatt Texas campus.
• Water and environmental revenue grew only slightly, at just over 1%, because of continued environmental-sector headwinds, while PA Consulting faced temporary project-start delays following a change in U.K. government leadership. Management expects improvement in both areas, but the timing and conversion of awards remain execution considerations.

Jacobs Solutions Trading Up 3.0%

Shares of Jacobs Solutions stock traded up $4.20 during trading hours on Tuesday, hitting $142.92. The company’s stock had a trading volume of 1,359,389 shares, compared to its average volume of 860,922. Jacobs Solutions has a 12 month low of $105.68 and a 12 month high of $168.44. The stock has a 50 day moving average of $127.08 and a 200 day moving average of $129.14. The company has a market capitalization of $16.88 billion, a PE ratio of 20.86, a price-to-earnings-growth ratio of 1.35 and a beta of 0.68. The company has a debt-to-equity ratio of 1.24, a current ratio of 1.43 and a quick ratio of 1.43.

Jacobs Solutions Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 18th. Shareholders of record on Friday, August 21st will be paid a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date of this dividend is Friday, August 21st. Jacobs Solutions’s payout ratio is presently 44.72%.

Analyst Ratings Changes

Several brokerages recently weighed in on J. Wall Street Zen lowered shares of Jacobs Solutions from a “buy” rating to a “hold” rating in a report on Saturday, May 9th. Royal Bank Of Canada upped their target price on shares of Jacobs Solutions from $169.00 to $171.00 and gave the company an “outperform” rating in a research report on Wednesday, July 22nd. Citigroup raised their price target on Jacobs Solutions from $180.00 to $181.00 and gave the stock a “buy” rating in a research report on Wednesday, May 6th. Wells Fargo & Company decreased their price objective on Jacobs Solutions from $137.00 to $131.00 and set an “equal weight” rating for the company in a research note on Thursday, May 7th. Finally, Robert W. Baird dropped their price objective on Jacobs Solutions from $130.00 to $126.00 and set a “neutral” rating for the company in a report on Monday, April 13th. Six analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $153.30.

Insider Activity

In other news, CEO Robert V. Pragada bought 3,601 shares of the stock in a transaction on Friday, May 15th. The stock was purchased at an average price of $111.09 per share, for a total transaction of $400,035.09. Following the acquisition, the chief executive officer owned 333,755 shares in the company, valued at approximately $37,076,842.95. This trade represents a 1.09% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director Manuel J. Fernandez acquired 403 shares of the firm’s stock in a transaction that occurred on Friday, May 8th. The shares were purchased at an average price of $121.93 per share, with a total value of $49,137.79. Following the completion of the acquisition, the director owned 12,251 shares of the company’s stock, valued at $1,493,764.43. This represents a 3.40% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have bought a total of 4,257 shares of company stock worth $477,651 in the last quarter. 0.48% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Jacobs Solutions

A number of large investors have recently added to or reduced their stakes in J. Measured Wealth Private Client Group LLC acquired a new stake in Jacobs Solutions during the third quarter worth approximately $27,000. Wealth Watch Advisors INC bought a new stake in shares of Jacobs Solutions during the third quarter worth approximately $33,000. Parkside Financial Bank & Trust grew its position in shares of Jacobs Solutions by 39.8% in the fourth quarter. Parkside Financial Bank & Trust now owns 460 shares of the company’s stock valued at $61,000 after purchasing an additional 131 shares during the last quarter. Los Angeles Capital Management LLC bought a new position in shares of Jacobs Solutions during the fourth quarter worth approximately $71,000. Finally, Larson Financial Group LLC increased its stake in shares of Jacobs Solutions by 105.2% during the third quarter. Larson Financial Group LLC now owns 509 shares of the company’s stock worth $76,000 after purchasing an additional 261 shares during the period. Institutional investors own 85.65% of the company’s stock.

Jacobs Solutions Company Profile

Jacobs Solutions Inc, commonly known as Jacobs, is a global professional services firm that provides technical, engineering, scientific and project delivery expertise across a broad range of industries. Founded in 1947 by Joseph J. Jacobs in Pasadena, California, the company evolved from a regional engineering consultancy into a diversified provider of design, program and construction management, operations and maintenance, and scientific services for complex infrastructure and industrial programs.