NYSE
KBR
Last Price
US $35.51
KEY FIGURES
MKT CAP
$4.5B
EPS
TTM
$3.16
PEG
TTM
2.61x
P/E
TTM
11.25x
P/S
TTM
0.59x
YIELD
1.86%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
26.57%
Return on equity
ROIC: 10.59%
Valuation History
11.4X
Price to Earnings
EV/EBITDA: 8.2X
Cash flow
Profit margin
5.13%
(FY vs FY)
EBITDA Y/Y
32.61%
(FY vs FY)
Cash flow Y/Y
14.21%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $35.51
31.77%
Default assumptions
EBITDA Multiple
Fair Value
Market $35.51
-11.97%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
KBR, Inc. cash flow to debt ratio of 16.77% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
KBR, Inc.'s free cash flow has increased 25.19% from $385.00M last year to $482.00M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
KBR, Inc.'s debt to equity ratio is 1.77, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
KBR, Inc.'s debt has decreased relative to shareholder equity from 1.96 last year to 1.77 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
KBR, Inc. has a net debt to EBITDA ratio of 2.79x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
KBR, Inc.'s interest coverage ratio of 4.32 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
KBR, Inc.'s profit margin has increased (7.64%) in the last year from 4.84% to 5.21%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
KBR, Inc.'s short-term assets of $2.05G exceed its short-term liabilities of $1.69G
Increasing performance - ROA.
KBR, Inc.'s return on assets of 6.05% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
KBR, Inc.'s return on equity of 26.57%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
KBR, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
KBR, Inc. had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
KBR, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
KBR, Inc. has a free cash flow yield of 10.71%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
KBR, Inc.'s yearly earnings has increased 10.67% since last year from $375.00M to $415.00M, signaling increasing performance
Increasing performance - Healthy revenue growth.
KBR, Inc.'s yearly revenue has increased 0.57% since last year from $7.74G to $7.79G, signaling increasing performance
Increasing performance - ROIC.
ROIC 10.59% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
KBR, Inc.'s 3-year revenue CAGR of 5.86% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
KBR, Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
KBR, Inc. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
KBR, Inc. is undervalued relative to its fair value price of 46.79 based on Discounted Cash Flow model
Undervalued - Earnings yield.
KBR, Inc. has an earnings yield of 8.89%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
KBR, Inc. is overvalued relative to its fair value price of 31.26 based on EBITDA multiple model
Undervalued - EV/EBITDA.
KBR, Inc. has an EV/EBITDA ratio of 7.57x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
KBR, Inc. has a PEG-ratio over 1 which is considered overvalued
Undervalued - P/B ratio.
KBR, Inc. has a price-to-book ratio of 2.84x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
KBR, Inc. has a price-to-sales ratio of 0.59x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue