Jacobs Solutions (NYSE:J) Shares Down 4.1% After Earnings Miss

Jacobs Solutions Inc. (NYSE:J) shares dropped 4.1% during mid-day trading on Tuesday following a weaker than expected earnings announcement. The company traded as low as $133.85 and last traded at $134.64. Approximately 396,630 shares traded hands during mid-day trading, a decline of 50% from the average daily volume of 798,293 shares. The stock had previously closed at $140.35.

The company reported $1.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.08 by ($0.71). The company had revenue of $2.96 billion during the quarter, compared to analyst estimates of $4.50 billion. Jacobs Solutions had a net margin of 3.72% and a return on equity of 14.76%. The company’s revenue was up 4.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.90 earnings per share.

Jacobs Solutions Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 22nd. Stockholders of record on Friday, October 25th will be issued a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a dividend yield of 0.87%. The ex-dividend date of this dividend is Friday, October 25th. Jacobs Solutions’s dividend payout ratio is presently 22.92%.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on J shares. Robert W. Baird decreased their target price on Jacobs Solutions from $163.00 to $160.00 and set an “outperform” rating on the stock in a research note on Wednesday, August 7th. UBS Group increased their target price on Jacobs Solutions from $161.00 to $165.00 and gave the stock a “buy” rating in a research note on Wednesday, August 14th. StockNews.com started coverage on Jacobs Solutions in a research note on Monday. They set a “buy” rating on the stock. Citigroup increased their target price on Jacobs Solutions from $138.60 to $166.00 and gave the stock a “buy” rating in a research note on Tuesday, October 22nd. Finally, Raymond James raised Jacobs Solutions from a “market perform” rating to an “outperform” rating and set a $160.00 price target on the stock in a research report on Friday, October 4th. Four equities research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. According to data from MarketBeat, Jacobs Solutions currently has an average rating of “Moderate Buy” and an average price target of $159.30.

Insider Buying and Selling at Jacobs Solutions

In other news, Director Christopher M.T. Thompson sold 1,898 shares of the firm’s stock in a transaction that occurred on Thursday, August 29th. The stock was sold at an average price of $150.85, for a total value of $286,313.30. Following the completion of the sale, the director now directly owns 42,069 shares of the company’s stock, valued at $6,346,108.65. This trade represents a 4.32 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Shelette M. Gustafson sold 4,167 shares of the firm’s stock in a transaction that occurred on Thursday, August 29th. The shares were sold at an average price of $150.14, for a total value of $625,633.38. Following the completion of the sale, the executive vice president now directly owns 24,564 shares of the company’s stock, valued at $3,688,038.96. This represents a 14.50 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 1.00% of the company’s stock.

Hedge Funds Weigh In On Jacobs Solutions

Several hedge funds and other institutional investors have recently bought and sold shares of the company. EdgeRock Capital LLC acquired a new position in shares of Jacobs Solutions in the second quarter worth $26,000. Bruce G. Allen Investments LLC raised its holdings in shares of Jacobs Solutions by 427.5% in the second quarter. Bruce G. Allen Investments LLC now owns 211 shares of the company’s stock worth $29,000 after acquiring an additional 171 shares during the last quarter. First Horizon Advisors Inc. raised its holdings in shares of Jacobs Solutions by 44.3% in the third quarter. First Horizon Advisors Inc. now owns 241 shares of the company’s stock worth $32,000 after acquiring an additional 74 shares during the last quarter. Quarry LP raised its holdings in shares of Jacobs Solutions by 394.9% in the third quarter. Quarry LP now owns 292 shares of the company’s stock worth $38,000 after acquiring an additional 233 shares during the last quarter. Finally, Capital Performance Advisors LLP acquired a new position in shares of Jacobs Solutions in the third quarter worth $42,000. 85.65% of the stock is owned by institutional investors and hedge funds.

Jacobs Solutions Stock Performance

The company has a market capitalization of $16.59 billion, a price-to-earnings ratio of 26.40, a PEG ratio of 1.57 and a beta of 0.71. The stock has a fifty day moving average price of $142.57 and a two-hundred day moving average price of $142.48. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.31.

Jacobs Solutions Company Profile

Jacobs Solutions Inc provides consulting, technical, engineering, scientific, and project delivery services for the government and private sectors in the United States, Europe, Canada, India, Asia, Australia, New Zealand, the Middle East, and Africa. It operates through Critical Mission Solutions, People & Places Solutions, Divergent Solutions, and PA Consulting segments.