We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Jacobs' (J) Backlog Gets a Boost on U.S. Army Deal Win
Read MoreHide Full Article
Jacobs Engineering Group Inc. (J - Free Report) has secured an engineering service contract to serve U.S. Army Corps of Engineers’ (USACE) Mobile District Military Design and Construction (MILCON) Program.
This Indefinite Delivery, Indefinite Quantity (IDIQ), Multiple Award Task Order Contract (MATOC) contact will provide Jacobs with unique opportunities to highlight its technical expertise and leadership at the U.S. Army, U.S. Air Force, Special Operations Command, Defense Health Programs, and other Department of Defense programs and agencies, especially in the Southeast region.
The scope of the work includes comprehensive planning services, engineering studies and investigations, design for building renovations and additions as well as development of construction plans and specifications for new vertical construction projects.
Jacobs’ Federal & Environmental Solutions’ Senior Vice President and General Manager, and retired USAF Major General Tim Byers said, "Mobile has a robust Military Design and Construction Program and we can aid USACE to deliver innovative, sustainable and resilient solutions."
Notably, this MATOC is valued at $249 million for a term of not more than five years.
Growth Drivers
Jacobs is majorly benefiting from Federal & Environmental Solutions, and the Critical Mission Solutions business. Federal solutions lend support to U.S. federal, public sector, private sector and defense contractors.
Also, efficient project execution has been one of the main factors driving Jacobs’ performance for the last few quarters. The company’s ongoing contract wins are an evidence of the fact.
Recently, it received a four-year contract from the Nuclear Decommissioning Authority (“NDA”) in the U.K. to facilitate asset management solutions. Per the contract, Jacobs and its strategic supplier, PA Consulting, will assist the NDA on the execution of its asset management plan.
Q2 Results & Share Performance
For second-quarter fiscal 2021, the company’s backlog was $25.6 billion, reflecting a year-over-year increase of 9.6%. This reflects persistent solid demand for Jacobs' consulting services. CMS backlog grew 7% year over year and 6% on a pro-forma basis for the fiscal second quarter, which provided strong visibility into the base business. The company’s overall 18-month qualified new business pipeline of more than $30 billion remains very strong.
P&PS backlog was also up 9.6% year over year for the fiscal second quarter to $15.5 billion. The P&PS segment’s overall sales pipeline has increased, as both life sciences and electronics customers have moved forward with the previously paused projects.
Jacobs’ shares have gained 18.1% over the past three months compared with the industry’s 14.6% rally. Earnings estimates for 2021 have moved 0.7% upward in the past seven days, depicting analysts’ optimism regarding the company’s growth potential. The upward trend is attributable to its persistent focus on shifting toward digitization and leadership in strategic end markets. Also, the company’s inorganic strategies and solid backlog are likely to drive near-term results.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
Image: Bigstock
Jacobs' (J) Backlog Gets a Boost on U.S. Army Deal Win
Jacobs Engineering Group Inc. (J - Free Report) has secured an engineering service contract to serve U.S. Army Corps of Engineers’ (USACE) Mobile District Military Design and Construction (MILCON) Program.
This Indefinite Delivery, Indefinite Quantity (IDIQ), Multiple Award Task Order Contract (MATOC) contact will provide Jacobs with unique opportunities to highlight its technical expertise and leadership at the U.S. Army, U.S. Air Force, Special Operations Command, Defense Health Programs, and other Department of Defense programs and agencies, especially in the Southeast region.
The scope of the work includes comprehensive planning services, engineering studies and investigations, design for building renovations and additions as well as development of construction plans and specifications for new vertical construction projects.
Jacobs’ Federal & Environmental Solutions’ Senior Vice President and General Manager, and retired USAF Major General Tim Byers said, "Mobile has a robust Military Design and Construction Program and we can aid USACE to deliver innovative, sustainable and resilient solutions."
Notably, this MATOC is valued at $249 million for a term of not more than five years.
Growth Drivers
Jacobs is majorly benefiting from Federal & Environmental Solutions, and the Critical Mission Solutions business. Federal solutions lend support to U.S. federal, public sector, private sector and defense contractors.
Also, efficient project execution has been one of the main factors driving Jacobs’ performance for the last few quarters. The company’s ongoing contract wins are an evidence of the fact.
Recently, it received a four-year contract from the Nuclear Decommissioning Authority (“NDA”) in the U.K. to facilitate asset management solutions. Per the contract, Jacobs and its strategic supplier, PA Consulting, will assist the NDA on the execution of its asset management plan.
Q2 Results & Share Performance
For second-quarter fiscal 2021, the company’s backlog was $25.6 billion, reflecting a year-over-year increase of 9.6%. This reflects persistent solid demand for Jacobs' consulting services. CMS backlog grew 7% year over year and 6% on a pro-forma basis for the fiscal second quarter, which provided strong visibility into the base business. The company’s overall 18-month qualified new business pipeline of more than $30 billion remains very strong.
P&PS backlog was also up 9.6% year over year for the fiscal second quarter to $15.5 billion. The P&PS segment’s overall sales pipeline has increased, as both life sciences and electronics customers have moved forward with the previously paused projects.
Jacobs’ shares have gained 18.1% over the past three months compared with the industry’s 14.6% rally. Earnings estimates for 2021 have moved 0.7% upward in the past seven days, depicting analysts’ optimism regarding the company’s growth potential. The upward trend is attributable to its persistent focus on shifting toward digitization and leadership in strategic end markets. Also, the company’s inorganic strategies and solid backlog are likely to drive near-term results.
Zacks Rank
Jacobs — which shares space with Quanta Services, Inc. (PWR - Free Report) , AECOM (ACM - Free Report) and KBR, Inc. (KBR - Free Report) in the Zacks Engineering - R and D Services industry — currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>