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KBR - AI Stock Analysis
Analysis generated March 5, 2025
KBR, Inc., headquartered in Houston, Texas, is a global engineering, procurement, and construction company specializing in the delivery of services and solutions to a wide array of industries, including government services, technology, energy, and chemicals. KBR is well-regarded for its highly technical and innovative approach to engineering and construction, playing an integral role in some of the world's most complex projects. The company's diverse portfolio and global reach offer a solid foundation for steady growth.
Fundamental Analysis
Revenue for the last quarter stood at $1.95 billion, marking a 4.96% increase compared to the previous quarter. This uptick suggests solid quarter-on-quarter growth. Even more impressive is the 11.90% increase in revenue compared to the same quarter last year, pointing towards strong year-on-year growth, a positive indicator for the company’s overall trajectory.
Net income for the last quarter was $100 million. Although this figure represents a 5.66% decrease compared to the previous quarter, it also shows a significant 576.19% increase compared to the same quarter last year. This year-over-year growth could be interpreted as the company’s successful turnaround and strategic enhancements.
EBITDA for the last quarter came in at $214 million, showing a slight 0.93% decrease compared to the previous quarter. However, on a year-over-year basis, EBITDA increased by a substantial 224.24%, reinforcing the notion of effective operational improvements. The current Price-to-Earnings (P/E) ratio is 17.68, suggesting that the stock is reasonably valued, neither overpriced nor underpriced compared to its earnings.
Technical Analysis
The current stock price of KBR is $50.17, down 6.68% from a month ago and 17.92% lower than a year ago. While these declines may be concerning, it is worth noting that the broader trend appears to be bullish. The Simple Moving Average (SMA10) stands at 48.95, slightly higher than the previous SMA10 of 48.85, indicating a potential upward trend.
The Relative Strength Index (RSI) is at 33.1, which indicates a neutral condition. An RSI below 30 typically indicates that a stock is oversold, while an RSI above 70 indicates it is overbought. At 33.1, KBR sits close to the oversold threshold but within a neutral range that does not suggest immediate risk or opportunity.
Alternative Data Analysis
KBR has a steady operational footprint, with an estimated 450,000 visitors to its webpage and no significant fluctuations in recent months. This stability points towards consistent customer interest and engagement levels.
According to AltIndex, an AI-driven stock price prediction tool that considers fundamentals, technicals, and alternative data, KBR has an AI score of 59. This score translates to a 'hold' signal, indicating neither strong bullish nor bearish sentiment.
Conclusion
Overall, KBR demonstrates solid growth metrics backed by a reasonable P/E ratio of 17.68, although there are some concerns related to the short-term declines in stock price and quarterly net income. The technical indicators suggest that there could be a recovery given the bullish trend and slightly oversold condition indicated by the RSI.
With stable customer engagement and a 'hold' recommendation from AI-driven analysis, KBR appears to be a moderately attractive investment with balanced risk and reward. Prospective investors may consider holding their positions or cautiously accumulating shares, particularly if longer-term growth trends and operational improvements continue.
Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.
