# KBR Inc. (KBR) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Industrials / Construction & Engineering. Price $36.82, market value $4.6 billion.

## Valuation
- **P/E (trailing): 11.1×** (5-yr avg 77.9×, 3-yr avg 16.6×). KBR Inc. trades at 11.1× trailing earnings, well below its own five-year average of 77.9×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 9.1×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.60**. A PEG of 0.60 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 0.6×**. Each dollar of revenue is priced at 0.6×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 2.8×**. The shares trade at 2.8× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 7.5×**. Enterprise value is 7.5× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 7.6%** (5-yr avg 5.4%). Free cash flow equals 7.6% of the market value, above its five-year average of 5.4%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 9.0%**. The inverse of the P/E: 9.0% of the price is earned each year.

## Profitability
- **Gross margin: 14.5%**. KBR Inc. keeps 14.5% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 9.5%**. 9.5% of revenue is left after running the business.
- **Net margin: 5.3%**. 5.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 27.6%**. 27.6% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 16.1%**. Return on all capital, debt included, is 16.1%: comfortably above what that capital costs.
- **Return on assets: 6.4%**. Each dollar of assets produces 6.4% of profit.

## Growth
- **Revenue growth (1 yr): 1.0%** (3-yr 5.9%/yr, 5-yr 6.2%/yr). Revenue grew 1.0% over the last year, against 6.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 15.1%** (3-yr 36.6%/yr). Earnings per share rose 15.1%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 16.6%/yr**. Free cash flow has compounded at 16.6% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 1.73**. Debt is 1.73 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.3×**. It would take 2.3 years of operating earnings to repay net borrowings, within the comfortable range.
- **Altman Z-score: 2.44**. A Z-score of 2.44 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.79%** ($0.66 per share, trailing). KBR Inc. yields 1.79%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 20%** (24% of free cash flow). 20% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 18**. 18 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 10.5%/yr** (1-yr 10.0%). The dividend has compounded at 10.5% a year over five years, doubling roughly every 7 years at that pace.

## Price and momentum
- **Total return (1 yr): -23.5%** (YTD -7.6%, 3-mo 4.0%). The shares are down 23.5% over twelve months including dividends.
- **From 52-week high: -29.5%** (23.0% above the low). Trading 30% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 46**. An RSI of 46 is neutral.
- **Beta (1 yr): 0.70** (volatility 34%). Beta of 0.70 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=KBR · Page: https://foliofundamentals.com/stocks/kbr

Not investment advice.