KBR, Inc. (NYSE:KBR) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Wednesday.
According to Zacks, “KBR’s Government Services business is experiencing stellar growth and the company remains confident that recent acquisitions will continue to accelerate growth momentum of this business. Organic growth from contracts with the U.S. Military proved to be the main driving force for the top-line improvement. The company’s acquisitions in the Government Services segment continued to accelerate growth of the business. In addition, KBR is optimistic about backlog growth in the fourth quarter and early 2018 due to the pipeline of opportunities. On the flip side, the long-cycle nature of the contracts, volatility in material & equipment pricing, risk of client loss and stiff competition raise caution. Over the past one year, KBR’s shares have underperformed the industry’s average gain significantly. Moreover, KBR continues to incur high general and administrative expenses which are about $4-$5 million above the normative level.”
Several other equities research analysts have also recently issued reports on KBR. BidaskClub cut KBR from a “hold” rating to a “sell” rating in a report on Friday, July 28th. TheStreet raised KBR from a “d+” rating to a “c-” rating in a report on Thursday, August 3rd. Finally, KeyCorp set a $20.00 target price on KBR and gave the stock a “buy” rating in a report on Friday, August 25th. One equities research analyst has rated the stock with a sell rating, two have assigned a hold rating and six have given a buy rating to the company’s stock. The company presently has an average rating of “Buy” and an average price target of $19.80.
KBR (KBR) opened at 17.78 on Wednesday. The stock’s market capitalization is $2.49 billion. KBR has a 12-month low of $13.17 and a 12-month high of $18.28. The stock has a 50 day moving average price of $17.33 and a 200-day moving average price of $15.61.
KBR (NYSE:KBR) last issued its earnings results on Wednesday, August 2nd. The construction company reported $0.54 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.49 by $0.05. KBR had a positive return on equity of 8.74% and a negative net margin of 0.81%. The firm had revenue of $1.09 billion for the quarter, compared to analysts’ expectations of $1.10 billion. During the same period in the previous year, the firm posted $0.35 earnings per share. The business’s revenue was up 8.4% compared to the same quarter last year. On average, equities analysts anticipate that KBR will post $1.43 earnings per share for the current fiscal year.
Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Heartland Advisors Inc. purchased a new position in KBR in the second quarter worth about $6,797,000. RK Capital Management LLC purchased a new position in KBR in the second quarter worth about $9,064,000. UBS Asset Management Americas Inc. grew its position in KBR by 15.6% in the first quarter. UBS Asset Management Americas Inc. now owns 136,772 shares of the construction company’s stock worth $2,056,000 after acquiring an additional 18,489 shares in the last quarter. Rhumbline Advisers grew its position in KBR by 17.3% in the second quarter. Rhumbline Advisers now owns 299,623 shares of the construction company’s stock worth $4,560,000 after acquiring an additional 44,109 shares in the last quarter. Finally, Teacher Retirement System of Texas grew its position in KBR by 3.4% in the second quarter. Teacher Retirement System of Texas now owns 11,603 shares of the construction company’s stock worth $177,000 after acquiring an additional 381 shares in the last quarter. Institutional investors own 99.74% of the company’s stock.
KBR, Inc is a provider of professional services and technologies across the asset and program life-cycle within the government services and hydrocarbons industries. The Company operates through business segments, including Technology & Consulting (T&C), Engineering & Construction (E&C), Government Services (GS), Non-strategic Business and Other.
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