J Value Scorecard - Jacobs Solutions

Value Scorecard · run 2026-10-18

13 value checks: 12 scored 1 to 5, plus moat evidence

26/60

low-moderate value score

Earnings & returns

EPS Trend

1/5

Diluted EPS: $4.98 (2022), $5.30 (2023), $6.32 (2024), $2.38 (2025). The latest figure is half the 2022 figure or less; the framework scores that as 1.

ROE Trend

3/5

ROE (net income / common equity): 10.6% (2022), 10.2% (2023), 17.7% (2024), 7.9% (2025). Median 10.4%, lowest 7.9%; the framework scores a median 10-15% as 3.

ROIC

3/5

ROIC of 10.9%: operating income of $863.63M divided by $7.90B of capital (total assets $11.25B minus current liabilities $3.35B), fiscal year to Sep 26, 2025, as filed in the 10-K (SEC EDGAR). The framework scores 10-15% as 3.

Profit Margins

2/5

Net margin of 2.4%; the framework scores 0-5% as 2; gross margin 22.1%, operating margin 7.4%.

Balance sheet & cash

Debt-to-Equity

3/5

Debt-to-equity of 1.25; the framework scores 0.8-1.5 as 3 (total debt $4.05B, total cash $1.18B).

Free Cash Flow

4/5

Free cash flow (operating cash flow minus capital expenditure): $347.09M (2022), $837.28M (2023), $933.56M (2024), $607.47M (2025). It rose every year but one and ended above 2022; the framework scores that as 4.

Retained Earnings

1/5

Retained earnings, as filed in the 10-Ks (SEC EDGAR): $4.23B (2022), $4.54B (2023), $2.37B (2024), $1.53B (2025). The latest figure is half the 2022 figure or less; the framework scores that as 1.

Valuation models

Graham IV

1/5

IV = EPS x (8.5 + 2g) x (4.4 / Y) = $3.01 x (8.5 + 2 x 0.0) x (4.4 / 4.5) = $25.02 (EPS CAGR -33.0% floored at 0%; the formula returns a negative value below -4.25% growth). Current price $141.08; price is 463.9% above the model value.

DCF Value

1/5

FCF/share = $5.468, stage 1 growth = 5.3% for 5 years, terminal growth = 3%, discount rate = 10%. Stage 1 PV = $24.03, PV of terminal value = $64.68, DCF value = $88.71. Current price $141.08; price is 59.0% above the model value.

Margin of Safety

1/5

Graham value $25.02 (price is 463.9% above the model value); DCF value $88.71 (price is 59.0% above the model value).

Price-to-Book

1/5

P/B of 5.06; the framework scores above 5.0 as 1.

Business quality

Moat Evidence

Not scored

A moat (a brand, a network, switching costs, patents, scale, a licence) is not a number in the filings, so Valerius doesn’t score it. Below are the figures and the words moat analysis starts from, from the company’s own 10-K filings. The conclusion is yours.

Return on capital, each year

Above 15% in 0 of 10 years (2016-2025); lowest 4.1%, highest 10.9%.

Gross margin, each year

Between 12.6% and 16.1% over 3 years (a range of 3.5 points).

Competition, in the company’s own words · 10-K filed Nov 20, 2025

We compete with many companies across the world including technology, consulting and engineering firms. Typically, no single company or companies dominate the markets in which we provide services, and often we partner with our competitors or other companies to jointly pursue projects. AECOM, Tetra Tech, WSP, Arcadis, Bechtel, Arup, Endava, Exponent, Mott MacDonald, Stantec, Parsons, Accenture, Mace, AtkinsRealis,

The opening of the company’s “Competition” section in its 10-K, quoted word for word, not summarized or edited. It is the company’s own description, not Valerius’s view, and may include the company’s expectations. Open the filing.

Return on capital = operating income / (total assets − current liabilities), the ROIC row’s definition; 15% is the framework’s return threshold. Gross margin = gross profit / revenue. Both from each year’s 10-K via SEC EDGAR. Moat analysis commonly looks at whether returns and margins held up over many years. These figures don’t say whether the company has an advantage, what it is, or whether it will last.

Capital Allocation

5/5

Capital allocation, 2022-2025: dividends or buybacks paid in every year (pass); $2.24B paid out against $2.73B of free cash flow (pass); total debt $4.17B to $2.71B, down 34.9%, 2.9x EBITDA (pass: not up more than 10%); shares outstanding 0.13B to 0.12B, down 6.5% (pass). 4 of 4 tests passed; the framework scores that as 5.

Filings

Company notices to the SEC

Not scored

Three kinds of event the company reported to the SEC in the last 5 years, from its filings on SEC EDGAR.

These are events the company reported to the SEC. An auditor change or a late filing can have many causes; each date links to the filing, where the company explains it. Valerius does not score these.

How the Graham and DCF values were calculated

  Graham Formula:
    IV = EPS x (8.5 + 2g) x (4.4 / Y)
    EPS = $3.01, g = 0.0%, Y = 4.5
    g floored at 0.0% (3-year EPS CAGR was -33.0%; below -4.25% the formula returns a negative value)
    IV = $25.02
    Current price $141.08 vs Graham value $25.02 — price is 463.9% above the model value.

  DCF:
    FCF/share = $5.468
    Stage 1 growth = 5.3% for 5 years | terminal growth = 3.0% | discount rate = 10.0%
      Y1: $5.758 → PV $5.234
      Y2: $6.063 → PV $5.011
      Y3: $6.384 → PV $4.797
      Y4: $6.723 → PV $4.592
      Y5: $7.079 → PV $4.396
    Stage 1 PV sum = $24.03
    Terminal value at end of Y5 = $104.16
    PV of terminal value = $64.68
    DCF value = $88.71
    Current price $141.08 vs DCF value $88.71 — price is 59.0% above the model value.

Data from yfinance summary figures and financial statements, and from the company’s 10-K filings via SEC EDGAR; computed at a price of $141.08. Every score is calculated from the figures by the framework’s fixed rules, and the explanation beside it is generated from the same figures: Graham value, DCF value, margin of safety, ROIC, profit margins, debt-to-equity, price-to-book, EPS trend, ROE trend, free cash flow, retained earnings and capital allocation. No AI is involved in this scorecard. The moat is shown as evidence, without a score. Read each score with the figures beside it. Intrinsic value calculations are model outputs based on stated assumptions, not predictions.

Recent headlines · third-party publishers · not investment advice

In the news

Loading headlines...

The 8 newest headlines whose title names the company, shown automatically and never chosen by Valerius. From third-party publishers via Yahoo Finance, linked to the source. Valerius doesn't write or endorse them. Not investment advice.

J · Jacobs Solutions

J price