KBR (NYSE:KBR) Updates FY 2026 Earnings Guidance

KBR (NYSE:KBR) issued an update on its FY 2026 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 3.870-4.220 for the period, compared to the consensus EPS estimate of 3.970. The company issued revenue guidance of $7.9 billion-$8.4 billion, compared to the consensus revenue estimate of $8.0 billion.

KBR Price Performance

Shares of NYSE:KBR opened at $36.63 on Friday. The company has a debt-to-equity ratio of 1.52, a quick ratio of 1.16 and a current ratio of 1.15. The business’s fifty day moving average price is $35.07 and its two-hundred day moving average price is $37.43. The stock has a market cap of $4.64 billion, a PE ratio of 11.03, a price-to-earnings-growth ratio of 1.86 and a beta of 0.44. KBR has a one year low of $29.94 and a one year high of $52.23.

KBR (NYSE:KBR) last released its quarterly earnings results on Thursday, July 30th. The construction company reported $0.99 earnings per share for the quarter, topping analysts’ consensus estimates of $0.90 by $0.09. KBR had a return on equity of 32.55% and a net margin of 5.49%.The company had revenue of $1.98 billion during the quarter, compared to analysts’ expectations of $1.87 billion. During the same period in the previous year, the firm posted $0.91 earnings per share. The business’s revenue for the quarter was up 1.6% compared to the same quarter last year. KBR has set its FY 2026 guidance at 3.870-4.220 EPS. On average, analysts forecast that KBR will post 4 EPS for the current fiscal year.

KBR Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Monday, June 15th were paid a $0.165 dividend. The ex-dividend date of this dividend was Monday, June 15th. This represents a $0.66 annualized dividend and a yield of 1.8%. KBR’s payout ratio is presently 19.88%.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on KBR shares. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of KBR in a research note on Wednesday, June 24th. Bank of America reduced their price objective on shares of KBR from $45.00 to $40.00 and set a “neutral” rating on the stock in a research note on Monday, July 20th. Wells Fargo & Company cut their price target on KBR from $45.00 to $40.00 and set an “equal weight” rating for the company in a report on Monday, April 13th. Citigroup decreased their price objective on KBR from $50.00 to $49.00 and set a “buy” rating on the stock in a report on Friday. Finally, UBS Group lowered their price objective on KBR from $42.00 to $36.00 and set a “neutral” rating for the company in a research report on Thursday, May 21st. Three equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $45.83.

Insider Activity at KBR

In other news, CFO Shad E. Evans acquired 8,375 shares of the company’s stock in a transaction dated Wednesday, May 13th. The stock was acquired at an average cost of $30.60 per share, for a total transaction of $256,275.00. Following the acquisition, the chief financial officer directly owned 43,725 shares in the company, valued at approximately $1,337,985. This represents a 23.69% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Carlos A. Sabater bought 14,500 shares of the business’s stock in a transaction that occurred on Tuesday, May 19th. The stock was purchased at an average cost of $32.47 per share, for a total transaction of $470,815.00. Following the completion of the transaction, the director directly owned 35,705 shares in the company, valued at approximately $1,159,341.35. This trade represents a 68.38% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last three months, insiders bought 29,875 shares of company stock worth $945,160. 1.15% of the stock is currently owned by company insiders.

Key KBR News

Here are the key news stories impacting KBR this week:

• Positive Sentiment: KBR reported adjusted earnings per share of $0.99 and revenue of $1.98 billion, exceeding analyst expectations of $0.90 and $1.89 billion, respectively. Adjusted EBITDA rose 7% to $258 million, while net income increased 32% year over year. KBR Reports Second Quarter Fiscal 2026 Results
• Positive Sentiment: Sustainable Technology Solutions posted a record backlog of approximately $5.5 billion and a 1.5x book-to-bill ratio, supported by awards for ammonia, sustainable aviation fuel and e-fuels projects. Companywide backlog and options totaled $23.0 billion.
• Positive Sentiment: Management reaffirmed fiscal 2026 revenue guidance of roughly $7.9 billion to $8.36 billion and adjusted EPS guidance of $3.87 to $4.22, signaling confidence despite a mixed operating environment.
• Positive Sentiment: The planned separation of Mission Technology Solutions remains on track for January 4, 2027. KBR also introduced the planned independent company’s name, Trinzic, along with its branding. KBR Unveils Trinzic
• Positive Sentiment: Citigroup maintained a “buy” rating while lowering its price target modestly from $50 to $49, still implying substantial potential upside. Two reported insider purchases over the past six months also provide a supportive signal.
• Neutral Sentiment: Analyst and institutional positioning remains mixed: several large investors added KBR shares, while others—including Franklin Resources, Morgan Stanley and Boston Partners—reduced holdings.
• Negative Sentiment: Investors noted margin pressure in parts of the business, with the quarter’s consolidated net margin at 5.21%. The lower end of the EPS outlook is also below the current consensus estimate of approximately $3.97.

Hedge Funds Weigh In On KBR

A number of large investors have recently modified their holdings of KBR. EverSource Wealth Advisors LLC grew its holdings in shares of KBR by 432.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 607 shares of the construction company’s stock worth $29,000 after purchasing an additional 493 shares during the period. Caitong International Asset Management Co. Ltd raised its holdings in KBR by 101,600.0% in the third quarter. Caitong International Asset Management Co. Ltd now owns 1,017 shares of the construction company’s stock valued at $48,000 after buying an additional 1,016 shares during the period. Northwestern Mutual Wealth Management Co. lifted its position in KBR by 98.1% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,228 shares of the construction company’s stock valued at $59,000 after buying an additional 608 shares in the last quarter. Aster Capital Management DIFC Ltd acquired a new position in KBR during the fourth quarter valued at approximately $51,000. Finally, Wilmington Savings Fund Society FSB purchased a new stake in KBR during the third quarter worth approximately $70,000. 97.02% of the stock is currently owned by hedge funds and other institutional investors.

KBR Company Profile

KBR, Inc is a global engineering, procurement, construction and services (EPC&S) company headquartered in Houston, Texas. The firm delivers integrated solutions and technologies across the full project lifecycle for customers in the energy, government, industrial and infrastructure sectors. Its offerings span feasibility studies, front-end engineering design, detailed design, procurement, fabrication, construction, commissioning and operations support.

The company is organized into business segments that include Energy Solutions, which focuses on oil and gas processing, liquefied natural gas (LNG) facilities and petrochemical plants; Government Solutions, providing logistics, sustainment, training and mission support for defense, intelligence and civilian agencies; and Sustainable Technology, delivering chemical process technologies, water treatment and lower-carbon fuels expertise.