Analyst Note
| Krzysztof Smalec, CFA |Jacobs’ stock closed down nearly 6% following the firm’s fiscal third-quarter earnings release. Although Jacobs’ adjusted EPS of $1.86 came in $0.06 above FactSet consensus expectations, management’s fiscal fourth-quarter adjusted EPS guidance of $1.75-$1.85 came in below the $1.93 consensus estimate, largely due to foreign currency headwinds. We’ve reduced our fair value estimate to $150 from $152, mostly due to our slightly more muted near-term revenue growth and operating margin projections, partially offset by time value of money.