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KBR, Inc. (KBR) Stock Analysis

Falling Knife setup

SellVALUE-TRAP 1/5Moderate Confidence

Industrials · Engineering & Construction

Sell if holding. Engine safety override at $32.30: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10 and A.R:R 3.2:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.31; Below-average business quality; Below long-term trend.

KBR provides engineering, technology, and logistics support to the U.S. federal government, allied nations, and commercial clients through Mission Technology Solutions (defense, space, intelligence) and Sustainable Technology Solutions (energy transition, process licensing)... Read more

$32.30+31.2% A.UpsideScore 5.0/10#23 of 30 Engineering & Construction
QualityF-score3 / 9FCF yield6.13%
IncomeYield2.05%(5y avg 1.06%)Payout19.47%sustainable
Stop $29.98Target $42.30(analyst − 13%)A.R:R 3.2:1
Analyst target$48.63+50.5%8 analysts
$42.30our TP
$32.30price
$48.63mean
$60

Sell if holding. Engine safety override at $32.30: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10 and A.R:R 3.2:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.31; Below-average business quality; Below long-term trend. Chart setup: Death cross, below all MAs, RSI 37, MACD bearish. Score 5.0/10, moderate confidence.

Passes 7/9 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 77d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: aggressive.

Recent Developments — KBR, Inc.

Generated 2026-05-20T20:21:21Z.

Thesis

Rewards
No bull case signals
Risks
Concentration risk — Customer: U.S. government (57.0%)
Quality below floor (3.9 < 4.0)

Key Metrics

P/E (TTM)9.5
P/E (Fwd)7.7
Mkt Cap$4.1B
EV/EBITDA10.0
Profit Mgn5.2%
ROE29.1%
Rev Growth-4.7%
Beta0.47
Dividend2.05%
Rating analysts12

Quality Signals

Piotroski F3/9

Options Flow

P/C1.31bearish
IV39%normal

Concentration Risks(10-K Item 1A)

  • HIGHCustomerU.S. government57%
    10-K Item 1A: 'Revenues from the U.S. government represented 57% of our total consolidated revenues for fiscal 2025.'
  • LOWCustomerU.K. government9.0%
    10-K Item 1: 'U.K. government ... 9 | %'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers·1 ceiling hit

Revenue shrinking — -4.7% YoY. Growth thesis broken unless recovery story develops.static

Earnings Growth
0.3
Revenue Growth
1.3
Declining revenue: -5%

Quality below the gate floor. Component breakdown shows what dragged the score down.static

Gross Margin
0.0
Net Margin
2.6
Operating Margin
2.7
Roa
3.3
Piotroski F
3.3
Moat
4.2
Current Ratio
4.5
Fcf Quality
4.8
Roe
9.7
Excellent ROE: 29%Earnings quality warning: 62% FCF/NINo competitive moatWeak Piotroski F-Score: 3/9
GatesMomentum 4.0<4.5Death cross (50MA < 200MA)A.R:R 3.2 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 77d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARFalling KnifeSuitability: Aggressive
RSI
37 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $29.94Resistance $39.06

Price Targets

$30
$42
A.Upside+31.0%
A.R:R3.2:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (3.9 < 4.0)
! Momentum score 4.0/10 — below 4.5 minimum
! Death cross — 50-day MA below 200-day MA

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-08-05 (77d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is KBR stock a buy right now?

Sell if holding. Engine safety override at $32.30: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.0/10 and A.R:R 3.2:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.31; Below-average business quality; Below long-term trend. Chart setup: Death cross, below all MAs, RSI 37, MACD bearish. Prior stop was $29.98. Score 5.0/10, moderate confidence.

What is the KBR stock price target?

Take-profit target: $42.30 (+31.2% upside). Prior stop was $29.98. Stop-loss: $29.98.

What are the risks of investing in KBR?

Concentration risk — Customer: U.S. government (57.0%); Quality below floor (3.9 < 4.0).

Is KBR overvalued or undervalued?

KBR, Inc. trades at a P/E of 9.5 (forward 7.7). TrendMatrix value score: 9.1/10. Verdict: Sell.

What do analysts say about KBR?

12 analysts cover KBR with a consensus score of 3.8/5. Average price target: $49.

What does KBR, Inc. do?KBR provides engineering, technology, and logistics support to the U.S. federal government, allied nations, and...

KBR provides engineering, technology, and logistics support to the U.S. federal government, allied nations, and commercial clients through Mission Technology Solutions (defense, space, intelligence) and Sustainable Technology Solutions (energy transition, process licensing) segments. The U.S. government represents 57% of revenues ($4.4B in fiscal 2025), with the U.K. government representing an additional 9%. KBR announced plans to spin off its Mission Technology Solutions business in fiscal 2026.

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