Earnings Preview: Jacobs Engineering

Nov. 3.08 | About: Jacobs Engineering (JEC)

Jacobs Engineering Group (NYSE:JEC) is expected to report Q4 earnings before the open Tuesday with a conference call scheduled for 11:00 am ET.

Guidance

Analysts are looking for EPS of 92c on revenue of $3.06B. The consensus range is 86c to 95c for EPS, and $2.78B to $3.32B for revenue, according to First Call. The company raised its FY08 EPS guidance when it reported its Q3 earnings results. It now expects FY08 EPS of $3.15 to $3.40, up from $3.00 to $3.30 vs. consensus $3.36. This marks the third time in as many quarters that the company has raised its FY08 EPS guidance.

Analyst Views

Friedman Billings said it believes with a cash-rich balance sheet, along with Jacobs forecasts of earnings and revenue growth above historical growth rates over the next three years, the company should experience meaningful stock appreciation. The firm reiterated its $100 target price and Outperform rating.

SMH Capital upgraded Jacobs Engineering to Neutral from Sell following the company's "strong" Q3 results. The company was also upgraded to Buy from Hold at Stifel Nicolaus on valuation.