Earnings Preview: Jacobs Engineering Group

| About: Jacobs Engineering (JEC)

Jacobs Engineering Group (NYSE:JEC) is expected to report Q1 earnings before market open Tuesday, January 27 with a conference call scheduled for 11:00 am ET.


Analysts are looking for EPS of 89c on revenue of $3.12B. The consensus range is 80c-95c for EPS, and $2.98B-$3.4B for revenue, according to First Call. The company gave guidance for FY09 EPS when it reported its Q4 earnings expecting EPS of $3.55-$4.05 vs. consensus of $3.67.

Analyst Views

On January 26, Morgan Joseph stated it expects the company to announce higher than expected Q1 EPS, but the firm predicts the growth of Jacobs' backlog will slow. The firm reiterated its Buy rating on the stock. Jacobs Engineering was downgraded to Sell from Neutral at Goldman Sachs. The firm cited the impact of lower energy prices on energy infrastructure spending for the downgrade. In January, BMO Capital also downgraded Jacobs Engineering to Underperform from Market Perform. The firm lowered its estimates following Suncor's (NYSE:SU) announcement that it would reduce capital spending by half.