AECOM (ACM) vs Jacobs Solutions Inc. (J)

AECOM and Jacobs Solutions Inc. are both Engineering & Construction companies. Jacobs Solutions Inc. is the larger, with a market value of $15.8B against $7.7B — 2.1× the size. AECOM trades at the lower P/E: 27.6× against 48.7×. Jacobs Solutions Inc. grew revenue faster over the last twelve months: 20.1% against −4.24%. Jacobs Solutions Inc. has the higher net margin (2.38% vs 1.87%) and the lower return on invested capital (7.19% vs 9.62%). Both pay a dividend; Jacobs Solutions Inc. yields more (0.80% vs 0.40%). Across the 23 metrics below, Jacobs Solutions Inc. leads on 12 and AECOM on 11.

Valuation

Metric ACM J Engineering & Construction median
P/E 27.55 48.72 28.59
P/S 0.51 1.15 1.15
P/B 3.26 5.01 3.96
Price to free cash flow 38.42 25.10 25.24
EV/EBITDA 11.26 22.11 14.87
EV/Sales 0.62 1.37 1.42
Earnings yield 3.63% 2.05% 2.47%
Free cash flow yield 2.60% 3.98% 1.91%

Profitability

Metric ACM J Engineering & Construction median
Gross margin 5.68% 22.07% 18.76%
Operating margin 4.10% 4.57% 6.26%
Net margin 1.87% 2.38% 2.23%
Free cash flow margin 1.32% 4.56% 1.83%
Return on equity 11.30% 9.56% 7.90%
Return on assets 2.37% 2.92% 0.87%
Return on invested capital 9.62% 7.19% 2.52%

Growth

Metric ACM J Engineering & Construction median
Revenue growth (TTM) (4.24%) 20.14% 16.67%
EPS growth (last fiscal year) 42.71% (62.34%) —
Revenue growth, 5-year CAGR 4.04% (2.38%) 11.76%
Net income growth, 5-year CAGR 0.00% (10.07%) 0.00%

Health

Metric ACM J Engineering & Construction median
Debt to equity 1.13 1.10 0.40
Current ratio 1.06 1.29 1.39
Net debt to EBITDA 0.93 0.91 0.38

Dividend

Metric ACM J Engineering & Construction median
Dividend yield 0.40% 0.80% 0.65%
Payout ratio 0.50 0.17 0.00

Size

Metric ACM J Engineering & Construction median
Market cap 7.66b 15.84b 1.31b

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