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 $17.3B against $8.6B — 2.0× the size. AECOM trades at the lower P/E: 30.2× against 51.3×. 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; AECOM yields more (1.86% vs 0.95%). Across the 23 metrics below, AECOM leads on 12 and Jacobs Solutions Inc. on 11.

Valuation

Metric ACM J Engineering & Construction median
P/E 30.23 51.28 27.65
P/S 0.56 1.22 0.85
P/B 3.58 5.33 3.04
Price to free cash flow 42.15 26.70 19.05
EV/EBITDA 12.16 23.29 11.89
EV/Sales 0.67 1.45 1.20
Earnings yield 3.31% 1.95% 2.77%
Free cash flow yield 2.37% 3.75% 2.00%

Profitability

Metric ACM J Engineering & Construction median
Gross margin 5.68% 22.07% 18.76%
Operating margin 4.10% 4.57% 6.43%
Net margin 1.87% 2.38% 2.14%
Free cash flow margin 1.32% 4.56% 1.12%
Return on equity 11.30% 9.56% 6.05%
Return on assets 2.37% 2.92% 1.19%
Return on invested capital 9.62% 7.19% 2.52%

Growth

Metric ACM J Engineering & Construction median
Revenue growth (TTM) (4.24%) 20.14% 18.09%
EPS growth (last fiscal year) 42.71% (62.34%) 13.42%
Revenue growth, 5-year CAGR 4.04% (2.38%) 12.23%
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 0.41
Current ratio 1.06 1.29 1.37
Net debt to EBITDA 0.93 0.91 0.38

Dividend

Metric ACM J Engineering & Construction median
Dividend yield 1.86% 0.95% 0.68%
Payout ratio 0.57 0.49 0.18

Size

Metric ACM J Engineering & Construction median
Market cap 8.59b 17.27b 1.13b

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