Stock Analysis | Jacobs Solutions Outlook - A Mixed Picture with Strong Analyst Support

1. Market Snapshot

Takeaway: Jacobs Solutions is showing a recent price rise of 3.54%, supported by strong analyst sentiment but clouded by technical neutrality. Our internal diagnostic score (0-10) for technical analysis is 6.94.

2. News Highlights

Recent News:

• MLB Partnership with Professional Softball League: Major League Baseball announced a partnership with a new professional softball league, signaling growing interest in women’s sports. While not directly related to Jacobs, this reflects a broader economic trend in professional sports markets.
• Antitrust Lawsuit Against UFC: A new class-action lawsuit was filed against the UFC on behalf of non-UFC fighters. Legal actions in professional sports can sometimes ripple across related sectors, particularly in corporate governance and business compliance areas where Jacobs may have exposure.
• Chase Buchanan Wealth Management Partnership: Chase Buchanan became the only global expat-focused CII International Professional Partner. This kind of branding and partnership could signal a broader trend in professional services, where strategic alliances are gaining traction.

3. Analyst Views & Fundamentals

Analyst Consensus:

• Average Rating Score (Simple Mean): 4.67
• Weighted Rating Score (Performance-Weighted): 6.16
• Rating Consistency: Analysts show “There are differences” but overall market expectations are optimistic. Citigroup, UBS, and Keybanc each issued “Strong Buy” or “Buy” ratings in the last 20 days.
• Price Trend Alignment: The stock is currently up 3.54%, matching the optimistic nature of the analyst ratings.

Key Fundamental Factors and Scores:

• Shareholders’ Equity / Total Liabilities (%): 59.31% (model score: 2)
• Operating Cycle: 88.42 days (model score: 2)
• Current Assets Turnover Ratio: 1.25 (model score: 2)
• Total Assets Turnover Ratio: 0.51 (model score: 2)
• Equity Ratio (Liabilities / Equity %): 168.61% (model score: 2)
• Total Operating Revenue YoY Growth (%): 3.29% (model score: 2)
• Cash-Market Value (Cash-MV): 0.91% (model score: 0)

4. Money-Flow Trends

Big-Money vs. Retail Flows:

• Overall Inflow Ratio: 48.45% — Our internal diagnostic score (0-10) for fund flow is 7.59.
• Block Flow: 48.13% in outflow, indicating institutional investors are slightly net sellers.
• Retail Participation: Small investors are showing positive inflow, with 50.57% inflow ratio.
• Large and Extra-Large Investors: Mixed signals, with large investors showing positive inflow (50.86%) and extra-large investors negative (46.47%).

5. Key Technical Signals

Internal Diagnostic Scores (0-10):

• WR Overbought: 7.02 — signals a neutral rise, historically seeing a 62.2% win rate and 0.37% average return.
• MACD Death Cross: 6.25 — also signals a neutral rise with a 60.0% win rate and 0.84% average return.
• MACD Golden Cross: 6.42 — neutral rise, 63.64% win rate and 0.02% average return.
• Earnings Release Date: 8.08 — shows a bullish bias, historically performing with a 75.0% win rate and 1.90% average return.

Recent Chart Patterns (Last 5 Days):

• August 1: MACD Death Cross
• August 6: WR Overbought + MACD Golden Cross
• August 5: WR Overbought + Earnings Release Date
• August 8: WR Overbought
• August 7: WR Overbought

Trend Quality:

Technical indicators remain mixed in direction, with “Technical neutrality is strong, moderate attention” as the overall trend. Bullish indicators (2) are dominant over bearish (0), but the overall market environment remains volatile with unclear direction.

6. Conclusion

Jacobs Solutions is showing a positive price trend and strong analyst support, but technical indicators are still mixed and neutral. With an internal diagnostic score (0-10) for fundamentals at 3.01, the company is trading in a zone where fundamentals are weak. However, the strong fund flow from retail investors and bullish analyst ratings could provide near-term momentum.

Actionable Takeaway: Investors may want to watch the upcoming earnings release and assess whether the recent technical overbought conditions reverse into a more defined trend. A pull-back could offer a buying opportunity, but caution is advised given the weak fundamentals and mixed technical signals.