KBR (NYSE:KBR) Shares Down 5.4% – What’s Next?

KBR, Inc. (NYSE:KBR)’s stock price dropped 5.4% during mid-day trading on Tuesday . The stock traded as low as $36.90 and last traded at $36.5860. Approximately 783,483 shares traded hands during trading, a decline of 45% from the average daily volume of 1,421,713 shares. The stock had previously closed at $38.67.

KBR News Summary

Here are the key news stories impacting KBR this week:

• Positive Sentiment: KBR won large defense contracts that should support future revenue and backlog — a reported US$1.15 billion in AI?driven defense contracts was announced and highlighted by media as a material win. Read More.
• Positive Sentiment: The company’s Mission Technology Solutions unit received LOGCAP V task?order modifications with a combined ceiling of $449 million to support U.S. Army operations in Europe and North America, adding near?term funded work. Read More.
• Neutral Sentiment: Q1 results beat consensus on the headline adjusted EPS ($0.96 vs $0.92) and revenue ($1.92B vs ~$1.88B estimate), showing operational resilience despite a year?over?year revenue decline. Adjusted EBITDA margin was roughly steady. Read More.
• Neutral Sentiment: Management hosted an earnings call and published slides with more color on contingency runoffs (EUCOM) and the revenue mix; the full transcript and presentation are available for investors reviewing guidance assumptions. Read More.
• Negative Sentiment: KBR cut its FY?2026 EPS range to $3.87–$4.22 (consensus ~$3.99) and provided revenue guidance slightly below some Street expectations, which pressured sentiment because it implies more modest near?term EPS growth than investors had hoped. Read More.
• Negative Sentiment: On a year?over?year basis GAAP net income and diluted EPS were down and revenue fell about 4–5%, reflecting EUCOM contingency runoff — investors focused on the YoY decline despite the quarter beating estimates. Read More.

Analysts Set New Price Targets

KBR has been the subject of several research analyst reports. Weiss Ratings cut KBR from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, March 27th. Wells Fargo & Company cut their price target on KBR from $45.00 to $40.00 and set an “equal weight” rating for the company in a report on Monday, April 13th. Citigroup cut their price target on KBR from $57.00 to $53.00 and set a “buy” rating for the company in a report on Monday, January 26th. Wall Street Zen cut KBR from a “buy” rating to a “hold” rating in a report on Sunday, March 1st. Finally, Zacks Research upgraded KBR from a “strong sell” rating to a “hold” rating in a report on Friday, April 10th. Five equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $56.50.

KBR Price Performance

The firm has a market cap of $4.63 billion, a PE ratio of 11.34, a PEG ratio of 2.21 and a beta of 0.47. The firm has a fifty day simple moving average of $37.88 and a two-hundred day simple moving average of $40.87. The company has a debt-to-equity ratio of 1.68, a quick ratio of 1.22 and a current ratio of 1.22.

KBR (NYSE:KBR) last released its quarterly earnings results on Tuesday, May 5th. The construction company reported $0.96 earnings per share for the quarter, beating the consensus estimate of $0.92 by $0.04. The business had revenue of $1.92 billion during the quarter, compared to analysts’ expectations of $1.88 billion. KBR had a return on equity of 35.22% and a net margin of 5.30%.The firm’s revenue for the quarter was down 4.7% compared to the same quarter last year. During the same quarter last year, the business posted $1.01 EPS. KBR has set its FY 2026 guidance at 3.870-4.220 EPS. Equities analysts predict that KBR, Inc. will post 4.01 EPS for the current fiscal year.

KBR Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Friday, March 13th were issued a $0.165 dividend. The ex-dividend date was Friday, March 13th. This represents a $0.66 dividend on an annualized basis and a dividend yield of 1.8%. KBR’s payout ratio is 20.56%.

Hedge Funds Weigh In On KBR

A number of institutional investors and hedge funds have recently modified their holdings of KBR. Farther Finance Advisors LLC boosted its holdings in shares of KBR by 89.8% in the 4th quarter. Farther Finance Advisors LLC now owns 611 shares of the construction company’s stock worth $25,000 after purchasing an additional 289 shares during the period. Hantz Financial Services Inc. boosted its holdings in shares of KBR by 207.8% in the 3rd quarter. Hantz Financial Services Inc. now owns 594 shares of the construction company’s stock worth $28,000 after purchasing an additional 401 shares during the period. EverSource Wealth Advisors LLC boosted its holdings in shares of KBR by 432.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 607 shares of the construction company’s stock worth $29,000 after purchasing an additional 493 shares during the period. FNY Investment Advisers LLC purchased a new position in shares of KBR in the 3rd quarter worth approximately $32,000. Finally, Anchor Investment Management LLC boosted its holdings in shares of KBR by 27.5% in the 1st quarter. Anchor Investment Management LLC now owns 1,275 shares of the construction company’s stock worth $47,000 after purchasing an additional 275 shares during the period. Hedge funds and other institutional investors own 97.02% of the company’s stock.

KBR Company Profile

KBR, Inc is a global engineering, procurement, construction and services (EPC&S) company headquartered in Houston, Texas. The firm delivers integrated solutions and technologies across the full project lifecycle for customers in the energy, government, industrial and infrastructure sectors. Its offerings span feasibility studies, front-end engineering design, detailed design, procurement, fabrication, construction, commissioning and operations support.

The company is organized into business segments that include Energy Solutions, which focuses on oil and gas processing, liquefied natural gas (LNG) facilities and petrochemical plants; Government Solutions, providing logistics, sustainment, training and mission support for defense, intelligence and civilian agencies; and Sustainable Technology, delivering chemical process technologies, water treatment and lower-carbon fuels expertise.