Latest Ratios: P/E Ratio 11.4x · EV/EBITDA 9.9x · ROE 27.9%. (2002–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.6B | $5.2B | $7.9B | $7.5B | $8.2B | $6.7B | $4.4B | $4.3B | $2.1B | $2.8B | $2.4B |
| Enterprise Value | $7.3B | $7.8B | $10.5B | $9.4B | $9.9B | $8.6B | $5.9B | $5.3B | $3.0B | $2.9B | $2.6B |
| P/E Ratio → | 11.42 | 12.62 | 21.07 | — | 41.90 | 250.63 | — | 21.48 | 7.63 | 6.50 | — |
| P/S Ratio | 0.60 | 0.67 | 1.02 | 1.08 | 1.25 | 0.91 | 0.76 | 0.77 | 0.44 | 0.67 | 0.56 |
| P/B Ratio | 3.13 | 3.46 | 5.39 | 5.37 | 5.05 | 3.99 | 2.73 | 2.34 | 1.25 | 2.29 | 3.18 |
| P/FCF | 9.65 | 10.84 | 20.54 | 29.80 | 25.34 | 27.07 | 12.66 | 18.35 | 14.46 | 15.11 | 47.40 |
| P/OCF | 8.87 | 9.97 | 17.12 | 22.60 | 20.80 | 24.15 | 11.97 | 16.92 | 12.97 | 14.49 | 38.85 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.01 | 1.36 | 1.35 | 1.51 | 1.17 | 1.03 | 0.95 | 0.61 | 0.70 | 0.61 |
| EV / EBITDA | 9.87 | 10.65 | 12.87 | 15.90 | 20.70 | 22.76 | 34.54 | 11.45 | 5.64 | 9.38 | 35.38 |
| EV / EBIT | 12.81 | 10.17 | 16.08 | — | 26.78 | 37.97 | 102.41 | 14.54 | 6.48 | 10.92 | 56.15 |
| EV / FCF | — | 16.29 | 27.35 | 37.31 | 30.57 | 34.60 | 17.12 | 22.62 | 20.23 | 15.82 | 51.66 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 14.8% | 14.8% | 14.2% | 14.0% | 12.6% | 11.0% | 11.5% | 11.6% | 11.9% | 10.5% | 2.6% |
| Operating Margin | 7.3% | 7.3% | 8.6% | 6.4% | 5.2% | 3.1% | 1.0% | 6.4% | 9.5% | 6.3% | 0.7% |
| Net Profit Margin | 5.3% | 5.3% | 4.8% | -3.8% | 2.9% | 0.4% | -1.2% | 3.6% | 5.7% | 10.4% | -1.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 27.9% | 27.9% | 26.2% | -17.5% | 11.5% | 1.6% | -4.2% | 11.3% | 19.1% | 43.9% | -6.8% |
| ROA | 6.3% | 6.3% | 6.1% | -4.8% | 3.2% | 0.5% | -1.3% | 3.9% | 6.4% | 11.1% | -1.6% |
| ROIC | 10.4% | 10.4% | 13.5% | 10.2% | 7.5% | 5.2% | 1.4% | 10.0% | 17.9% | 17.2% | 3.4% |
| ROCE | 11.6% | 11.6% | 14.9% | 11.6% | 8.5% | 5.4% | 1.4% | 9.6% | 15.0% | 10.2% | 1.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.07 | 2.07 | 1.95 | 1.47 | 1.21 | 1.26 | 1.14 | 0.79 | 0.74 | 0.42 | 0.93 |
| Debt / EBITDA | 4.24 | 4.24 | 3.49 | 3.49 | 4.13 | 5.62 | 10.66 | 3.13 | 2.40 | 1.63 | 9.49 |
| Net Debt / Equity | — | 1.74 | 1.79 | 1.35 | 1.04 | 1.11 | 0.96 | 0.54 | 0.50 | 0.11 | 0.29 |
| Net Debt / EBITDA | 3.56 | 3.56 | 3.21 | 3.20 | 3.54 | 4.95 | 9.00 | 2.16 | 1.61 | 0.42 | 2.92 |
| Debt / FCF | — | 5.44 | 6.82 | 7.51 | 5.23 | 7.52 | 4.46 | 4.27 | 5.77 | 0.70 | 4.26 |
| Interest Coverage | 4.89 | 4.89 | 4.55 | -0.44 | 4.26 | 2.83 | 0.70 | 3.71 | 7.00 | 12.76 | 3.54 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.22 | 1.22 | 1.05 | 1.05 | 0.96 | 1.15 | 1.12 | 1.34 | 1.38 | 1.33 | 1.31 |
| Quick Ratio | 1.22 | 1.22 | 1.05 | 1.05 | 0.96 | 1.15 | 1.12 | 1.34 | 1.38 | 1.33 | 1.31 |
| Cash Ratio | 0.30 | 0.30 | 0.13 | 0.11 | 0.15 | 0.14 | 0.20 | 0.30 | 0.30 | 0.35 | 0.31 |
| Asset Turnover | — | 1.18 | 1.16 | 1.25 | 1.18 | 1.18 | 1.01 | 1.05 | 0.97 | 1.14 | 1.03 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | 831.20 |
| Days Sales Outstanding | — | 50.91 | 65.06 | 62.49 | 67.73 | 82.36 | 69.56 | 77.03 | 84.77 | 79.11 | 86.20 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.8% | 1.6% | 1.0% | 1.0% | 0.8% | 0.9% | 1.2% | 1.1% | 2.1% | 1.6% | 1.9% |
| Payout Ratio | 20.2% | 20.2% | 21.1% | — | 34.7% | 225.9% | — | 22.8% | 15.7% | 10.4% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.8% | 7.9% | 4.7% | — | 2.4% | 0.4% | — | 4.7% | 13.1% | 15.4% | — |
| FCF Yield | 10.4% | 9.2% | 4.9% | 3.4% | 3.9% | 3.7% | 7.9% | 5.4% | 6.9% | 6.6% | 2.1% |
| Buyback Yield | 7.1% | 6.3% | 2.8% | 1.8% | 2.5% | 1.2% | 1.2% | 0.1% | 0.1% | 1.9% | 0.2% |
| Total Shareholder Yield | 8.9% | 7.9% | 3.8% | 2.8% | 3.3% | 2.1% | 2.4% | 1.2% | 2.2% | 3.5% | 2.1% |
| Shares Outstanding | — | $129M | $134M | $135M | $156M | $141M | $142M | $142M | $141M | $141M | $142M |
Contractual margin volatility
According to current market data, KBR trades at a forward P/E of 8.75x, which appears to discount the company as a low-growth government contractor rather than a technology-led industrial, potentially ignoring the long-term earnings durability inherent in its proprietary Sustainable Technology Solutions segment licensing model.
The current valuation multiples suggest that investors are pricing in limited top-line expansion, consistent with the recent 0.57% YoY revenue growth. This valuation gap warrants further investigation into whether the market is failing to assign a premium to the high-margin, IP-heavy licensing revenue that differentiates KBR from its pure-play government services peers.
Based on reported financial figures, KBR's ROIC has struggled to break above the 4% threshold over the last ten quarters, peaking at 4.2% in 2024Q2, which suggests that the company is currently failing to generate returns significantly above its cost of capital on invested assets.
The persistent low ROIC indicates that the company's strategic pivot toward services has yet to yield the compounding returns expected from a high-end engineering firm. Investors should monitor whether future capital allocation toward R&D in the STS segment can drive a structural improvement in these returns or if the heavy goodwill load continues to dilute capital efficiency.
As reported in recent quarterly filings, KBR's Days Sales Outstanding (DSO) has fluctuated between 50 and 68 days, highlighting a lack of consistency in cash conversion that complicates the company's ability to maintain a stable liquidity buffer for its ongoing operational requirements.
The variability in DSO suggests that KBR remains vulnerable to the payment cycles of its government clients, which can lead to significant swings in free cash flow. This inefficiency in working capital management appears to be a structural drag on the firm's ability to self-fund its operations without relying on external credit.
According to recent SEC filings, KBR's debt-to-equity ratio has trended upward from 1.47 in 2023Q4 to 1.77 in 2026Q1, indicating an increasing reliance on debt financing that may limit the company's financial flexibility in a higher interest rate environment.
While the interest coverage ratio remains above 4.0x, the upward trajectory of leverage is concerning given the volatility in operating margins. This trend suggests that the company's balance sheet is becoming more sensitive to macro-economic shifts, potentially constraining management's ability to pursue future strategic acquisitions.
The P/E ratio is frequently misapplied to KBR because it fails to account for the high proportion of pass-through, low-margin revenue inherent in government cost-reimbursable contracts, which artificially depresses the net margin and makes the company appear cheaper than its underlying technology-licensing business would otherwise justify.
Analysts should instead focus on EV/EBITDA or a sum-of-the-parts valuation to properly isolate the high-margin STS segment from the lower-margin government services business. Relying solely on P/E obscures the true earning power of the company's proprietary technology assets and leads to a mispricing of its long-term growth potential.
Includes 30+ ratios · 23 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying KBR stock.
KBR, Inc.'s current P/E ratio is 11.4x. The historical average is 20.2x. This places it at the 33th percentile of its historical range.
KBR, Inc.'s current EV/EBITDA is 9.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.8x.
KBR, Inc.'s return on equity (ROE) is 27.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 6.1%.
Based on historical data, KBR, Inc. is trading at a P/E of 11.4x. This is at the 33th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
KBR, Inc.'s current dividend yield is 1.78% with a payout ratio of 20.2%.
KBR, Inc. has 14.8% gross margin and 7.3% operating margin.
KBR, Inc.'s Debt/EBITDA ratio is 4.2x, indicating high leverage. A ratio above 4x may signal elevated financial risk.