KBR, Inc. research snapshot
KBR AI stock analysis as of the August 3, 2026 data cutoff reads KBR, Inc. as a recovering government and technology services contractor with durable mission demand and a clearer separation path. At the July 31, 2026 close, KBR traded at $36.61, up 6.5% on the day after its July 30 Q2 fiscal 2026 report, giving a verified market capitalization near $4.62 billion, which Pineify financial_rigor.py confirms as $36.61 times 126.07 million shares with a 0.10% deviation. Q2 2026 revenue rose 2% to $1.98 billion, adjusted EBITDA rose 7% to $258 million at a 13.0% margin, adjusted EPS rose 9% to $0.99, and the company reaffirmed full-year guidance of $7.90 billion to $8.36 billion in revenue and $3.87 to $4.22 in adjusted EPS. The bull case rests on record STS backlog of $5.5 billion up 40% year over year, a $23.0 billion backlog and options total, roughly $10.6 billion of awarded work under protest that could add visibility, an $8 billion Antarctic science award, proprietary ammonia and sustainable aviation fuel licensing, and the renamed Trinzic spin-off, which is targeted to complete on January 4, 2027 and is intended to be tax-free. The caution is that first-half revenue fell 2% on expected EUCOM contingency runoff, net leverage sits near 2.3x, short interest is about 6.65% of shares outstanding, the stock is still roughly 30% below its 52-week high of $52.23 and below its 200-day moving average near $38.92, and the separation carries execution and one-time cost risk. This KBR AI stock analysis uses scenarios, not a price promise, because government budgets, protest timing, spin-off logistics, and multiples are uncertain.
Current price
$36.61
Market cap
$4.62 billion verified market cap
AI score
67 / 100
Rating
Diversified government and technology services contractor trading at a low forward multiple with record Sustainable Technology Solutions backlog and a Trinzic spin-off targeted for January 4, 2027, balanced against EUCOM revenue runoff, leverage, and spin execution risk
Trend status
Recovering technical trend: price is above its 20-day, 50-day, and 100-day moving averages but still below the 200-day moving average near $38.92, after a 6.5% post-earnings bounce to $36.61
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | KBR sells mission-critical science, technology, engineering, space, defense, intelligence, and sustainable technology solutions to US and allied governments and industrial customers through Mission Technology Solutions (MTS) and Sustainable Technology Solutions (STS). | High |
| Moat | The moat comes from security clearances, NASA and DoD contract incumbency, long-term government relationships, mission knowledge, certified technical teams, and proprietary process technology licensing in ammonia, SAF, hydrogen, and direct lithium extraction. | Medium-high |
| Management | CEO Stuart Bradie has led KBR since 2014, overseeing the transformation from traditional EPC toward technology-enabled government services. CFO Shad Evans joined in early 2026, and the spin-off leadership is set: Michael LaRouche as CEO-designate and Nicholas Veasey as CFO-designate of the future Trinzic company. | Medium-high |
| Financial trend | Q2 2026 revenue was $1.98 billion, up 2%, with adjusted EBITDA of $258 million at a 13.0% margin and adjusted EPS of $0.99, up 9%. First-half revenue fell 2% on expected EUCOM contingency runoff, and FY2026 guidance was reaffirmed at $7.90 billion to $8.36 billion revenue and $3.87 to $4.22 adjusted EPS. | High |
| Valuation | At $36.61, verified math shows about 11.0x TTM EPS, 8.9x forward earnings, 13.3x free cash flow, 2.82x book value, 7.88x EV/EBITDA, and a 1.80% dividend yield. | High |
| Technical trend | KBR closed at $36.61 on July 31, 2026, above its 20-day, 50-day, and 100-day moving averages but below the 200-day moving average near $38.92, after jumping 6.5% following the Q2 report. | Medium |
| Risk level | Risk is elevated because KBR has meaningful debt, elevated short interest at 6.65%, EUCOM revenue runoff, roughly $10.6 billion of awarded work under protest, US government budget dependence, historical legal legacy, fixed-price contract exposure, and Trinzic spin-off execution risk. | Medium-high |
| AI confidence | Descriptive confidence is high because public data coverage is adequate and figures cross-validated across StockAnalysis.com, the Q2 2026 earnings release, and the earnings call. Forecast confidence is medium because outcomes depend on spin-off execution, government contract timing, debt cost, and valuation multiple expansion. | High data confidence |
| Investment certainty | Investment certainty is medium. KBR looks statistically inexpensive on earnings and cash flow, but the stock needs evidence that EUCOM runoff ends, leverage falls, protests convert to backlog, and the spin-off creates value rather than distraction. | Medium |
KBR AI stock forecast
The KBR AI stock forecast is scenario-based, not a precise price prediction. Using the August 3, 2026 research cutoff, a $36.61 stock price, and the reaffirmed FY2026 adjusted EPS guidance midpoint of $4.05, a three-year model produced tested anchors near $61 in a bull case, $44 in a base case, and $26 in a bear case before dividends. The scenarios assume the Trinzic spin-off completes on schedule on January 4, 2027.
$55 to $65
More likely if the Trinzic spin-off completes cleanly, EUCOM runoff ends, roughly $10.6 billion of awarded work under protest converts into backlog, STS licensing revenue grows, debt is reduced, and investors rerate KBR toward a low-teens earnings multiple.
$40 to $48
More likely if adjusted EPS compounds at a low single-digit to mid single-digit rate, adjusted EBITDA margin holds near 13%, the spin-off proceeds without major disruption, and the market values KBR near 10x forward earnings.
$22 to $28
More likely if the spin-off is delayed or costly, government budgets face cutbacks, EUCOM runoff persists, protest delays keep awarded work out of backlog, debt stays elevated with higher interest costs, or the stock is valued near a stressed 7x earnings multiple.
KBR AI technical analysis
KBR AI technical analysis shows a stock recovering off its 52-week low but still below its 200-day moving average as of the August 3, 2026 data cutoff. The stock closed at $36.61 on July 31, 2026, up 6.5% on the day after the Q2 report, above the 20-day, 50-day, and 100-day moving averages but below the 200-day trend line near $38.92. TradingView and StockAnalysis data showed a low beta of 0.45.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $36.61 | StockAnalysis.com quote at the July 31, 2026 close, up 6.5% for the day; used for valuation and market-cap math. |
| 52-week range | $29.94 to $52.23 | The stock is about 30% below the high and about 22% above the low, reflecting a deep drawdown and a recent partial recovery. |
| Immediate support | $34.95 to $35.96 | The 20-day moving average near $35.96 and the 50-day moving average near $34.95 form the first support cluster below the current price. |
| Next support | $32 to $34 | This zone sits between the 50-day average and the 52-week low area and is the second line of defense for the recovery setup. |
| Major support | $29.94 | The 52-week low near $29.94 is the major support. A decisive close below it would signal a trend failure. |
| Near resistance | $38.92 | The 200-day moving average near $38.92 is the first meaningful overhead level, per Barchart and StockAnalysis.com. |
| Next resistance | $40 to $42 | The psychological $40 level and the prior consolidation zone represent the next resistance area above the 200-day average. |
| Major resistance | $52.23 | The 52-week high near $52.23 is the major resistance. A recovery above this level would indicate a full trend reversal. |
| Momentum | RSI near 55 | The 14-day RSI was near 54.81 on July 31, 2026, neutral to modestly positive, and 14-day ADX was low near 15.4, indicating no strong trend yet. |
| Volume | 20-day average near 1.82 million shares | Barchart and StockAnalysis.com both listed 20-day average volume near 1.82 million shares, useful when judging moves above $38.92 or below $34. |
| Volatility | 14-day historical volatility near 45% | Barchart reported 14-day historical volatility near 44.74%, so position sizing should account for larger swings around earnings and spin-off news. |
| Invalidation | Close below $34 | A decisive close below the $34 to $35 support cluster would weaken the recovery setup; a close below the 52-week low near $29.94 could accelerate selling pressure given the elevated short interest. |
KBR AI trading strategy
The KBR AI trading strategy below is a rules-based research framework, not personal financial advice. It links price action with Trinzic spin-off milestones, earnings quality, backlog conversion, free cash flow, debt management, and government contract announcements.
Watch for KBR to hold above the $34.95 to $35.96 moving-average support cluster and to reclaim the 200-day moving average near $38.92 with volume while earnings confirm backlog conversion, spin-off progress, and stable margins.
Treat a failed move above $38.92 followed by a close below $36 as a warning. A close below $34 weakens the setup significantly, and a close below the 52-week low near $29.94 invalidates it.
Monitor Trinzic spin-off announcements, the IRS private letter ruling expected in September, the Form 10 filing, and the January 4, 2027 completion target. If the separation progresses on schedule and the remaining new KBR shows clean financials, a sum-of-the-parts re-rating could develop.
The spin-off may create taxable events, structural uncertainty, and one-time separation costs. Do not assume that the spin-off automatically unlocks value without evidence of clean separation and operational stability.
Track quarterly revenue and adjusted EPS trends, adjusted EBITDA margin, backlog and options value, conversion of roughly $10.6 billion of awarded work under protest, free cash flow, net leverage, EUCOM runoff, and Trinzic spin-off milestones.
Lower the rating if revenue keeps declining after the EUCOM runoff, debt stays elevated while interest rates remain high, the spin-off is delayed, or free cash flow deteriorates.
Investment research summary
Customers pay KBR because sensitive government, defense, space, intelligence, and energy transition programs need reliable engineering, technology integration, scientific expertise, and mission support delivered inside regulated environments with security clearance requirements.
KBR benefits from classified program access, decades of NASA and DoD contract incumbency, mission-critical technical knowledge, a cleared workforce, agency relationships, and proprietary process technology patents for ammonia, hydrogen, SAF, and lithium extraction.
The thesis fails if the Trinzic spin-off is delayed or creates value-destructive complexity, government budget priorities shift away from KBR programs, EUCOM runoff is not replaced by new wins, awarded work under protest is lost, fixed-price contracts create cost overruns, or debt stays elevated.
Stuart Bradie has led KBR through a successful transformation from traditional EPC contractor to technology-enabled government services firm. The Trinzic spin-off is the defining strategic bet, with CEO-designate Michael LaRouche and CFO-designate Nicholas Veasey in place. The key test is executing the separation while maintaining backlog and margins.
KBR sits in long-duration trends: defense modernization, space exploration (NASA and the new Antarctic science award), intelligence analytics, digital engineering, AI/ML integration, and energy transition (ammonia, SAF, hydrogen, carbon capture, direct lithium extraction). Demand is durable but politically funded.
At about 8.9x forward earnings and 13.3x trailing free cash flow, KBR is priced below many government services peers. Margin of safety depends on whether EUCOM runoff ends, awarded work under protest converts to backlog, the spin-off unlocks value, and debt is managed down.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| KBR quote and market capitalization | $36.61 closing price on July 31, 2026, up 6.5% for the day, and $4.62 billion market capitalization. Pineify financial_rigor.py verifies $36.61 x 126.07 million shares equals $4.62 billion, a 0.10% difference from reported market cap. | StockAnalysis.com quote; Pineify financial_rigor.py | August 3, 2026 |
| Shares outstanding | 126.07 million shares outstanding, down 3.41% year over year, verified through the market-cap cross-check. | StockAnalysis.com KBR statistics; Pineify financial_rigor.py | August 3, 2026 |
| Q2 2026 results | $1.98 billion revenue up 2%, net income of $96 million up 32%, adjusted EBITDA of $258 million up 7% at a 13.0% margin, adjusted EPS of $0.99 up 9%, and diluted EPS of $0.75 up 34%, with bookings and options of $1.8 billion at a 1.1x book-to-bill. | KBR Q2 2026 earnings release (GlobeNewswire) | August 3, 2026 |
| First-half 2026 results | $3.9 billion revenue down 2% due to expected EUCOM contingency runoff, net income of $198 million up 5%, adjusted EBITDA of $509 million up 4%, adjusted EPS of $1.95 up 2%, and bookings and options of $3.7 billion at a 1.1x book-to-bill. | KBR Q2 2026 earnings release (GlobeNewswire) | August 3, 2026 |
| Backlog and options | Backlog and options totaled $23.0 billion as of July 3, 2026, with MTS at $17.5 billion and STS at a record $5.5 billion, up 40% year over year. Roughly $10.6 billion of awarded work, including the National Science Foundation Antarctica contract, is under protest and not yet in backlog. | KBR Q2 2026 earnings release and earnings call | August 3, 2026 |
| Fiscal 2026 guidance | Reaffirmed revenue of $7.90 billion to $8.36 billion, adjusted EBITDA of $980 million to $1,040 million, adjusted EPS of $3.87 to $4.22, and adjusted operating cash flows of $560 million to $600 million. | KBR Q2 2026 earnings release | August 3, 2026 |
| Trinzic spin-off | The planned MTS spin-off was unveiled as Trinzic on July 30, 2026, with Michael LaRouche as CEO-designate and Nicholas Veasey as CFO-designate. The transaction is intended to be tax-free and is targeted to complete on January 4, 2027, subject to Board approval and customary conditions. | KBR Q2 2026 earnings release and Trinzic naming press release | August 3, 2026 |
| Cash and debt | $312 million cash and cash equivalents and $2.80 billion total debt as of July 3, 2026, with net debt of $2.26 billion and net leverage of 2.3x TTM adjusted EBITDA, per the earnings release. StockAnalysis.com balance sheet data is consistent. | KBR Q2 2026 earnings release and StockAnalysis.com balance sheet | August 3, 2026 |
| TTM income statement | TTM revenue of $7.72 billion, gross profit of $1.12 billion, operating income of $560 million, EBITDA of $900 million, net income of $423 million, and earnings per share of $3.32. | StockAnalysis.com KBR statistics | August 3, 2026 |
| TTM cash flow | TTM operating cash flow of $401 million, capital expenditures of negative $54 million, and free cash flow of $347 million, or $2.75 per share. | StockAnalysis.com KBR statistics | August 3, 2026 |
| Valuation and dividend snapshot | 11.03x PE (TTM), 8.92x forward PE, 0.60x price-to-sales, 2.82x price-to-book, 13.30x price-to-free-cash-flow, 7.88x EV/EBITDA, 1.80% dividend yield, and $0.66 annual dividend per share. | Pineify financial_rigor.py and StockAnalysis.com | August 3, 2026 |
| Short interest | 8.38 million shares short, 6.65% of shares outstanding, 6.73% of float, and 4.40 days to cover, up from 7.20 million shares short in the prior month. | StockAnalysis.com KBR statistics short selling | August 3, 2026 |
| Analyst consensus | Consensus rating of Buy across 8 analysts with an average price target of $45.00, implying 22.92% upside, with a low of $35 and a high of $60. Recent actions include Citi Buy at $49, BofA Hold at $40, and UBS Hold at $36. | StockAnalysis.com KBR forecast and ratings | August 3, 2026 |
| Recent contract awards | Awarded the $8 billion ceiling Antarctic Science and Engineering Support Contract for the US National Science Foundation, a $95 million Digital Engineering contract for the US Space Force, a position on the $866 million ceiling ASTRA multiple-award IDIQ, and STS technology awards from Pampa Energia, NorSAF, Keppel and Aster, and Power2X. | KBR Q2 2026 earnings release and GlobeNewswire awards | August 3, 2026 |
| Segment adjusted EBITDA | Q2 2026 adjusted EBITDA was $158 million at a 12.1% margin for Mission Technology Solutions and $123 million at an 18.2% margin for Sustainable Technology Solutions. | KBR Q2 2026 earnings release | August 3, 2026 |
| Technical snapshot | 20-day moving average near $35.96, 50-day moving average near $34.95, 100-day moving average near $35.46, 200-day moving average near $38.92, 14-day RSI near 54.81, 14-day ADX near 15.4, and 14-day historical volatility near 44.74%. | Barchart and StockAnalysis.com technical snapshots | August 3, 2026 |
This KBR AI stock analysis is an informational research tool only. It is not investment advice, a recommendation, or a promise of future returns. Forecast scenarios are based on available public data as of August 3, 2026 and may be wrong if earnings, contracts, budgets, protest outcomes, spin-off logistics, rates, or market sentiment change.
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