Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

KBR, Inc. (KBR)

Company Dividend Discount ModelIndustry: Engineering & ConstructionSector: Industrials

Valuation Snapshot

Stable Growth$71.70 - $207.15$112.47
Multi-Stage$55.96 - $61.25$58.56
Blended Fair Value$85.51
Current Price$47.42
Upside80.33%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202320222021202020192018201720162015
DPS11.42%5.33%0.600.550.500.460.410.350.340.340.350.36
YoY Growth--9.72%9.09%8.20%12.96%17.39%4.55%-2.22%-2.17%-2.13%0.00%
Dividend Yield--1.27%0.86%0.91%0.85%1.07%1.69%1.69%2.12%2.33%2.31%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)380.00
(-) Cash Dividends Paid (M)83.00
(=) Cash Retained (M)297.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)76.0047.5028.50
Cash Retained (M)297.00297.00297.00
(-) Cash Required (M)-76.00-47.50-28.50
(=) Excess Retained (M)221.00249.50268.50
(/) Shares Outstanding (M)131.25131.25131.25
(=) Excess Retained per Share1.681.902.05
LTM Dividend per Share0.630.630.63
(+) Excess Retained per Share1.681.902.05
(=) Adjusted Dividend2.322.532.68
WACC / Discount Rate7.92%7.92%7.92%
Growth Rate4.54%5.54%6.54%
Fair Value$71.70$112.47$207.15
Upside / Downside51.19%137.17%336.85%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)380.00401.07423.30446.77471.54497.69512.62
Payout Ratio21.84%35.47%49.11%62.74%76.37%90.00%92.50%
Projected Dividends (M)83.00142.27207.86280.29360.11447.92474.17

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.92%7.92%7.92%
Growth Rate4.54%5.54%6.54%
Year 1 PV (M)130.58131.83133.08
Year 2 PV (M)175.10178.47181.87
Year 3 PV (M)216.71222.99229.39
Year 4 PV (M)255.54265.46275.67
Year 5 PV (M)291.73305.95320.73
PV of Terminal Value (M)6,274.886,580.786,898.50
Equity Value (M)7,344.557,685.488,039.22
Shares Outstanding (M)131.25131.25131.25
Fair Value$55.96$58.56$61.25
Upside / Downside18.01%23.48%29.17%

High-Yield Dividend Screener

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