Using the PEG framework with analyst consensus forward EPS growth of 25.0% plus 1.0% dividend yield, Jacobs Solutions Inc. has a fair value of $178.84 based on NTM EPS (FY2026) of $7.15. The current PEG ratio is 0.32.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
Growth above 25% is capped — hypergrowth may not be sustainable long-term.
| EPS Growth RateForward | 55.4% |
| Dividend Yield | +1.0% |
| Adjusted Growth (clamped 8–25%)Clamped | 25.0% |
| Fair P/E | 25.0x |
| NTM EPS (FY2026) | $7.15 |
| Fair Value | $178.84 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $2.38 | — | — |
| FY2026E | $7.15 | +200.6% | 6 |
| FY2027E | $8.04 | +12.4% | 7 |
| FY2028E | $8.93 | +11.0% | 4 |
3Y Forward EPS CAGR: 55.4%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $477.0M | $3.12 | — |
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.
| FY2022 | $644.0M | $4.98 | +59.6% |
| FY2023 | $665.8M | $5.30 | +6.4% |
| FY2024 | $806.1M | $6.32 | +19.2% |
| FY2025 | $290.2M | $2.38 | -62.3% |
4Y Historical EPS CAGR: -6.5%