Jacobs Solutions Inc. (J) Hit a 52 Week High, Can the Run Continue?

Shares of Jacobs Solutions (J) have been strong performers lately, with the stock up 6.4% over the past month. The stock hit a new 52-week high of $153.38 in the previous session. Jacobs Solutions has gained 14.1% since the start of the year compared to the 1.5% move for the Zacks Business Services sector and the 46% return for the Zacks Technology Services industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on August 5, 2025, Jacobs Solutions reported EPS of $1.62 versus consensus estimate of $1.56 while it missed the consensus revenue estimate by 1.07%.For the current fiscal year, Jacobs Solutions is expected to post earnings of $6.97 per share on $12.01 in revenues. Meanwhile, for the next fiscal year, the company is expected to earn $7.81 per share on $12.98 in revenues. This represents a year-over-year change of 15.27% and 8.05%, respectively.Valuation MetricsThough Jacobs Solutions has recently hit a 52-week high, what is next for Jacobs Solutions? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.Jacobs Solutions has a Value Score of B. The stock's Growth and Momentum Scores are B and F, respectively, giving the company a VGM Score of B.In terms of its value breakdown, the stock currently trades at 21.9X current fiscal year EPS estimates, which is not in-line with the peer industry average of 22.1X. On a trailing cash flow basis, the stock currently trades at 19.5X versus its peer group's average of 11.3X. Additionally, the stock has a PEG ratio of 1.8. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Jacobs Solutions currently has a Zacks Rank of #2 (Buy) thanks to a solid earnings estimate revision trend.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Jacobs Solutions fits the bill. Thus, it seems as though Jacobs Solutions shares could still be poised for more gains ahead.How Does J Stack Up to the Competition?Shares of J have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Cricut, Inc. (CRCT). CRCT has a Zacks Rank of #2 (Buy) and a Value Score of A, a Growth Score of B, and a Momentum Score of B.Earnings were strong last quarter. Cricut, Inc. beat our consensus estimate by 83.33%, and for the current fiscal year, CRCT is expected to post earnings of $0.28 per share on revenue of $689.83 million.Shares of Cricut, Inc. have gained 8.4% over the past month, and currently trade at a forward P/E of 22.61X and a P/CF of 14.7X.The Technology Services industry is in the top 26% of all the industries we have in our universe, so it looks like there are some nice tailwinds for J and CRCT, even beyond their own solid fundamental situation.Free Report: Profiting from the 2nd Wave of AI ExplosionThe next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.Investors who bought shares like Nvidia at the right time have had a shot at huge gains.But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Access AI Boom 2.0 now, absolutely free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Jacobs Solutions Inc. (J): Free Stock Analysis Report Cricut, Inc. (CRCT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks