In a bid to fortify its foothold in South East Asia, professional services and technologies provider, KBR, Inc. (KBR - Free Report) inked an agreement with BIV Builders to establish a standalone long-term joint venture, KBIV, based in Kuala Lumpur, Malaysia.
Combining KBR’s professional services and project delivery expertise with BIV Builders’ cost competitive and experienced resources, this joint venture will deliver state-of-the-art engineering, project delivery and asset program management solutions. This joint venture will allow KBR to be close to partners and customers and seize upon selective regional opportunities from field development planning to project delivery.
The joint venture will also get access to KBR's subsidiary, Granherne, to help it service the full spectrum of hydrocarbons life-cycle projects in Malaysia. Forming this joint venture highlights KBR’s keen strategic alliances to bolster its inorganic growth and expanding market share. During the fourth quarter of 2016, KBR’s subsidiary, Brown & Root Industrial Services, LLC acquired the MEI Group, LLC, a provider of turnaround, specialty, and construction related services.
KBR’s shares have lost 3.8% over the last three months. However, this compares favorably with the Zacks categorized Engineering/R&D Services industry’s decline of 12%. Most players in this sector have been battling unfavorable economic conditions like volatility in the oil and gas markets and spending cuts, which continue to harm their profitability.
In particular, KBR has been suffering execution issues in certain major projects, which have hurt the company’s performance in recent times. Huge cash outflows to fund losses on the EPC projects also pose concerns for this Zacks Rank #3 (Hold) company.
Stocks to Consider
Better-ranked stocks in the industry include TopBuild Corp. (BLD - Free Report) , Lennar Corporation (LEN - Free Report) and EMCOR Group, Inc. (EME - Free Report) . While TopBuild sports a Zacks Rank #1 (Strong Buy), Lennar and EMCOR carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
TopBuild has a positive average earnings surprise of 6.0% for the last four quarters, having beaten estimates thrice.
Lennar has a stellar earnings surprise history with an average positive surprise of 8.7%, beating estimates all through.
EMCOR Group has a decent earnings beat history, having surpassed estimates thrice over the trailing four quarters. It has an average positive surprise of 15.4% over the same time frame.
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In a bid to fortify its foothold in South East Asia, professional services and technologies provider, KBR, Inc. (KBR - Free Report) inked an agreement with BIV Builders to establish a standalone long-term joint venture, KBIV, based in Kuala Lumpur, Malaysia.
Combining KBR’s professional services and project delivery expertise with BIV Builders’ cost competitive and experienced resources, this joint venture will deliver state-of-the-art engineering, project delivery and asset program management solutions. This joint venture will allow KBR to be close to partners and customers and seize upon selective regional opportunities from field development planning to project delivery.
The joint venture will also get access to KBR's subsidiary, Granherne, to help it service the full spectrum of hydrocarbons life-cycle projects in Malaysia. Forming this joint venture highlights KBR’s keen strategic alliances to bolster its inorganic growth and expanding market share. During the fourth quarter of 2016, KBR’s subsidiary, Brown & Root Industrial Services, LLC acquired the MEI Group, LLC, a provider of turnaround, specialty, and construction related services.
KBR’s shares have lost 3.8% over the last three months. However, this compares favorably with the Zacks categorized Engineering/R&D Services industry’s decline of 12%. Most players in this sector have been battling unfavorable economic conditions like volatility in the oil and gas markets and spending cuts, which continue to harm their profitability.
In particular, KBR has been suffering execution issues in certain major projects, which have hurt the company’s performance in recent times. Huge cash outflows to fund losses on the EPC projects also pose concerns for this Zacks Rank #3 (Hold) company.
Stocks to Consider
Better-ranked stocks in the industry include TopBuild Corp. (BLD - Free Report) , Lennar Corporation (LEN - Free Report) and EMCOR Group, Inc. (EME - Free Report) . While TopBuild sports a Zacks Rank #1 (Strong Buy), Lennar and EMCOR carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
TopBuild has a positive average earnings surprise of 6.0% for the last four quarters, having beaten estimates thrice.
Lennar has a stellar earnings surprise history with an average positive surprise of 8.7%, beating estimates all through.
EMCOR Group has a decent earnings beat history, having surpassed estimates thrice over the trailing four quarters. It has an average positive surprise of 15.4% over the same time frame.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana. Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look. See the pot trades we're targeting>>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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