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Jacobs (J) and PA Consulting Win Role in The Copenhagen Metro

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Jacobs Solutions Inc. (J - Free Report) and PA Consulting have been awarded a pivotal role in The Copenhagen Metro's Operations and Maintenance Adviser Framework, a testament to their global expertise in shaping transformative transportation solutions. Selected for their comprehensive insight into urban transit, the partnership aims to provide strategic advice over an eight-year period, addressing critical aspects of the metro's operations and maintenance.

The collaboration brings together Jacobs' extensive experience in delivering complex transportation projects worldwide with PA Consulting's deep knowledge of international public transit operations. Their joint effort will focus on advising The Copenhagen Metro on essential areas such as project and design management, railway installations and safety, rolling stock, signaling systems, and overall operational maintenance.

By integrating enterprise digital tools and AI solutions, Jacobs and PA Consulting aim to bolster The Copenhagen Metro's quest to meet the city's escalating urban travel needs and growing population. Their involvement in projects like The Elizabeth Line, Transpennine Route Upgrade in the U.K., and Klang Valley Mass Rapid Transit in Malaysia highlights their capacity to drive significant infrastructure developments.

Jacobs and PA Consulting's collaborative support extends beyond Copenhagen, encompassing strategic guidance for the U.K. Department for Transport and advising various international transport operators. PA Consulting's contributions to infrastructure planning in Europe and Jacobs' involvement in transformative projects worldwide reinforce their position as frontrunners in the transportation sector.

This contract underscores their commitment to fostering sustainable and innovative transportation solutions, solidifying their role as key players in shaping the future of urban transit systems globally.

Share Price Performance

Jacobs is experiencing a substantial uptick in demand for its consulting services, spanning various sectors such as infrastructure, water management, environmental solutions, space exploration, broadband, cybersecurity, and life sciences.

A testament to this success is the robust backlog level, which stood at $28.9 billion at the end of the third quarter of fiscal 2023. This marks a 2.9% increase from the previous year’s levels. Within this backlog, the Critical Mission Solutions segment contributed $8.097 billion. People and Places Solutions segment contributed $17.5 billion during the third quarter of fiscal 2023.

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Over the past six months, shares of Jacobs have gained 13.8% compared with the industry’s 21.5% rise. Although the company has underperformed in the industry, infrastructure modernization, the shift toward sustainable energy, national security imperatives and the potential for a super-cycle in global supply-chain investments are expected to boost its performance in the upcoming periods.

Zacks Rank & Key Picks

Jacobs currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks from the Zacks Business Services sector are TriNet Group, Inc. (TNET - Free Report) , DocuSign, Inc. (DOCU - Free Report) and SPX Technologies, Inc. (SPXC - Free Report) .

TriNet currently sports a Zacks Rank #1 (Strong Buy). TNET delivered a four-quarter average earnings surprise of 77.4%. The company’s shares have risen 57.8% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for TNET’s 2023 sales indicates a decline of 2.7% but earnings per share (EPS) indicates a rise of 4%, respectively, from the prior-year reported figures.

DocuSign currently carries a Zacks Rank of 2 (Buy). DOCU has a four-quarter average earnings surprise of 27.1%. The stock has declined 27.8% in the past year.

The Zacks Consensus Estimate for DOCU’s 2024 sales and EPS indicates growth of 8.6% and 29.1%, respectively, from the prior-year reported figures.

SPX Technologies currently carries a Zacks Rank of 2. SPXC has a trailing four-quarter earnings surprise of 33.5% on average. Shares of the company have gained 15% in the past year.

The Zacks Consensus Estimate for SPXC’s fiscal 2023 sales and EPS indicates a rise of 20% and 38.7%, respectively, from the year-ago reported levels.

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