Jacobs Solutions Inc (J) is overvalued and Sterling Infrastructure Inc (STRL) is overvalued.
Both trade above our estimate of their intrinsic value. STRL is the closer of the two: -92%, against -306% for J.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.3% (average of 3 methods) values the shares at $35.25; the price of $143.12 is 306% above that value, and 78% of that value comes from beyond year five.
Leak Score 14/100 on 3 of 12 signals
Discounting its cash flows at 12.8% (average of 3 methods) values the shares at $269.07; the price of $516.57 is 92% above that value, and 65% of that value comes from beyond year five.
Leak Score 59/100 on 3 of 12 signals
| Metric | J | STRL |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $143.12 | $516.57 |
| Intrinsic value | $35.25 | $269.07 |
| Margin of safety | -306% | -92% |
| Leak Score | 14/100 (3/12) | 59/100 (3/12) |
| Market cap | $16.8B | $15.8B |
| Revenue growth, 5 years | -2.3% | 11.8% |
| Operating margin | 4.9% | 18.3% |
| Net margin | 2.4% | 12.6% |
| Return on equity | 10.1% | 38.5% |
| Debt to equity | 1.24 | 0.25 |
| P/E | 50.2x | 37.2x |
| Forward P/E | 17.3x | 20.4x |
| P/B | 5.1x | 11.7x |
| Dividend yield | 0.9% | — |