With our three-day weekend having run its course and the throngs about to disperse from their inauguration reverie, earnings season is resuming anew. I'm especially looking forward to next Tuesday's pre-market open announcement of results from Jacobs Engineering
California-based Jacobs provides an array of engineering, technical, professional, and construction services around the world. Those services have helped the company's shares defy the market's recently gravity, increasing in price by nearly 85% -- from the mid-$20's in November to Friday's close above $48. Nonetheless, shares remain well below their 52-week high of more than $98, which tells me there's room for further improvement.
In today's world of steadily sliding corporate guidance, the company is expected to increase its earnings both this year and next. A portion of the higher projections seems tied to the belief that Jacobs will benefit from President-elect Obama's desire to strengthen the economy by fostering a slew of infrastructure programs. But the company is already reeling in specific new contracts like a fisherman in a well-stocked lake.
Just since the beginning of this month, Jacobs has inked a pact to oversee several phases of ExxonMobil's
But lest you think that Jacobs is tied solely to the fortunes of the U.S., the $5.8 billion company -- which competes with Shaw Group
So I urge you to look ahead to Tuesday. As you can see, the debt-free company is steadily expanding its book of business, and its long-term future looks solid. On that basis, and amid our roller-coaster market, its shares just might merit a slice of your investment shekels.
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