CluenexKBR Inc KBR
KBR Inc scores weak on business quality (3.6 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What KBR Inc does
KBR provides professional services, engineering, and technology solutions to government and commercial clients, generating revenue through mission-critical project delivery and systems integration.
- What it does best
KBR excels in delivering specialized technology and engineering solutions for complex defense and energy projects, backed by a gross margin of 14.5% that outpaces peers like AMTM at 10.3%. Long-term contracts and proprietary technical know-how create deep institutional lock-in.
- The main risk
Carrying a heavy debt load with a debt-to-equity ratio of 1.7 creates significant vulnerability if project execution slips or cash generation falters, leaving little room for error on major contracts.
Quality, check by check
Scored against its own industry, from company filings.
Operating margins at 7.1% and free cash flow margins trail broader sector standards, with profitability remaining tight and under pressure as operational costs absorb most top-line gains.
KBR relies on specialized technical expertise and government client switching costs, landing in the bottom quartile for gross margins at 5% in its sector, which limits pricing power.
Revenue growth sits at 1.0%, showing a flattening trend compared to historical annual fluctuations, indicating the core top-line engine is stalling out.
High leverage with a debt-to-equity ratio of 1.7 and modest interest coverage of 3.7x leaves debt costs heavy, though free cash flow of $351M provides a buffer; the balance sheet is softening.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
No open market buys or unplanned sales by executives or directors.
Our sealed record on KBR
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
KBR Inc scores weak on the Cluenex quality check (3.6 of 10), measured against its own industry. Profitability is weak, moat fair, growth slow and financial health weak.
In the last 90 days of SEC Form 4 filings: No open market buys or unplanned sales by executives or directors.
Oct 29, 2026.
See KBR today
- Today's verdict on KBR, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “KBR Inc (KBR)”, https://cluenex.com/stocks/kbr/, data as of Oct 10, 2026.