Is Jacobs Solutions, Inc. overvalued or undervalued?

As of 17 October 2025, Jacobs Solutions, Inc. has moved from a fair to very expensive valuation grade. The company appears to be overvalued, given its P/E ratio of 29, which is significantly higher than the peer average of 31.95 for companies like MSCI, Inc. and Verisk Analytics, Inc., which have P/E ratios of 62.31 and 156.72, respectively. Additionally, Jacobs Solutions has a Price to Book Value of 3.96 and an EV to EBITDA of 13.59, both of which suggest a premium valuation compared to its peers.
In terms of recent performance, Jacobs Solutions has outperformed the S&P 500 over the past year with a return of 9.71% compared to the index's 14.08%. However, over the longer term, its 10-year return of 89.29% lags behind the S&P 500's impressive 227.77%. Overall, the combination of high valuation ratios and mixed performance against the benchmark indicates that Jacobs Solutions, Inc. is currently overvalued.