KBR (NYSE:KBR) shares rose on Wednesday after the company secured a 10-year general maintenance services contract with Rabigh Refining & Petrochemical Company.
Under the agreement, KBR will oversee maintenance at Petro Rabigh's Polymer I and Polymer II plants, deploying advanced digital tools, including AI and machine learning, to improve asset reliability, safety and overall performance. The contract marks the first time Petro Rabigh has outsourced maintenance services, part of a broader push to achieve top-quartile plant performance and drive greater cost efficiency.
The deal strengthens KBR's long-term services portfolio and highlights its focus on technology-enabled operational support, while advancing Petro Rabigh's transformation strategy centered on safety, reliability and value creation.
Recent Key Contract Wins
This month, KBR disclosed that it received two firm-fixed-price task orders worth $103 million under the U.S. Space Force HQ Analysis contract, to be executed in Chantilly, Virginia, reinforcing its role in national defense and space operations.
Also, last month, the company won a seat on the Missile Defense Agency’s Scalable Homeland Innovative Enterprise Layered Defense (SHIELD) multiple-award, indefinite delivery, indefinite quantity contract, a program with a ceiling value of $151 billion.
KBR Stock Faces Short-Term Weakness
The broader market experienced gains on the previous trading day, with the S&P 500 closing up 0.21% and the Energy sector rising 1.23%. KBR’s upward movement aligns with this positive sentiment, suggesting that the stock is benefiting from broader market trends.
KBR is currently trading 2.3% below its 20-day simple moving average (SMA) and 4.1% below its 100-day SMA, indicating some short-term weakness. Over the past 12 months, shares have decreased by 20.90%, and they are currently positioned closer to their 52-week lows than highs.
The RSI is at 42.81, which is considered neutral territory, while the MACD shows a value of -0.4167, below its signal line at -0.1414, indicating bearish pressure on the stock. The combination of neutral RSI and bearish MACD suggests mixed momentum.
- Key Resistance: $42.50
- Key Support: $39.50
KBR Earnings Forecast and Analyst Ratings
The countdown is on: KBR is set to report earnings on February 26, 2026.
- EPS Estimate: 95 cents (Up from 91 cents)
- Revenue Estimate: $1.90 billion (Down from $2.12 billion)
- Valuation: P/E of 12.9x (Indicates value opportunity)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $59.42. Recent analyst moves include:
- Citigroup: Buy (Lowers Target to $53.00) (Jan. 26)
- Truist Securities: Buy (Lowers Target to $50.00) (Dec. 19, 2025)
- Oppenheimer: Initiated with Outperform (Target $60.00) (Dec. 2, 2025)
KBR’s Mixed Outlook According to Benzinga Edge
Below is the Benzinga Edge scorecard for KBR, highlighting its strengths and weaknesses compared to the broader market:
- Value Rank: 42.33 — Indicates moderate value relative to peers.
- Growth Rank: 17.89 — Suggests limited growth potential.
- Quality Rank: 68.65 — Reflects a strong balance sheet and operational efficiency.
- Momentum Rank: 11.88 — Indicates weak momentum in price performance.
The Verdict: KBR’s Benzinga Edge signal reveals a mixed outlook. While the Quality rank suggests solid fundamentals, the weak Momentum score indicates that the stock may struggle to gain traction in the current market environment.
ETFs Heavily Invested in KBR
- Monarch Dividend Plus Index ETF (NASDAQ:MDPL): 3.49% Weight
Significance: Because KBR carries meaningful weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
KBR Price Action: Kbr shares were up 2.55% at $41.85 during trading on Wednesday, according to Benzinga Pro data.
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