Jacobs Engineering provides a broad range of project services; process, scientific and systems consulting services; operations and maintenance services; and construction services. For the 3 months ended 12/31/00, revenues rose 15% to $929.2M. Net income totaled $20.1M, vs. a loss of $5.8M. Revenues reflect the growth from consulting services. Earnings also benefitted from the absence of the provision for litigation settlement in 1999.

April 24, 2001

JEC makes nice profits for itself by providing professional services in four areas; construction, scientific and systems consulting, operations and maintenance and full project services including engineering, design, and architectural services. Last week, JEC reported record quarterly revenue of $1.0 billion and posted profits of $0.79 a share. Future prospects also look good for the company because it has a backlog of $5.9 billion orders. JEC has been climbing nicely in price all year primarily because the economic slowdown has not hit its particular businesses. Last week, JEC reported record quarterly revenue of $1.0 billion and posted profits of $0.79 a share. Future prospects also look good for the company thanks to a backlog of $5.9 billion. Short-term momentum traders may want to consider adding to their JEC positions because the stock established a new high today of $62.14, which could bode well for another move higher. One positive consequence of today's move was the fact that the MACD avoided issuing a sell signal and is now pointing towards more price gains for JEC. Keep in mind, though, that the RSI is currently indicating an overbought condition. That said, the last time the RSI was at a similar level it just kept going.

Picked on April 24th @ $62.00
Change since picked +0.00
Stop Loss @ $58.00

April 26, 2001

JEC has joined the two day party over at the NYSE and pushed its way to a new all-time intra-day high of $66.75. JEC could be one of the big winners if the theory that the economy is headed for a soft landing comes true. JEC offers a slew of services for the commercial construction industry and this sector has been remarkably resilient during this slowdown and will likely get better as the economy improves. Some of JEC's strength may be attributable to the possibility that the company is poised to make a split announcement. JEC has not split in nearly 10 years and the current share price is certainly high enough to justify a split. The technical picture is telling us that we are enjoying a classic momentum trader driven breakout. Volume, which has been more than three times the average daily volume the past two days, is outstanding. Money Flow and the OBV are confirming the drive into new high ground. Our one concern is the RSI, which is indicating an overbought condition. Nevertheless, one should enjoy the ride as long as it lasts. To that end, we could see another couple point gain tomorrow if JEC can move above $66.75. That said, do not be surprised if we wee a little profit taking near the close, as traders even up their positions going into the weekend. To protect our profits we have move our stop to $64.00

Picked on April 24th @ $62.00
Change since picked +4.00
Stop Loss @ $64.00