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    How Do New Space Force Deals Shape KBR's (KBR) Defense-Focused Investment Narrative?

    Simply Wall St·02/14/2026 08:21:43
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    • Earlier in February 2026, KBR announced several new U.S. defense contracts, including two U.S. Space Force task orders totaling US$103 million, a US$77 million Space Force and Air Force Research Laboratory task order, and a US$149 million ADEDDIS contract with the Air Force Life Cycle Management Center.
    • These awards deepen KBR’s role in AI-enabled analytics, digital engineering, and systems integration for national defense, further anchoring its business in long-duration, mission-critical government work.
    • We’ll now examine how this cluster of new Space Force and Air Force contracts could influence KBR’s pre-existing investment narrative and outlook.

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    KBR Investment Narrative Recap

    To own KBR today, you generally have to believe in its role as a long-term technology and engineering partner to U.S. and allied governments, particularly in defense, space and digital modernization. The latest Space Force and Air Force awards modestly reinforce that story by adding multi‑year, mission‑critical work and some revenue visibility, while the key near term swing factors remain contract timing, award protests and any further fallout from HomeSafe or related legal and governance issues.

    Among the recent announcements, the US$149 million ADEDDIS contract with the Air Force Life Cycle Management Center stands out alongside the new Space Force task orders. It ties directly into KBR’s push toward higher value digital engineering, modeling and analytics across armament programs, a theme that underpins many bullish catalysts around margin mix and backlog conversion. Together, these awards highlight how much of KBR’s near term outlook is tied to complex, long‑duration U.S. defense programs actually ramping as planned.

    Yet against this backdrop of fresh contract wins, the investigation into alleged misstatements around HomeSafe and fiduciary duty raises issues that investors should be aware of...

    Read the full narrative on KBR (it's free!)

    KBR's narrative projects $9.4 billion revenue and $664.3 million earnings by 2028. This requires 5.4% yearly revenue growth and about a $264 million earnings increase from $400.0 million today.

    Uncover how KBR's forecasts yield a $54.78 fair value, a 33% upside to its current price.

    Exploring Other Perspectives

    KBR 1-Year Stock Price Chart
    KBR 1-Year Stock Price Chart

    Some of the most optimistic analysts were already assuming KBR could reach about US$9.9 billion in revenue and roughly US$644 million in earnings by 2028, yet the recent defense wins and the risk of tighter regulatory scrutiny on government contracts both suggest those projections and the baseline narrative could shift, reminding you that reasonable views on KBR’s upside and downside can differ widely.

    Explore 8 other fair value estimates on KBR - why the stock might be worth just $40.00!

    Build Your Own KBR Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

    • A great starting point for your KBR research is our analysis highlighting 6 key rewards and 1 important warning sign that could impact your investment decision.
    • Our free KBR research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate KBR's overall financial health at a glance.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.