PSN vs J vs ACM vs SAIC

For growth investors, Jacobs Solutions Inc.

(J) is the stronger pick with 4. 6% revenue growth year-over-year, versus -5. 7% for Parsons Corporation (PSN). Science Applications International Corporation (SAIC) offers the better valuation at 12. 2x trailing P/E (9. 3x forward), making it the more compelling value choice. Analysts rate Parsons Corporation (PSN) a "Buy" — based on 17 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Science Applications International Corporation (SAIC) is the cheapest at 12.

2x versus Jacobs Solutions Inc. at 48. 0x. On forward P/E, Science Applications International Corporation is actually cheaper at 9. 3x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Science Applications International Corporation wins at 0. 56x versus Parsons Corporation's 0. 89x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Parsons Corporation (PSN) delivered a total return of +28.

3%, compared to -20. 8% for Jacobs Solutions Inc. (J). Over 10 years, the gap is even starker: ACM returned +126. 9% versus J's -19. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Science Applications International Corporation (SAIC) is the lower-risk stock at 0.

27β versus Jacobs Solutions Inc. 's 1. 08β — meaning J is approximately 295% more volatile than SAIC relative to the S&P 500. On balance sheet safety, Science Applications International Corporation (SAIC) carries a lower debt/equity ratio of 14% versus 125% for Aecom — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Jacobs Solutions Inc.

(J) is pulling ahead at 4. 6% versus -5. 7% for Parsons Corporation (PSN). On earnings-per-share growth, the picture is similar: Aecom grew EPS 42. 7% year-over-year, compared to -62. 3% for Jacobs Solutions Inc.. Over a 3-year CAGR, PSN leads at 14. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Science Applications International Corporation (SAIC) is the more profitable company, earning 4.

9% net margin versus 2. 4% for Jacobs Solutions Inc. — meaning it keeps 4. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: J leads at 7. 2% versus 6. 4% for ACM. At the gross margin level — before operating expenses — J leads at 24. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Science Applications International Corporation (SAIC) is the more undervalued stock at a PEG of 0. 56x versus Parsons Corporation's 0. 89x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Science Applications International Corporation (SAIC) trades at 9. 3x forward P/E versus 15. 8x for Parsons Corporation — 6. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ACM: 79. 6% to $125. 63.

In this comparison, SAIC (1.

6% yield), ACM (1. 4% yield), J (1. 1% yield) pay a dividend. PSN does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Science Applications International Corporation (SAIC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

27), 1. 6% yield, +104. 5% 10Y return). Both have compounded well over 10 years (SAIC: +104. 5%, PSN: +75. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (PSN (Industrials) and J (Industrials) and ACM (Industrials) and SAIC (Technology)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: PSN is a small-cap quality compounder stock; J is a mid-cap quality compounder stock; ACM is a small-cap deep-value stock; SAIC is a small-cap deep-value stock. J, ACM, SAIC pay a dividend while PSN does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.