ABM Industries Incorporated (NYSE:ABM) Receives Consensus Rating of "Hold" from Analysts

Key Points

• ABM Industries has received a consensus rating of "Hold" from five analysts, with three recommending a hold and two a buy, and the average price target set at $55.67.
• The company recently announced a $150 million share buyback program, which allows the purchase of up to 5% of its shares, reflecting the board's belief that the stock is undervalued.
• ABM Industries declared a quarterly dividend of $0.265 per share with a yield of 2.3%, and will be paid on November 3rd to stockholders of record on October 2nd.

ABM Industries Incorporated (NYSE:ABM - Get Free Report) has been given a consensus rating of "Hold" by the five ratings firms that are covering the company, MarketBeat.com reports. Three analysts have rated the stock with a hold recommendation and two have assigned a buy recommendation to the company. The average 1 year price objective among brokers that have issued a report on the stock in the last year is $55.6667.

Several equities analysts have issued reports on the stock. Baird R W cut shares of ABM Industries from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 8th. Robert W. Baird reaffirmed a "neutral" rating and set a $54.00 price target (down from $56.00) on shares of ABM Industries in a research note on Monday, September 8th. UBS Group upped their price target on shares of ABM Industries from $54.00 to $55.00 and gave the stock a "buy" rating in a research note on Monday, September 8th. Wall Street Zen cut shares of ABM Industries from a "buy" rating to a "hold" rating in a research note on Saturday, July 26th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of ABM Industries in a research note on Saturday, September 27th.

Insider Transactions at ABM Industries

In other ABM Industries news, COO Rene Jacobsen sold 17,250 shares of the stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $48.03, for a total value of $828,517.50. Following the completion of the sale, the chief operating officer owned 71,256 shares of the company's stock, valued at $3,422,425.68. This trade represents a 19.49% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 0.90% of the company's stock.

Institutional Investors Weigh In On ABM Industries

A number of hedge funds have recently added to or reduced their stakes in the stock. GAMMA Investing LLC increased its holdings in shares of ABM Industries by 4,082.5% during the first quarter. GAMMA Investing LLC now owns 70,140 shares of the business services provider's stock valued at $3,322,000 after purchasing an additional 68,463 shares during the period. apricus wealth LLC acquired a new stake in shares of ABM Industries during the 1st quarter valued at about $217,000. Wealth Enhancement Advisory Services LLC lifted its holdings in shares of ABM Industries by 12.8% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 6,102 shares of the business services provider's stock valued at $289,000 after buying an additional 693 shares during the last quarter. Palouse Capital Management Inc. lifted its holdings in ABM Industries by 17.4% in the 1st quarter. Palouse Capital Management Inc. now owns 3,016 shares of the business services provider's stock worth $143,000 after purchasing an additional 446 shares during the last quarter. Finally, Brighton Jones LLC acquired a new stake in ABM Industries in the 1st quarter worth approximately $330,000. 91.62% of the stock is currently owned by institutional investors.

ABM Industries Trading Up 0.3%

ABM stock traded up $0.15 during mid-day trading on Friday, hitting $46.59. 420,498 shares of the company were exchanged, compared to its average volume of 712,695. The business has a fifty day simple moving average of $47.14 and a 200-day simple moving average of $47.76. The company has a quick ratio of 1.49, a current ratio of 1.49 and a debt-to-equity ratio of 0.82. ABM Industries has a 12-month low of $40.85 and a 12-month high of $59.15. The firm has a market capitalization of $2.85 billion, a P/E ratio of 13.46 and a beta of 0.78.

ABM Industries (NYSE:ABM - Get Free Report) last posted its quarterly earnings data on Friday, September 5th. The business services provider reported $0.82 EPS for the quarter, missing the consensus estimate of $0.95 by ($0.13). ABM Industries had a net margin of 1.34% and a return on equity of 12.12%. The business had revenue of $2.22 billion during the quarter, compared to analysts' expectations of $2.16 billion. During the same period in the previous year, the business posted $0.94 EPS. The company's revenue for the quarter was up 6.2% compared to the same quarter last year. ABM Industries has set its FY 2025 guidance at 3.650-3.650 EPS. On average, equities research analysts predict that ABM Industries will post 3.71 earnings per share for the current fiscal year.

ABM Industries Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 3rd. Stockholders of record on Thursday, October 2nd will be issued a dividend of $0.265 per share. This represents a $1.06 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Thursday, October 2nd. ABM Industries's dividend payout ratio is presently 57.61%.

ABM Industries announced that its board has initiated a share buyback program on Friday, September 5th that allows the company to buyback $150.00 million in shares. This buyback authorization allows the business services provider to buy up to 5% of its shares through open market purchases. Shares buyback programs are often an indication that the company's board believes its shares are undervalued.

About ABM Industries

ABM Industries Incorporated, through its subsidiaries, engages in the provision of integrated facility, infrastructure, and mobility solutions in the United States and internationally. It operates through Business & Industry, Manufacturing & Distribution, Education, Aviation, and Technical Solutions segments.

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