AQR Capital Management LLC Lowers Holdings in ABM Industries Incorporated $ABM

Key Points

• AQR Capital Management LLC has reduced its stake in ABM Industries by 23.1%, selling 54,032 shares, and now holds 179,938 shares valued at approximately $8.5 million.
• Numerous analysts have weighed in on ABM Industries, resulting in mixed ratings, with UBS raising the target price to $55.00 while Baird downgraded it to a "hold" recommendation.
• ABM Industries recently announced a quarterly dividend of $0.265 per share, with a payout ratio of 57.61%, and initiated a stock repurchase plan of up to $150 million.

AQR Capital Management LLC lowered its position in shares of ABM Industries Incorporated (NYSE:ABM - Free Report) by 23.1% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 179,938 shares of the business services provider's stock after selling 54,032 shares during the quarter. AQR Capital Management LLC owned about 0.29% of ABM Industries worth $8,522,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also added to or reduced their stakes in ABM. Summit Securities Group LLC bought a new position in shares of ABM Industries during the first quarter valued at $38,000. Federated Hermes Inc. boosted its holdings in shares of ABM Industries by 107.7% during the 1st quarter. Federated Hermes Inc. now owns 920 shares of the business services provider's stock valued at $44,000 after acquiring an additional 477 shares during the last quarter. Caitong International Asset Management Co. Ltd purchased a new stake in shares of ABM Industries during the 1st quarter valued at about $45,000. Virtus Advisers LLC purchased a new stake in shares of ABM Industries during the 1st quarter valued at about $64,000. Finally, Palouse Capital Management Inc. boosted its holdings in shares of ABM Industries by 17.4% during the 1st quarter. Palouse Capital Management Inc. now owns 3,016 shares of the business services provider's stock valued at $143,000 after acquiring an additional 446 shares during the last quarter. Hedge funds and other institutional investors own 91.62% of the company's stock.

ABM Industries Stock Performance

Shares of ABM Industries stock traded up $0.30 during trading hours on Wednesday, reaching $45.08. 603,975 shares of the stock traded hands, compared to its average volume of 646,181. The company has a 50 day moving average price of $47.72 and a 200 day moving average price of $48.11. The firm has a market capitalization of $2.76 billion, a price-to-earnings ratio of 24.50 and a beta of 0.80. ABM Industries Incorporated has a one year low of $40.85 and a one year high of $59.15. 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 (NYSE:ABM - Get Free Report) last released its quarterly earnings results on Friday, September 5th. The business services provider reported $0.82 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.95 by ($0.13). The firm had revenue of $2.22 billion for the quarter, compared to the consensus estimate of $2.16 billion. ABM Industries had a net margin of 1.34% and a return on equity of 12.12%. The company's revenue for the quarter was up 6.2% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.94 earnings per share. ABM Industries has set its FY 2025 guidance at 3.650-3.650 EPS. On average, equities research analysts expect that ABM Industries Incorporated will post 3.71 earnings per share for the current fiscal year.

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

ABM Industries Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 3rd. Investors of record on Thursday, October 2nd will be paid a dividend of $0.265 per share. The ex-dividend date is Thursday, October 2nd. This represents a $1.06 dividend on an annualized basis and a dividend yield of 2.4%. ABM Industries's payout ratio is 57.61%.

Insider Activity

In related news, COO Rene Jacobsen sold 17,250 shares of the business's stock in a transaction that occurred on Monday, July 7th. The stock was sold at an average price of $48.03, for a total transaction of $828,517.50. Following the completion of the transaction, the chief operating officer directly owned 71,256 shares in the company, valued at approximately $3,422,425.68. The trade was a 19.49% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 0.90% of the company's stock.

Wall Street Analyst Weigh In

ABM has been the topic of a number of recent analyst reports. Baird R W downgraded shares of ABM Industries from a "strong-buy" rating to a "hold" rating in a report on Monday, September 8th. Wall Street Zen downgraded shares of ABM Industries from a "buy" rating to a "hold" rating in a report on Saturday, July 26th. Robert W. Baird reaffirmed a "neutral" rating and set a $54.00 price target (down previously from $56.00) on shares of ABM Industries in a report on Monday, September 8th. Truist Financial raised shares of ABM Industries from a "hold" rating to a "buy" rating and raised their price target for the company from $55.00 to $58.00 in a report on Wednesday, July 2nd. Finally, UBS Group boosted their price target on ABM Industries from $54.00 to $55.00 and gave the company a "buy" rating in a research note on Monday, September 8th. Two research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $55.67.

ABM Industries Profile

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.