Strs Ohio Makes New $1 Million Investment in ABM Industries Incorporated $ABM

Key Points

• Strs Ohio acquired a new stake in ABM Industries, purchasing 21,200 shares valued at approximately $1,004,000, highlighting ongoing interest from institutional investors.
• ABM Industries missed earnings estimates with $0.82 per share against a $0.95 forecast, despite reporting a year-over-year revenue increase of 6.2%.
• The company has approved a $150 million stock buyback plan, indicating the board's belief that the stock is undervalued, alongside a quarterly dividend of $0.265 per share.

Strs Ohio bought a new stake in ABM Industries Incorporated (NYSE:ABM - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 21,200 shares of the business services provider's stock, valued at approximately $1,004,000.

Several other institutional investors and hedge funds have also bought and sold shares of ABM. Summit Securities Group LLC bought a new position in shares of ABM Industries in the 1st quarter worth approximately $38,000. Federated Hermes Inc. raised its stake in ABM Industries by 107.7% during the 1st quarter. Federated Hermes Inc. now owns 920 shares of the business services provider's stock worth $44,000 after acquiring an additional 477 shares during the period. Caitong International Asset Management Co. Ltd bought a new position in shares of ABM Industries in the first quarter worth about $45,000. Virtus Advisers LLC bought a new stake in shares of ABM Industries during the first quarter valued at approximately $64,000. Finally, Palouse Capital Management Inc. lifted its stake 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 in the last quarter. 91.62% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

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

Insider Activity

In other news, COO Rene Jacobsen sold 17,250 shares of the business's stock in a transaction on Monday, July 7th. The shares were 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 owned 71,256 shares of the company's stock, valued at approximately $3,422,425.68. The trade was a 19.49% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Company insiders own 0.90% of the company's stock.

ABM Industries Stock Up 1.7%

ABM traded up $0.76 on Monday, hitting $45.79. 690,344 shares of the company were exchanged, compared to its average volume of 710,056. The company has a current ratio of 1.49, a quick ratio of 1.49 and a debt-to-equity ratio of 0.82. ABM Industries Incorporated has a twelve month low of $40.85 and a twelve month high of $59.15. The company has a market cap of $2.80 billion, a price-to-earnings ratio of 24.89 and a beta of 0.80. The firm has a 50-day moving average price of $47.50 and a two-hundred day moving average price of $47.88.

ABM Industries (NYSE:ABM - Get Free Report) last announced its earnings results on Friday, September 5th. The business services provider reported $0.82 earnings per share for the quarter, missing the consensus estimate of $0.95 by ($0.13). The company had revenue of $2.22 billion during the quarter, compared to analysts' expectations 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 last year, the business posted $0.94 earnings per share. ABM Industries has set its FY 2025 guidance at 3.650-3.650 EPS. On average, equities analysts predict that ABM Industries Incorporated will post 3.71 earnings per share for the current year.

ABM Industries Dividend Announcement

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

ABM Industries declared that its board has authorized a stock repurchase program on Friday, September 5th that permits the company to repurchase $150.00 million in outstanding shares. This repurchase authorization permits the business services provider to purchase up to 5% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company's board of directors believes its stock is undervalued.

ABM Industries Company 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.