UBS Group Boosts ABM Industries (NYSE:ABM) Price Target to $55.00

Key Points

• UBS Group raised its price target for ABM Industries from $54.00 to $55.00, indicating a potential upside of 13.95% from the current stock price.
• Truist Financial upgraded ABM's rating from "hold" to "buy" and increased its price target to $58.00, while other firms have varied in their ratings between "buy," "hold," and "strong-buy."
• ABM Industries recently announced a share buyback plan for $150 million, representing a potential signal of company management's belief that the stock is undervalued.

ABM Industries (NYSE:ABM - Get Free Report) had its price objective lifted by equities researchers at UBS Group from $54.00 to $55.00 in a research report issued to clients and investors on Monday,Benzinga reports. The brokerage currently has a "buy" rating on the business services provider's stock. UBS Group's price target would indicate a potential upside of 13.95% from the stock's current price.

A number of other equities research analysts have also recently commented on the company. Truist Financial upgraded ABM Industries from a "hold" rating to a "buy" rating and lifted their target price for the stock from $55.00 to $58.00 in a research note on Wednesday, July 2nd. Wall Street Zen cut ABM Industries from a "buy" rating to a "hold" rating in a research note on Saturday, July 26th. Baird R W upgraded ABM Industries from a "hold" rating to a "strong-buy" rating in a research note on Monday, June 9th. Finally, Robert W. Baird reiterated a "neutral" rating and set a $54.00 target price (down from $56.00) on shares of ABM Industries in a research note on Monday. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Buy" and a consensus price target of $55.67.

ABM Industries Price Performance

ABM opened at $48.27 on Monday. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.49 and a quick ratio of 1.55. The company has a market capitalization of $3.01 billion, a price-to-earnings ratio of 26.23 and a beta of 0.80. The firm's fifty day moving average price is $48.06 and its two-hundred day moving average price is $48.46. ABM Industries has a 1 year low of $40.85 and a 1 year high of $59.78.

ABM Industries (NYSE:ABM - Get Free Report) last posted its quarterly earnings data on Friday, September 5th. The business services provider reported $0.82 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 analysts' expectations of $2.16 billion. ABM Industries had a return on equity of 12.12% and a net margin of 1.34%.ABM Industries's revenue was up 6.2% compared to the same quarter last year. During the same period 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. As a group, analysts anticipate that ABM Industries will post 3.71 earnings per share for the current fiscal year.

ABM Industries declared that its board has authorized a share buyback plan on Friday, September 5th that authorizes the company to buyback $150.00 million in shares. This buyback authorization authorizes the business services provider to buy up to 5% of its shares through open market purchases. Shares buyback plans are often a sign that the company's leadership believes its shares are undervalued.

Insider Transactions at ABM Industries

In other ABM Industries news, Director Thomas M. Gartland sold 3,711 shares of ABM Industries stock in a transaction dated Friday, June 13th. The stock was sold at an average price of $45.52, for a total transaction of $168,924.72. Following the completion of the transaction, the director owned 30,958 shares of the company's stock, valued at $1,409,208.16. The trade was a 10.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, COO Rene Jacobsen sold 17,250 shares of ABM Industries stock in a transaction dated Monday, July 7th. The shares were sold at an average price of $48.03, for a total value of $828,517.50. Following the transaction, the chief operating officer directly owned 71,256 shares of the company's stock, valued at $3,422,425.68. The trade was a 19.49% decrease in their position. The disclosure for this sale can be found here. 0.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Summit Securities Group LLC purchased a new position in ABM Industries during the 1st quarter valued at about $38,000. Federated Hermes Inc. grew its holdings in shares of ABM Industries by 107.7% during the first quarter. Federated Hermes Inc. now owns 920 shares of the business services provider's stock worth $44,000 after purchasing an additional 477 shares in the last quarter. Caitong International Asset Management Co. Ltd purchased a new position in shares of ABM Industries during the first quarter worth about $45,000. Kiker Wealth Management LLC purchased a new position in shares of ABM Industries during the second quarter worth about $61,000. Finally, Virtus Advisers LLC purchased a new position in shares of ABM Industries during the first quarter worth about $64,000. Hedge funds and other institutional investors own 91.62% of the company's stock.

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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