ABM Industries (NYSE:ABM) Given Neutral Rating at Robert W. Baird

Robert W. Baird reaffirmed their neutral rating on shares of ABM Industries (NYSE:ABM) in a research note issued to investors on Monday, MarketBeat Ratings reports. The brokerage currently has a $54.00 price target on the business services provider’s stock, down from their prior price target of $56.00.

ABM has been the topic of several other research reports. UBS Group raised ABM Industries from a “neutral” rating to a “buy” rating and lifted their target price for the company from $50.00 to $54.00 in a research report on Monday, June 9th. Truist Financial raised ABM Industries from a “hold” rating to a “buy” rating and lifted their target price for the company from $55.00 to $58.00 in a research report on Wednesday, July 2nd. Baird R W raised ABM Industries from a “hold” rating to a “strong-buy” rating in a research report on Monday, June 9th. Finally, Wall Street Zen cut ABM Industries from a “buy” rating to a “hold” rating in a research report on Saturday, July 26th. Two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, ABM Industries currently has an average rating of “Moderate Buy” and an average target price of $55.67.

ABM Industries Stock Performance

ABM opened at $45.95 on Monday. The firm has a market cap of $2.81 billion, a P/E ratio of 24.97 and a beta of 0.80. ABM Industries has a 52-week low of $40.85 and a 52-week high of $59.15. The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.55 and a current ratio of 1.49. The business’s fifty day moving average is $47.97 and its 200-day moving average is $48.39.

ABM Industries (NYSE:ABM) last released its quarterly earnings data 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 business had revenue of $2.22 billion during the quarter, compared to analyst estimates of $2.16 billion. ABM Industries had a net margin of 1.34% and a return on equity of 12.12%. The business’s quarterly revenue was up 6.2% compared to the same quarter last year. During the same period last year, the business earned $0.94 earnings per share. ABM Industries has set its FY 2025 guidance at 3.650-3.650 EPS. Sell-side analysts expect that ABM Industries will post 3.71 EPS for the current fiscal year.

ABM Industries announced that its board has initiated a share repurchase plan on Friday, September 5th that authorizes the company to buyback $150.00 million in outstanding shares. This buyback authorization authorizes the business services provider to repurchase up to 5% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its stock is undervalued.

ABM Industries Announces Dividend

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

Insider Activity at ABM Industries

In other ABM Industries news, COO Rene Jacobsen sold 17,250 shares of the stock in a transaction 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 sale, the chief operating officer directly owned 71,256 shares in the company, valued at approximately $3,422,425.68. This trade represents a 19.49% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Thomas M. Gartland sold 3,711 shares of the stock in a transaction on Friday, June 13th. The shares were sold at an average price of $45.52, for a total value of $168,924.72. Following the sale, the director owned 30,958 shares in the company, valued at approximately $1,409,208.16. This represents a 10.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.90% of the company’s stock.

Hedge Funds Weigh In On ABM Industries

Institutional investors and hedge funds have recently modified their holdings of the company. Invesco Ltd. lifted its position in ABM Industries by 1.6% during the second quarter. Invesco Ltd. now owns 1,815,590 shares of the business services provider’s stock valued at $85,714,000 after purchasing an additional 28,664 shares in the last quarter. American Century Companies Inc. lifted its position in ABM Industries by 1.5% during the second quarter. American Century Companies Inc. now owns 1,615,135 shares of the business services provider’s stock valued at $76,251,000 after purchasing an additional 24,638 shares in the last quarter. Geode Capital Management LLC lifted its position in ABM Industries by 0.7% during the second quarter. Geode Capital Management LLC now owns 1,502,219 shares of the business services provider’s stock valued at $70,928,000 after purchasing an additional 10,182 shares in the last quarter. LSV Asset Management lifted its position in ABM Industries by 1.2% during the second quarter. LSV Asset Management now owns 1,402,702 shares of the business services provider’s stock valued at $66,222,000 after purchasing an additional 16,530 shares in the last quarter. Finally, Pzena Investment Management LLC lifted its position in ABM Industries by 13.5% during the second quarter. Pzena Investment Management LLC now owns 963,943 shares of the business services provider’s stock valued at $45,508,000 after purchasing an additional 114,485 shares in the last quarter. 91.62% of the stock is currently owned by hedge funds and other institutional investors.

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.