Zacks Investment Research downgraded shares of ABM Industries (NYSE:ABM) from a hold rating to a sell rating in a research report report published on Wednesday, Zacks.com reports.
According to Zacks, “ABM Industries continues to grapple with a difficult labor environment that is likely to persist through 2019. Increasing expenses are likely to weigh on ABM Industries bottom line. High debt may limit the company’s future expansion and worsen its risk profile. On the flip side, the company has embarked on its 2020 Vision that outlines its vision for the next five years. These systematic and strategic plans of actions are likely to drive long-term profitable growth for ABM through an industry-based go-to-market approach. ABM’s strategy entails growth through strategic acquisitions while maintaining desirable profit margins. The company is consistent in rewarding its shareholders. In the past six months, the stock has outperformed its industry.”
Other research analysts have also issued reports about the company. Maxim Group began coverage on ABM Industries in a research report on Thursday, February 14th. They set a buy rating and a $45.00 price target on the stock. KeyCorp began coverage on ABM Industries in a research report on Friday, April 5th. They set a sector weight rating and a $36.83 price target on the stock. Robert W. Baird dropped their price target on ABM Industries from $35.00 to $31.00 and set a neutral rating on the stock in a research report on Wednesday, December 19th. TheStreet raised ABM Industries from a c+ rating to a b- rating in a research report on Wednesday, January 16th. Finally, CL King lowered ABM Industries from a buy rating to a neutral rating in a research report on Friday, January 11th. Two investment analysts have rated the stock with a sell rating, three have given a hold rating and two have issued a buy rating to the stock. The company has an average rating of Hold and an average price target of $40.46.
Shares of NYSE ABM opened at $37.37 on Wednesday. ABM Industries has a 12 month low of $25.64 and a 12 month high of $37.80. The firm has a market cap of $2.48 billion, a PE ratio of 19.36 and a beta of 0.56. The company has a debt-to-equity ratio of 0.65, a current ratio of 1.54 and a quick ratio of 1.54.
ABM Industries (NYSE:ABM) last announced its earnings results on Wednesday, March 6th. The business services provider reported $0.31 EPS for the quarter, beating the consensus estimate of $0.27 by $0.04. ABM Industries had a return on equity of 8.87% and a net margin of 1.28%. The business had revenue of $1.61 billion during the quarter, compared to the consensus estimate of $1.61 billion. During the same period in the prior year, the business posted $0.26 earnings per share. ABM Industries’s revenue was up 1.2% compared to the same quarter last year. On average, research analysts anticipate that ABM Industries will post 1.95 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which will be paid on Monday, May 6th. Shareholders of record on Thursday, April 4th will be given a $0.18 dividend. This represents a $0.72 annualized dividend and a yield of 1.93%. The ex-dividend date of this dividend is Wednesday, April 3rd. ABM Industries’s payout ratio is currently 38.10%.
In other ABM Industries news, COO Scott J. Giacobbe sold 7,143 shares of the company’s stock in a transaction dated Monday, April 1st. The stock was sold at an average price of $36.90, for a total value of $263,576.70. Following the transaction, the chief operating officer now directly owns 76,545 shares of the company’s stock, valued at approximately $2,824,510.50. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Diego Anthony Scaglione sold 2,857 shares of the company’s stock in a transaction dated Tuesday, February 12th. The stock was sold at an average price of $36.31, for a total value of $103,737.67. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 12,856 shares of company stock worth $473,872. Insiders own 0.94% of the company’s stock.
A number of hedge funds have recently modified their holdings of ABM. Bank of New York Mellon Corp increased its position in ABM Industries by 1.1% in the 3rd quarter. Bank of New York Mellon Corp now owns 980,646 shares of the business services provider’s stock worth $31,626,000 after purchasing an additional 10,251 shares during the last quarter. JPMorgan Chase & Co. boosted its stake in shares of ABM Industries by 1.0% during the 3rd quarter. JPMorgan Chase & Co. now owns 283,723 shares of the business services provider’s stock worth $9,150,000 after acquiring an additional 2,747 shares in the last quarter. Riverhead Capital Management LLC boosted its stake in shares of ABM Industries by 47.0% during the 3rd quarter. Riverhead Capital Management LLC now owns 7,504 shares of the business services provider’s stock worth $242,000 after acquiring an additional 2,400 shares in the last quarter. Man Group plc bought a new stake in shares of ABM Industries during the 3rd quarter worth about $387,000. Finally, Putnam Investments LLC bought a new stake in shares of ABM Industries during the 3rd quarter worth about $2,412,000.
ABM Industries Company Profile
ABM Industries Incorporated provides integrated facility solutions in the United States and internationally. It operates through Business & Industry, Aviation, Technology & Manufacturing, Education, Technical Solutions, and Healthcare segments. The company offers janitorial, electrical and lighting, energy, facilities engineering, HVAC and mechanical, landscape and turf, mission critical, and parking solutions.
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