ABM Industries (NYSE:ABM) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued to investors on Monday.
According to Zacks, “ABM has developed a platform to deliver an end-to-end service model to its clients by realigning its operational structure to an on-site, mobile and on-demand market based structure. This realignment has improved its long-term growth prospects and higher margin opportunities by enabling it to better deliver end-to-end services to its clients. ABM remains focused on driving sustainable profitability by effectively allocating resources to high margin services and business verticals with a strong competitive edge. However, ABM has underperformed the industry in the last three months due to macroeconomic concerns. The company is likely to be stifled by the renegotiated deals and restrictions imposed on trade with other European Union members post Brexit referendum. Strong competitive pressures could further limit ABM’s success rate in bidding for profitable businesses and its ability to increase prices in accordance with rising costs.”
Separately, TheStreet downgraded shares of ABM Industries from a “b” rating to a “c+” rating in a report on Friday, December 29th. One research analyst has rated the stock with a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. ABM Industries has an average rating of “Buy” and an average price target of $48.50.
ABM Industries (NYSE:ABM) last announced its quarterly earnings results on Wednesday, December 13th. The business services provider reported $0.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.49 by ($0.12). The company had revenue of $1.50 billion for the quarter, compared to analysts’ expectations of $1.49 billion. ABM Industries had a net margin of 0.07% and a return on equity of 9.74%. The business’s revenue was up 13.3% compared to the same quarter last year. During the same period in the previous year, the business earned $0.51 EPS. equities research analysts forecast that ABM Industries will post 2.1 EPS for the current fiscal year.
In related news, Director Linda Chavez sold 2,103 shares of the firm’s stock in a transaction that occurred on Friday, January 12th. The shares were sold at an average price of $38.89, for a total value of $81,785.67. Following the transaction, the director now owns 16,557 shares of the company’s stock, valued at $643,901.73. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.81% of the company’s stock.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Strs Ohio raised its stake in ABM Industries by 4.0% during the 3rd quarter. Strs Ohio now owns 31,000 shares of the business services provider’s stock worth $1,293,000 after acquiring an additional 1,200 shares during the period. Independent Advisor Alliance raised its stake in ABM Industries by 14.4% during the 3rd quarter. Independent Advisor Alliance now owns 14,697 shares of the business services provider’s stock worth $629,000 after acquiring an additional 1,852 shares during the period. New York State Common Retirement Fund raised its stake in ABM Industries by 1.6% during the 3rd quarter. New York State Common Retirement Fund now owns 123,585 shares of the business services provider’s stock worth $5,155,000 after acquiring an additional 1,949 shares during the period. Baker Ellis Asset Management LLC raised its stake in ABM Industries by 13.6% during the 4th quarter. Baker Ellis Asset Management LLC now owns 16,875 shares of the business services provider’s stock worth $637,000 after acquiring an additional 2,025 shares during the period. Finally, Parametric Portfolio Associates LLC raised its stake in ABM Industries by 1.2% during the 2nd quarter. Parametric Portfolio Associates LLC now owns 185,328 shares of the business services provider’s stock worth $7,695,000 after acquiring an additional 2,255 shares during the period. Institutional investors own 95.02% of the company’s stock.
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About ABM Industries
ABM Industries Incorporated is a provider of integrated facility solutions. The Company operates through five segments: Janitorial, Facility Services, Parking, Building & Energy Solutions, and other. Its Janitorial segment provides a range of cleaning services for commercial office buildings, data centers, educational institutions, government buildings, health facilities, industrial buildings, retail stores, sport event facilities and transportation hubs.
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