ABM Industries Incorporated (ABM) AI Stock Analysis

ABM Industries Incorporated provides integrated facility, infrastructure, and mobility solutions across the United States and internationally. It operates through segments including Business & Industry, Manufacturing & Distribution, Education, Aviation, and Technical Solutions. ABM offers janitorial services, facilities engineering, and parking services for commercial real estate properties like corporate offices, sports venues, and healthcare facilities. It also provides vehicle maintenance to rental car providers. The company extends engineering and specialized facility services to manufacturing, distribution, and data center facilities, and delivers electric vehicle power design, installation, and microgrid systems. In education, it supplies custodial, landscaping, and grounds maintenance services.

ABM increased revenue from $6.23B in FY2021 to $8.75B in FY2025, achieving a 5-year revenue CAGR of 7.9%. Revenue grew 25.3% in FY2022, 3.7% in FY2023, 3.2% in FY2024, and 4.6% in FY2025. Gross margin moved from 15.6% in FY2021 to 11.7% in FY2025, while operating margin ended at 3.7% in FY2025 compared to 3.3% in FY2021. Annual net income was $162.4M in FY2025, up from $81.4M in FY2024. For the latest quarter ended July 31, 2026, quarterly revenue increased 4.2% year-over-year and quarterly earnings grew 25.6%. Trailing twelve-month revenue reached $9.15B with a profit margin of 1.8%.

As of July 31, 2026, ABM held $110.5M in cash and short-term investments against total debt of $1.88B, resulting in net debt of $1.77B. The company reported a current ratio of 1.42, shareholders' equity of $1.79B, and a debt-to-equity ratio of 1.05. In FY2025, operating cash flow was $234.4M and free cash flow was $155.1M. Cash deployment during FY2025 included $79.3M in capital expenditures, $122.2M in share buybacks, and $65.6M in dividends paid, contributing to a 13.4% reduction in share count over five years.

ABM carries a market capitalization of $3.00B and an enterprise value of $4.68B. ABM trades at a trailing P/E of 18.5x and a forward P/E of 11.1x, both below the median of its US-listed Industrials peers of 24.8x and 17.2x, respectively. The stock's EV/EBITDA of 10.7x and price-to-sales ratio of 0.3x also sit below the peer medians of 13.9x and 1.5x. Over the past year, ABM's return of 17.5% slightly outpaced the S&P 500's return of 16.8%, though its 5-year return of 26.0% lagged the S&P 500's 83.0%.

ABM pays a forward annual dividend of $1.16 per share, providing a 2.27% dividend yield. The payout ratio stands at 31.8%, supported by quarterly dividend payments. ABM has paid dividends for 43 consecutive years and generated a 5-year annualized dividend growth rate of 13.8%, with its most recent ex-dividend date on October 1, 2026.

Wall Street analysts hold 2 Strong Buy, 1 Buy, and 5 Hold ratings on ABM, with no Sell or Strong Sell ratings. The consensus mean price target is $55.93, representing 9.3% upside over the last close of $51.15. For the fiscal year ending October 31, 2026, analysts project EPS of $4.01 and revenue of $9.22B. For the subsequent fiscal year, 8 analysts forecast EPS of $4.35 and revenue of $9.54B. ABM has beaten EPS estimates in 2 of the trailing 4 quarters.

This page is an AI-written research summary of ABM Industries Incorporated (ABM). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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