ABM INDUSTRIES INC (ABM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ABM - US0009571003 - Common Stock
45.26 USD
+0.22 (+0.49%)
44.8501 USD
-0.41 (-0.91%)
Overall ABM gets a fundamental rating of 5 out of 10. We evaluated ABM against 80 industry peers in the Commercial Services & Supplies industry. Both the profitability and the financial health of ABM get a neutral evaluation. Nothing too spectacular is happening here. ABM is valued quite cheap, while showing a decent growth score. This is a good combination! Finally ABM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year ABM was profitable.
- ABM had a positive operating cash flow in the past year.
- Each year in the past 5 years ABM has been profitable.
- Each year in the past 5 years ABM had a positive operating cash flow.
1.2 Ratios
- ABM's Return On Assets of 3.08% is fine compared to the rest of the industry. ABM outperforms 63.75% of its industry peers.
- Looking at the Return On Equity, with a value of 9.09%, ABM is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
- ABM has a Return On Invested Capital (5.53%) which is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for ABM is below the industry average of 10.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 9.09% | ||
| ROIC | 5.53% |
ROA(3y)3.26%
ROA(5y)3.47%
ROE(3y)9.21%
ROE(5y)9.78%
ROIC(3y)5.59%
ROIC(5y)5.54%
1.3 Margins
- ABM's Profit Margin of 1.86% is in line compared to the rest of the industry. ABM outperforms 55.00% of its industry peers.
- In the last couple of years the Profit Margin of ABM has grown nicely.
- ABM has a Operating Margin (3.72%) which is in line with its industry peers.
- ABM's Operating Margin has declined in the last couple of years.
- ABM has a worse Gross Margin (12.29%) than 85.00% of its industry peers.
- ABM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.72% | ||
| PM (TTM) | 1.86% | ||
| GM | 12.29% |
OM growth 3Y-5.26%
OM growth 5Y-4.22%
PM growth 3Y-14.31%
PM growth 5Y226.42%
GM growth 3Y-2.09%
GM growth 5Y-2.38%
2. Health
2.1 Basic Checks
- ABM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ABM has less shares outstanding than it did 1 year ago.
- ABM has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, ABM has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.85 indicates that ABM is not a great score, but indicates only limited risk for bankruptcy at the moment.
- ABM has a Altman-Z score of 2.85. This is in the better half of the industry: ABM outperforms 61.25% of its industry peers.
- ABM has a debt to FCF ratio of 10.10. This is a negative value and a sign of low solvency as ABM would need 10.10 years to pay back of all of its debts.
- ABM has a Debt to FCF ratio (10.10) which is comparable to the rest of the industry.
- ABM has a Debt/Equity ratio of 0.86. This is a neutral value indicating ABM is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.86, ABM is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 10.1 | ||
| Altman-Z | 2.85 |
ROIC/WACC0.7
WACC7.85%
2.3 Liquidity
- A Current Ratio of 1.48 indicates that ABM should not have too much problems paying its short term obligations.
- The Current ratio of ABM (1.48) is comparable to the rest of the industry.
- ABM has a Quick Ratio of 1.48. This is a normal value and indicates that ABM is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of ABM (1.48) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.48 |
3. Growth
3.1 Past
- ABM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.92%.
- The Earnings Per Share has been growing slightly by 7.14% on average over the past years.
- ABM shows a small growth in Revenue. In the last year, the Revenue has grown by 4.62%.
- ABM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.87% yearly.
EPS 1Y (TTM)-3.92%
EPS 3Y-2.14%
EPS 5Y7.14%
EPS Q2Q%-2.22%
Revenue 1Y (TTM)4.62%
Revenue growth 3Y3.86%
Revenue growth 5Y7.87%
Sales Q2Q%5.42%
3.2 Future
- Based on estimates for the next years, ABM will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.00% on average per year.
- The Revenue is expected to grow by 3.73% on average over the next years.
EPS Next Y16.83%
EPS Next 2Y13.9%
EPS Next 3Y10%
EPS Next 5YN/A
Revenue Next Year4.96%
Revenue Next 2Y4.22%
Revenue Next 3Y3.73%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- ABM is valuated correctly with a Price/Earnings ratio of 13.20.
- Based on the Price/Earnings ratio, ABM is valued cheaper than 85.00% of the companies in the same industry.
- When comparing the Price/Earnings ratio of ABM to the average of the S&P500 Index (27.38), we can say ABM is valued rather cheaply.
- With a Price/Forward Earnings ratio of 11.29, the valuation of ABM can be described as very reasonable.
- 90.00% of the companies in the same industry are more expensive than ABM, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. ABM is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.2 | ||
| Fwd PE | 11.29 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ABM is valued a bit cheaper than the industry average as 66.25% of the companies are valued more expensively.
- 76.25% of the companies in the same industry are more expensive than ABM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.87 | ||
| EV/EBITDA | 9.83 |
4.3 Compensation for Growth
- ABM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.78
PEG (5Y)1.85
EPS Next 2Y13.9%
EPS Next 3Y10%
5. Dividend
5.1 Amount
- ABM has a Yearly Dividend Yield of 2.58%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 0.83, ABM pays a better dividend. On top of this ABM pays more dividend than 87.50% of the companies listed in the same industry.
- ABM's Dividend Yield is a higher than the S&P500 average which is at 1.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
5.2 History
- On average, the dividend of ABM grows each year by 7.71%, which is quite nice.
- ABM has been paying a dividend for at least 10 years, so it has a reliable track record.
- ABM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.71%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- 40.39% of the earnings are spent on dividend by ABM. This is a bit on the high side, but may be sustainable.
- ABM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP40.39%
EPS Next 2Y13.9%
EPS Next 3Y10%
45.26
+0.22 (+0.49%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)12-17 2025-12-17/bmo
Earnings (Next)03-10 2026-03-10
Inst Owners102.29%
Inst Owner Change-1.06%
Ins Owners1.28%
Ins Owner Change5.74%
Market Cap2.77B
Revenue(TTM)8.75B
Net Income(TTM)162.40M
Analysts73.33
Price Target55.08 (21.7%)
Short Float %2.9%
Short Ratio2.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
Yearly Dividend1.07
Dividend Growth(5Y)7.71%
DP40.39%
Div Incr Years4
Div Non Decr Years4
Ex-Date01-14 2026-01-14 (0.29)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-17.1%
Min EPS beat(2)-19.79%
Max EPS beat(2)-14.41%
EPS beat(4)1
Avg EPS beat(4)-6.23%
Min EPS beat(4)-19.79%
Max EPS beat(4)10.43%
EPS beat(8)5
Avg EPS beat(8)1.64%
EPS beat(12)8
Avg EPS beat(12)1.28%
EPS beat(16)11
Avg EPS beat(16)2.65%
Revenue beat(2)2
Avg Revenue beat(2)1.25%
Min Revenue beat(2)0.06%
Max Revenue beat(2)2.44%
Revenue beat(4)4
Avg Revenue beat(4)1.02%
Min Revenue beat(4)0.06%
Max Revenue beat(4)2.44%
Revenue beat(8)7
Avg Revenue beat(8)1.41%
Revenue beat(12)8
Avg Revenue beat(12)0.77%
Revenue beat(16)11
Avg Revenue beat(16)1.07%
PT rev (1m)-6.9%
PT rev (3m)-6.9%
EPS NQ rev (1m)-2.09%
EPS NQ rev (3m)-2.09%
EPS NY rev (1m)-1.59%
EPS NY rev (3m)-1.59%
Revenue NQ rev (1m)0.18%
Revenue NQ rev (3m)0.18%
Revenue NY rev (1m)1.7%
Revenue NY rev (3m)1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.2 | ||
| Fwd PE | 11.29 | ||
| P/S | 0.32 | ||
| P/FCF | 17.87 | ||
| P/OCF | 11.82 | ||
| P/B | 1.55 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.83 |
EPS(TTM)3.43
EY7.58%
EPS(NY)4.01
Fwd EY8.85%
FCF(TTM)2.53
FCFY5.6%
OCF(TTM)3.83
OCFY8.46%
SpS142.84
BVpS29.16
TBVpS-17.13
PEG (NY)0.78
PEG (5Y)1.85
Graham Number47.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 9.09% | ||
| ROCE | 8.2% | ||
| ROIC | 5.53% | ||
| ROICexc | 5.67% | ||
| ROICexgc | 21.36% | ||
| OM | 3.72% | ||
| PM (TTM) | 1.86% | ||
| GM | 12.29% | ||
| FCFM | 1.77% |
ROA(3y)3.26%
ROA(5y)3.47%
ROE(3y)9.21%
ROE(5y)9.78%
ROIC(3y)5.59%
ROIC(5y)5.54%
ROICexc(3y)5.71%
ROICexc(5y)5.66%
ROICexgc(3y)23.68%
ROICexgc(5y)28.56%
ROCE(3y)8.29%
ROCE(5y)8.23%
ROICexgc growth 3Y-18.69%
ROICexgc growth 5Y-11.06%
ROICexc growth 3Y-5.28%
ROICexc growth 5Y-6.08%
OM growth 3Y-5.26%
OM growth 5Y-4.22%
PM growth 3Y-14.31%
PM growth 5Y226.42%
GM growth 3Y-2.09%
GM growth 5Y-2.38%
F-Score7
Asset Turnover1.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 10.1 | ||
| Debt/EBITDA | 3.57 | ||
| Cap/Depr | 75.09% | ||
| Cap/Sales | 0.91% | ||
| Interest Coverage | 3.26 | ||
| Cash Conversion | 54.42% | ||
| Profit Quality | 95.5% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.48 | ||
| Altman-Z | 2.85 |
F-Score7
WACC7.85%
ROIC/WACC0.7
Cap/Depr(3y)61.56%
Cap/Depr(5y)53.98%
Cap/Sales(3y)0.81%
Cap/Sales(5y)0.73%
Profit Quality(3y)124%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.92%
EPS 3Y-2.14%
EPS 5Y7.14%
EPS Q2Q%-2.22%
EPS Next Y16.83%
EPS Next 2Y13.9%
EPS Next 3Y10%
EPS Next 5YN/A
Revenue 1Y (TTM)4.62%
Revenue growth 3Y3.86%
Revenue growth 5Y7.87%
Sales Q2Q%5.42%
Revenue Next Year4.96%
Revenue Next 2Y4.22%
Revenue Next 3Y3.73%
Revenue Next 5YN/A
EBIT growth 1Y53.35%
EBIT growth 3Y-1.6%
EBIT growth 5Y3.32%
EBIT Next Year40.67%
EBIT Next 3Y13.44%
EBIT Next 5YN/A
FCF growth 1Y-7.29%
FCF growth 3YN/A
FCF growth 5Y-18.04%
OCF growth 1Y3.4%
OCF growth 3Y125.65%
OCF growth 5Y-12.52%
ABM INDUSTRIES INC / ABM FAQ
What is the ChartMill fundamental rating of ABM INDUSTRIES INC (ABM) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ABM.
What is the valuation status of ABM INDUSTRIES INC (ABM) stock?
ChartMill assigns a valuation rating of 7 / 10 to ABM INDUSTRIES INC (ABM). This can be considered as Undervalued.
How profitable is ABM INDUSTRIES INC (ABM) stock?
ABM INDUSTRIES INC (ABM) has a profitability rating of 4 / 10.
How financially healthy is ABM INDUSTRIES INC?
The financial health rating of ABM INDUSTRIES INC (ABM) is 4 / 10.
Is the dividend of ABM INDUSTRIES INC sustainable?
The dividend rating of ABM INDUSTRIES INC (ABM) is 7 / 10 and the dividend payout ratio is 40.39%.