ABM INDUSTRIES INC (ABM) Fundamental Analysis & Valuation

NYSE:ABM • US0009571003

Current stock price

38.52 USD
+0.52 (+1.37%)
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38.52 USD
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This ABM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

5

1. ABM Profitability Analysis

1.1 Basic Checks

  • ABM had positive earnings in the past year.
  • ABM had a positive operating cash flow in the past year.
  • ABM had positive earnings in each of the past 5 years.
  • Each year in the past 5 years ABM had a positive operating cash flow.
ABM Yearly Net Income VS EBIT VS OCF VS FCFABM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M 200M 300M 400M

1.2 Ratios

  • ABM's Return On Assets of 2.98% is fine compared to the rest of the industry. ABM outperforms 65.85% of its industry peers.
  • ABM has a better Return On Equity (9.14%) than 68.29% of its industry peers.
  • With a decent Return On Invested Capital value of 5.51%, ABM is doing good in the industry, outperforming 60.98% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for ABM is below the industry average of 10.18%.
Industry RankSector Rank
ROA 2.98%
ROE 9.14%
ROIC 5.51%
ROA(3y)3.26%
ROA(5y)3.47%
ROE(3y)9.21%
ROE(5y)9.78%
ROIC(3y)5.59%
ROIC(5y)5.54%
ABM Yearly ROA, ROE, ROICABM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6 8 10

1.3 Margins

  • With a Profit Margin value of 1.78%, ABM perfoms like the industry average, outperforming 59.76% of the companies in the same industry.
  • ABM's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 3.67%, ABM is in line with its industry, outperforming 50.00% of the companies in the same industry.
  • In the last couple of years the Operating Margin of ABM has declined.
  • ABM has a Gross Margin of 12.12%. This is amonst the worse of the industry: ABM underperforms 86.59% of its industry peers.
  • In the last couple of years the Gross Margin of ABM has declined.
Industry RankSector Rank
OM 3.67%
PM (TTM) 1.78%
GM 12.12%
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%
ABM Yearly Profit, Operating, Gross MarginsABM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

5

2. ABM Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ABM is destroying value.
  • The number of shares outstanding for ABM has been reduced compared to 1 year ago.
  • Compared to 5 years ago, ABM has less shares outstanding
  • The debt/assets ratio for ABM is higher compared to a year ago.
ABM Yearly Shares OutstandingABM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M
ABM Yearly Total Debt VS Total AssetsABM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

2.2 Solvency

  • An Altman-Z score of 2.77 indicates that ABM is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • ABM has a better Altman-Z score (2.77) than 63.41% of its industry peers.
  • The Debt to FCF ratio of ABM is 4.99, which is a neutral value as it means it would take ABM, 4.99 years of fcf income to pay off all of its debts.
  • ABM has a better Debt to FCF ratio (4.99) than 75.61% of its industry peers.
  • A Debt/Equity ratio of 0.93 indicates that ABM is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.93, ABM is doing worse than 60.98% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.93
Debt/FCF 4.99
Altman-Z 2.77
ROIC/WACC0.66
WACC8.41%
ABM Yearly LT Debt VS Equity VS FCFABM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B

2.3 Liquidity

  • ABM has a Current Ratio of 1.50. This is a normal value and indicates that ABM is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Current ratio value of 1.50, ABM perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
  • ABM has a Quick Ratio of 1.50. This is a normal value and indicates that ABM is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Quick ratio value of 1.50, ABM perfoms like the industry average, outperforming 59.76% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.5
Quick Ratio 1.5
ABM Yearly Current Assets VS Current LiabilitesABM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

4

3. ABM Growth Analysis

3.1 Past

  • The earnings per share for ABM have decreased by -5.31% in the last year.
  • ABM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.14% yearly.
  • Looking at the last year, ABM shows a small growth in Revenue. The Revenue has grown by 5.59% in the last year.
  • The Revenue has been growing slightly by 7.87% on average over the past years.
EPS 1Y (TTM)-5.31%
EPS 3Y-2.14%
EPS 5Y7.14%
EPS Q2Q%-4.6%
Revenue 1Y (TTM)5.59%
Revenue growth 3Y3.86%
Revenue growth 5Y7.87%
Sales Q2Q%6.08%

3.2 Future

  • ABM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.00% yearly.
  • ABM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.96% yearly.
EPS Next Y17.45%
EPS Next 2Y13.2%
EPS Next 3Y10%
EPS Next 5YN/A
Revenue Next Year5.21%
Revenue Next 2Y4.33%
Revenue Next 3Y3.96%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
ABM Yearly Revenue VS EstimatesABM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2B 4B 6B 8B
ABM Yearly EPS VS EstimatesABM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3 4

8

4. ABM Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 11.36, which indicates a very decent valuation of ABM.
  • ABM's Price/Earnings ratio is rather cheap when compared to the industry. ABM is cheaper than 86.59% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 25.61, ABM is valued rather cheaply.
  • ABM is valuated reasonably with a Price/Forward Earnings ratio of 8.76.
  • Based on the Price/Forward Earnings ratio, ABM is valued cheaper than 89.02% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.79, ABM is valued rather cheaply.
Industry RankSector Rank
PE 11.36
Fwd PE 8.76
ABM Price Earnings VS Forward Price EarningsABM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 74.39% of the companies in the same industry are more expensive than ABM, based on the Enterprise Value to EBITDA ratio.
  • 91.46% of the companies in the same industry are more expensive than ABM, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 6.89
EV/EBITDA 8.7
ABM Per share dataABM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100 150

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.65
PEG (5Y)1.59
EPS Next 2Y13.2%
EPS Next 3Y10%

7

5. ABM Dividend Analysis

5.1 Amount

  • ABM has a Yearly Dividend Yield of 3.09%. Purely for dividend investing, there may be better candidates out there.
  • ABM's Dividend Yield is rather good when compared to the industry average which is at 0.84. ABM pays more dividend than 89.02% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.89, ABM pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.09%

5.2 History

  • On average, the dividend of ABM grows each year by 7.71%, which is quite nice.
  • ABM has paid a dividend for at least 10 years, which is 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
ABM Yearly Dividends per shareABM Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8 1

5.3 Sustainability

  • 42.20% 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.
DP42.2%
EPS Next 2Y13.2%
EPS Next 3Y10%
ABM Yearly Income VS Free CF VS DividendABM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M 200M 300M 400M
ABM Dividend Payout.ABM Dividend Payout, showing the Payout Ratio.ABM Dividend Payout.PayoutRetained Earnings

ABM Fundamentals: All Metrics, Ratios and Statistics

ABM INDUSTRIES INC

NYSE:ABM (3/25/2026, 8:09:14 PM)

After market: 38.52 0 (0%)

38.52

+0.52 (+1.37%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)03-10
Earnings (Next)06-04
Inst Owners99.33%
Inst Owner Change-5.58%
Ins Owners1.66%
Ins Owner Change5.35%
Market Cap2.25B
Revenue(TTM)8.87B
Net Income(TTM)157.60M
Analysts71.67
Price Target53.04 (37.69%)
Short Float %3.85%
Short Ratio3.67
Dividend
Industry RankSector Rank
Dividend Yield 3.09%
Yearly Dividend1.07
Dividend Growth(5Y)7.71%
DP42.2%
Div Incr Years4
Div Non Decr Years4
Ex-Date01-14
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.8%
Min EPS beat(2)-19.79%
Max EPS beat(2)-5.81%
EPS beat(4)0
Avg EPS beat(4)-10.29%
Min EPS beat(4)-19.79%
Max EPS beat(4)-1.15%
EPS beat(8)4
Avg EPS beat(8)-1.5%
EPS beat(12)7
Avg EPS beat(12)0.62%
EPS beat(16)10
Avg EPS beat(16)1.05%
Revenue beat(2)2
Avg Revenue beat(2)0.69%
Min Revenue beat(2)0.06%
Max Revenue beat(2)1.33%
Revenue beat(4)4
Avg Revenue beat(4)1.33%
Min Revenue beat(4)0.06%
Max Revenue beat(4)2.44%
Revenue beat(8)7
Avg Revenue beat(8)1.36%
Revenue beat(12)9
Avg Revenue beat(12)1.08%
Revenue beat(16)11
Avg Revenue beat(16)0.85%
PT rev (1m)0%
PT rev (3m)-3.7%
EPS NQ rev (1m)-3.13%
EPS NQ rev (3m)-3.56%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.06%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)1.64%
Revenue NY rev (1m)0.25%
Revenue NY rev (3m)1.95%
Valuation
Industry RankSector Rank
PE 11.36
Fwd PE 8.76
P/S 0.25
P/FCF 6.89
P/OCF 5.6
P/B 1.31
P/tB N/A
EV/EBITDA 8.7
EPS(TTM)3.39
EY8.8%
EPS(NY)4.39
Fwd EY11.41%
FCF(TTM)5.59
FCFY14.5%
OCF(TTM)6.88
OCFY17.87%
SpS151.62
BVpS29.46
TBVpS-18.84
PEG (NY)0.65
PEG (5Y)1.59
Graham Number47.4
Profitability
Industry RankSector Rank
ROA 2.98%
ROE 9.14%
ROCE 8.18%
ROIC 5.51%
ROICexc 5.65%
ROICexgc 20.8%
OM 3.67%
PM (TTM) 1.78%
GM 12.12%
FCFM 3.68%
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-Score6
Asset Turnover1.68
Health
Industry RankSector Rank
Debt/Equity 0.93
Debt/FCF 4.99
Debt/EBITDA 3.71
Cap/Depr 71.92%
Cap/Sales 0.85%
Interest Coverage 250
Cash Conversion 93.39%
Profit Quality 207.49%
Current Ratio 1.5
Quick Ratio 1.5
Altman-Z 2.77
F-Score6
WACC8.41%
ROIC/WACC0.66
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)-5.31%
EPS 3Y-2.14%
EPS 5Y7.14%
EPS Q2Q%-4.6%
EPS Next Y17.45%
EPS Next 2Y13.2%
EPS Next 3Y10%
EPS Next 5YN/A
Revenue 1Y (TTM)5.59%
Revenue growth 3Y3.86%
Revenue growth 5Y7.87%
Sales Q2Q%6.08%
Revenue Next Year5.21%
Revenue Next 2Y4.33%
Revenue Next 3Y3.96%
Revenue Next 5YN/A
EBIT growth 1Y51.23%
EBIT growth 3Y-1.6%
EBIT growth 5Y3.32%
EBIT Next Year40.19%
EBIT Next 3Y13.44%
EBIT Next 5YN/A
FCF growth 1Y31.11%
FCF growth 3YN/A
FCF growth 5Y-18.04%
OCF growth 1Y28.2%
OCF growth 3Y125.65%
OCF growth 5Y-12.52%

ABM INDUSTRIES INC / ABM Fundamental Analysis 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 8 / 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 5 / 10.


How financially healthy is ABM INDUSTRIES INC?

The financial health rating of ABM INDUSTRIES INC (ABM) is 5 / 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 42.2%.