AECOM (ACM) Stock Fundamental Analysis
NYSE:ACM - New York Stock Exchange, Inc. - US00766T1007 - Common Stock - Currency: USD
Overall ACM gets a fundamental rating of 5 out of 10. We evaluated ACM against 49 industry peers in the Construction & Engineering industry. Both the profitability and the financial health of ACM get a neutral evaluation. Nothing too spectacular is happening here. ACM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ACM had positive earnings in the past year.
ACM had a positive operating cash flow in the past year.
ACM had positive earnings in 4 of the past 5 years.
Each year in the past 5 years ACM had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.24%, ACM is doing good in the industry, outperforming 67.35% of the companies in the same industry.
With a decent Return On Equity value of 27.01%, ACM is doing good in the industry, outperforming 77.55% of the companies in the same industry.
ACM has a Return On Invested Capital of 12.92%. This is in the better half of the industry: ACM outperforms 77.55% of its industry peers.
ACM had an Average Return On Invested Capital over the past 3 years of 10.96%. This is significantly below the industry average of 16.67%.
The last Return On Invested Capital (12.92%) for ACM is above the 3 year average (10.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.24% | ||
| ROE | 27.01% | ||
| ROIC | 12.92% |
ROA(3y)2.21%
ROA(5y)1.33%
ROE(3y)11.15%
ROE(5y)6.84%
ROIC(3y)10.96%
ROIC(5y)9.3%
1.3 Margins
With a decent Profit Margin value of 3.85%, ACM is doing good in the industry, outperforming 65.31% of the companies in the same industry.
ACM's Profit Margin has improved in the last couple of years.
ACM has a Operating Margin of 6.10%. This is comparable to the rest of the industry: ACM outperforms 57.14% of its industry peers.
ACM's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 7.09%, ACM is not doing good in the industry: 75.51% of the companies in the same industry are doing better.
ACM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.1% | ||
| PM (TTM) | 3.85% | ||
| GM | 7.09% |
OM growth 3Y5.93%
OM growth 5Y11.03%
PM growth 3Y24.42%
PM growth 5YN/A
GM growth 3Y4.02%
GM growth 5Y8.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ACM is creating some value.
ACM has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ACM has been reduced compared to 5 years ago.
Compared to 1 year ago, ACM has a worse debt to assets ratio.
2.2 Solvency
ACM has an Altman-Z score of 2.55. This is not the best score and indicates that ACM is in the grey zone with still only limited risk for bankruptcy at the moment.
ACM has a Altman-Z score (2.55) which is in line with its industry peers.
ACM has a debt to FCF ratio of 3.02. This is a good value and a sign of high solvency as ACM would need 3.02 years to pay back of all of its debts.
The Debt to FCF ratio of ACM (3.02) is better than 69.39% of its industry peers.
A Debt/Equity ratio of 1.08 is on the high side and indicates that ACM has dependencies on debt financing.
ACM's Debt to Equity ratio of 1.08 is on the low side compared to the rest of the industry. ACM is outperformed by 61.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.02 | ||
| Altman-Z | 2.55 |
ROIC/WACC1.21
WACC10.66%
2.3 Liquidity
ACM has a Current Ratio of 1.15. This is a normal value and indicates that ACM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.15, ACM is doing worse than 63.27% of the companies in the same industry.
ACM has a Quick Ratio of 1.15. This is a normal value and indicates that ACM is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.15, ACM perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.51% over the past year.
Measured over the past years, ACM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.37% on average per year.
Looking at the last year, ACM shows a small growth in Revenue. The Revenue has grown by 4.55% in the last year.
The Revenue has been growing slightly by 3.38% on average over the past years.
EPS 1Y (TTM)23.51%
EPS 3Y16.89%
EPS 5Y10.37%
EPS Q2Q%20.19%
Revenue 1Y (TTM)4.55%
Revenue growth 3Y6.48%
Revenue growth 5Y3.38%
Sales Q2Q%-4.37%
3.2 Future
Based on estimates for the next years, ACM will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.43% on average per year.
ACM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.66% yearly.
EPS Next Y15.02%
EPS Next 2Y12.49%
EPS Next 3Y11.58%
EPS Next 5Y14.43%
Revenue Next Year2.09%
Revenue Next 2Y4.02%
Revenue Next 3Y3.66%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.90 indicates a rather expensive valuation of ACM.
77.55% of the companies in the same industry are more expensive than ACM, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.51. ACM is around the same levels.
Based on the Price/Forward Earnings ratio of 19.98, the valuation of ACM can be described as rather expensive.
Based on the Price/Forward Earnings ratio, ACM is valued a bit cheaper than the industry average as 69.39% of the companies are valued more expensively.
ACM's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 35.58.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.9 | ||
| Fwd PE | 19.98 |
4.2 Price Multiples
ACM's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ACM is cheaper than 77.55% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACM is valued a bit cheaper than 73.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.08 | ||
| EV/EBITDA | 13.94 |
4.3 Compensation for Growth
ACM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of ACM may justify a higher PE ratio.
PEG (NY)1.52
PEG (5Y)2.21
EPS Next 2Y12.49%
EPS Next 3Y11.58%
5. Dividend
5.1 Amount
ACM has a yearly dividend return of 0.90%, which is pretty low.
ACM's Dividend Yield is rather good when compared to the industry average which is at 1.62. ACM pays more dividend than 95.92% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, ACM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
5.2 History
ACM has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
ACM pays out 20.16% of its income as dividend. This is a sustainable payout ratio.
DP20.16%
EPS Next 2Y12.49%
EPS Next 3Y11.58%
NYSE:ACM (7/15/2025, 10:12:41 AM)
114.275
-0.27 (-0.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners92.06%
Inst Owner Change0%
Ins Owners0.46%
Ins Owner Change0.37%
Market Cap15.12B
Analysts83.53
Price Target125 (9.39%)
Short Float %2.09%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
Yearly Dividend0.86
Dividend Growth(5Y)N/A
DP20.16%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.38%
Min EPS beat(2)3.81%
Max EPS beat(2)16.95%
EPS beat(4)4
Avg EPS beat(4)6.01%
Min EPS beat(4)1.25%
Max EPS beat(4)16.95%
EPS beat(8)6
Avg EPS beat(8)4.16%
EPS beat(12)10
Avg EPS beat(12)4.17%
EPS beat(16)13
Avg EPS beat(16)4.6%
Revenue beat(2)0
Avg Revenue beat(2)-6.51%
Min Revenue beat(2)-10.46%
Max Revenue beat(2)-2.57%
Revenue beat(4)1
Avg Revenue beat(4)-2.83%
Min Revenue beat(4)-10.46%
Max Revenue beat(4)3.32%
Revenue beat(8)5
Avg Revenue beat(8)0.56%
Revenue beat(12)7
Avg Revenue beat(12)-0.39%
Revenue beat(16)8
Avg Revenue beat(16)-0.96%
PT rev (1m)0%
PT rev (3m)-0.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.53%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)0.55%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.31%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-3.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.9 | ||
| Fwd PE | 19.98 | ||
| P/S | 0.94 | ||
| P/FCF | 18.08 | ||
| P/OCF | 16.22 | ||
| P/B | 6.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.94 |
EPS(TTM)4.99
EY4.37%
EPS(NY)5.72
Fwd EY5%
FCF(TTM)6.32
FCFY5.53%
OCF(TTM)7.04
OCFY6.16%
SpS121.3
BVpS17.27
TBVpS-8.8
PEG (NY)1.52
PEG (5Y)2.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.24% | ||
| ROE | 27.01% | ||
| ROCE | 16.96% | ||
| ROIC | 12.92% | ||
| ROICexc | 17.88% | ||
| ROICexgc | 103.5% | ||
| OM | 6.1% | ||
| PM (TTM) | 3.85% | ||
| GM | 7.09% | ||
| FCFM | 5.21% |
ROA(3y)2.21%
ROA(5y)1.33%
ROE(3y)11.15%
ROE(5y)6.84%
ROIC(3y)10.96%
ROIC(5y)9.3%
ROICexc(3y)14.48%
ROICexc(5y)12.18%
ROICexgc(3y)82.34%
ROICexgc(5y)61.1%
ROCE(3y)14.39%
ROCE(5y)12.21%
ROICexcg growth 3Y48.82%
ROICexcg growth 5Y63.69%
ROICexc growth 3Y20.31%
ROICexc growth 5Y28.58%
OM growth 3Y5.93%
OM growth 5Y11.03%
PM growth 3Y24.42%
PM growth 5YN/A
GM growth 3Y4.02%
GM growth 5Y8.46%
F-Score8
Asset Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 3.02 | ||
| Debt/EBITDA | 2.13 | ||
| Cap/Depr | 54.51% | ||
| Cap/Sales | 0.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.8% | ||
| Profit Quality | 135.5% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 2.55 |
F-Score8
WACC10.66%
ROIC/WACC1.21
Cap/Depr(3y)69.05%
Cap/Depr(5y)66.54%
Cap/Sales(3y)0.84%
Cap/Sales(5y)0.88%
Profit Quality(3y)478.28%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.51%
EPS 3Y16.89%
EPS 5Y10.37%
EPS Q2Q%20.19%
EPS Next Y15.02%
EPS Next 2Y12.49%
EPS Next 3Y11.58%
EPS Next 5Y14.43%
Revenue 1Y (TTM)4.55%
Revenue growth 3Y6.48%
Revenue growth 5Y3.38%
Sales Q2Q%-4.37%
Revenue Next Year2.09%
Revenue Next 2Y4.02%
Revenue Next 3Y3.66%
Revenue Next 5YN/A
EBIT growth 1Y15.99%
EBIT growth 3Y12.8%
EBIT growth 5Y14.78%
EBIT Next Year20.29%
EBIT Next 3Y11.52%
EBIT Next 5Y11.13%
FCF growth 1Y69.1%
FCF growth 3Y7.59%
FCF growth 5Y0.9%
OCF growth 1Y42.94%
OCF growth 3Y5.5%
OCF growth 5Y1.25%