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Jun 11, 2022
ABM Industries (ABM, $41.98) Q2 earnings topped Zacks Consensus Estimates

ABM Industries (ABM, $41.98) Q2 earnings topped Zacks Consensus Estimates

ABM Industries Inc.  posted  its second quarter earnings that exceeded the Zacks Consensus Estimate, even as  revenues missed expectations.

The facility management provider’s adjusted earnings from continuing operations came in at 89 cents per share, beating the Zacks consensus estimates  by 6%. The figure is  + 8.5% higher year over year.

Revenues surged +26.7% from the year-ago quarter to  $1.89 billion. However, they fell short of the consensus estimate by 1%. The company experienced +7.5% organic growth,  and +19.2% increase from acquisitions.

The company’s revenue from Business & Industry segment climbed +48.9% from the year-ago quarter to $1.00 billion. Manufacturing & Distribution business experienced a +4.9% year over year jump in revenue to $356.9 million. Aviation revenues rose +27.4% year over year to $185.9 million, while Technical Solutions revenues increased +18.1% to $147 million.  Revenues from Education , however, fell -3.9% from the prior-year quarter to $204.4 million.

For fiscal 2022, ABM Industries reaffirmed its outlook for adjusted income from continuing operations in the range of $3.50-$3.70 per share. The Zacks Consensus Estimate for the same is  $3.61 per share.

Related Ticker: ABM

Momentum Indicator for ABM turns positive, indicating new upward trend

ABM saw its Momentum Indicator move above the 0 level on October 08, 2026. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 89 similar instances where the indicator turned positive. In 64 of the 89 cases, the stock moved higher in the following days. The odds of a move higher are at 72%.

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Moving Average Convergence Divergence (MACD) for ABM just turned positive on October 12, 2026. Looking at past instances where ABM's MACD turned positive, the stock continued to rise in 28 of 42 cases over the following month. The odds of a continued upward trend are 67%.

ABM moved above its 50-day moving average on October 01, 2026 date and that indicates a change from a downward trend to an upward trend.

The 10-day moving average for ABM crossed bullishly above the 50-day moving average on September 08, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 11 of 18 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 61%.

Following a +2.14% 3-day Advance, the price is estimated to grow further. Considering data from situations where ABM advanced for three days, in 221 of 324 cases, the price rose further within the following month. The odds of a continued upward trend are 68%.

Bearish Trend Analysis

The 10-day RSI Indicator for ABM moved out of overbought territory on September 09, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In 17 of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at 47%.

The Stochastic Oscillator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where ABM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 53%.

ABM broke above its upper Bollinger Band on October 13, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

Fundamental Analysis (Ratings)

The Tickeron Valuation Rating of 11 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.605) is normal, around the industry mean (8.137). P/E Ratio (17.761) is within average values for comparable stocks, (60.108). Projected Growth (PEG Ratio) (0.020) is also within normal values, averaging (1.946). Dividend Yield (0.023) settles around the average of (0.013) among similar stocks. P/S Ratio (0.331) is also within normal values, averaging (9.694).

The Tickeron Price Growth Rating for this company is 42 (best 1 - 100 worst), indicating steady price growth. ABM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Seasonality Score of 47 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.

The Tickeron Profit vs. Risk Rating rating for this company is 69 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ABM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 84, placing this stock better than average.

The Tickeron PE Growth Rating for this company is 74 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron SMR rating for this company is 92 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

Industry description

The industry produces equipment regularly used in offices by businesses and other organizations, and could range from items like Blank sheet paper, calendars, Label and adhesive paper, paper clips, janitorial supplies, to larger /higher cost products like computers, printers, photocopiers, office furniture and so on. Many businesses in the office supply industry have been expanding into related markets like business cards, plus printing and binding of high quality, high volume business and engineering documents. Some companies in this industry also offer shipping services, including packaging and bulk mailing. Herman Miller, Inc., Steelcase Inc. and HNI Corporation.

Market Cap

The average market capitalization across the Office Equipment/Supplies Industry is 7.06B. The market cap for tickers in the group ranges from 47.27K to 80.14B. CTAS holds the highest valuation in this group at 80.14B. The lowest valued company is KUBR at 47.27K.

High and low price notable news

The average weekly price growth across all stocks in the Office Equipment/Supplies Industry was -2%. For the same Industry, the average monthly price growth was -8%, and the average quarterly price growth was -7%. YSXT experienced the highest price growth at 20%, while SPIR experienced the biggest fall at -13%.

Volume

The average weekly volume growth across all stocks in the Office Equipment/Supplies Industry was -15%. For the same stocks of the Industry, the average monthly volume growth was -33% and the average quarterly volume growth was -34%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 54
P/E Growth Rating: 53
Price Growth Rating: 58
SMR Rating: 73
Profit Risk Rating: 84
Seasonality Score: 31 (-100 ... +100)
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General Information

a provider of facility services for commercial, industrial and institutional buildings

Industry OfficeEquipmentSupplies

Industry
Miscellaneous Commercial Services
Address
One Liberty Plaza
Phone
+1 212 297-0200
Employees
113000
Web
https://www.abm.com