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5 Reasons to Add ABM Industries (ABM) Stock to Your Portfolio
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ABM Industries Incorporated ((ABM - Free Report) ) is a facility management provider that has performed well year to date, and has the potential to sustain the momentum in the near term. Consequently, if you have not taken advantage of the share-price appreciation yet, it’s time you add the stock to your portfolio.
What Makes ABM an Attractive Pick?
An Outperformer: A glimpse of the company’s price trend reveals that the stock has had a decent run on the bourse year to date. Shares of ABM have returned 12.8%, against 1.7% decline of the industry it belongs to.
Solid Rank: ABM has a Zacks Rank #1 (Strong Buy) and a Value Growth Momentum Score (VGM Score) of A. Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2 (Buy), offer the best investment opportunities. Thus, the company is a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions: The direction of estimate revisions serves as an important pointer when it comes to the price of a stock. One estimate for 2022 moved north over the past 60 days versus no southward revision. Over the same period, the Zacks Consensus Estimate for 2022 earnings has moved 2.3% north.
Positive Earnings Surprise History: ABM has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in all of the trailing four quarters, delivering an average beat of 11.8%.
Growth Factors: ABM's multi-year comprehensive strategic plan, ELEVATE, focuses on providing clients with offerings that enhance transparency and efficiencies, developing its own talent management system capabilities, expanding data usage, and modernizing the digital ecosystem. ELEVATE is expected to significantly accelerate the company’s organic growth, improve its strategic and comprehensive positioning, and reinforce profitability.
The recent acquisition of Able Services is expected to strengthen ABM’s engineering and technical services, and expand its sustainability and energy efficiency offerings. The buyout adds $1.1 billion in engineering and janitorial services revenues, and is anticipated to achieve around $30 million to $40 million in cost synergies for the company.
Cross Country Healthcare sports a Zacks Rank #1. The company has a long-term earnings growth of 6.6%.
Cross Country Healthcare delivered a trailing four-quarter earnings surprise of 41.5%, on average. CCRN’s shares have surged 44.2% in the past year.
Accenture carries a Zacks Rank #2 (Buy). The company has an expected earnings growth rate of 19.8% for the current year. It delivered a trailing four-quarter earnings surprise of 5.3%, on average.
Accenture’s shares have surged 16.9% in the past year. The company has a long-term earnings growth of 10%.
Clean Harbors carries a Zacks Rank #2. The company pulled off a trailing four-quarter earnings surprise of 43.2%, on average.
CLH’s shares have jumped 17.5% in the past year.
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5 Reasons to Add ABM Industries (ABM) Stock to Your Portfolio
ABM Industries Incorporated ((ABM - Free Report) ) is a facility management provider that has performed well year to date, and has the potential to sustain the momentum in the near term. Consequently, if you have not taken advantage of the share-price appreciation yet, it’s time you add the stock to your portfolio.
What Makes ABM an Attractive Pick?
An Outperformer: A glimpse of the company’s price trend reveals that the stock has had a decent run on the bourse year to date. Shares of ABM have returned 12.8%, against 1.7% decline of the industry it belongs to.
ABM Industries Incorporated Price
ABM Industries Incorporated price | ABM Industries Incorporated Quote
Solid Rank: ABM has a Zacks Rank #1 (Strong Buy) and a Value Growth Momentum Score (VGM Score) of A. Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2 (Buy), offer the best investment opportunities. Thus, the company is a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions: The direction of estimate revisions serves as an important pointer when it comes to the price of a stock. One estimate for 2022 moved north over the past 60 days versus no southward revision. Over the same period, the Zacks Consensus Estimate for 2022 earnings has moved 2.3% north.
Positive Earnings Surprise History: ABM has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in all of the trailing four quarters, delivering an average beat of 11.8%.
Growth Factors: ABM's multi-year comprehensive strategic plan, ELEVATE, focuses on providing clients with offerings that enhance transparency and efficiencies, developing its own talent management system capabilities, expanding data usage, and modernizing the digital ecosystem. ELEVATE is expected to significantly accelerate the company’s organic growth, improve its strategic and comprehensive positioning, and reinforce profitability.
The recent acquisition of Able Services is expected to strengthen ABM’s engineering and technical services, and expand its sustainability and energy efficiency offerings. The buyout adds $1.1 billion in engineering and janitorial services revenues, and is anticipated to achieve around $30 million to $40 million in cost synergies for the company.
Zacks Rank and Other Stocks to Consider
Some other stocks in the broader Business Services sector that investors may consider are Cross Country Healthcare (CCRN - Free Report) , Accenture ((ACN - Free Report) ) and Clean Harbors (CLH - Free Report) .
Cross Country Healthcare sports a Zacks Rank #1. The company has a long-term earnings growth of 6.6%.
Cross Country Healthcare delivered a trailing four-quarter earnings surprise of 41.5%, on average. CCRN’s shares have surged 44.2% in the past year.
Accenture carries a Zacks Rank #2 (Buy). The company has an expected earnings growth rate of 19.8% for the current year. It delivered a trailing four-quarter earnings surprise of 5.3%, on average.
Accenture’s shares have surged 16.9% in the past year. The company has a long-term earnings growth of 10%.
Clean Harbors carries a Zacks Rank #2. The company pulled off a trailing four-quarter earnings surprise of 43.2%, on average.
CLH’s shares have jumped 17.5% in the past year.