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ABM Industries (ABM) Stock Sinks As Market Gains: What You Should Know

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ABM Industries (ABM - Free Report) closed the most recent trading day at $45.72, moving -1.36% from the previous trading session. This move lagged the S&P 500's daily gain of 2.07%. Meanwhile, the Dow gained 1.4%, and the Nasdaq, a tech-heavy index, added 0.49%.

Heading into today, shares of the provider of cleaning and other maintenance services for commercial buildings, hospitals and airports had lost 2.99% over the past month, outpacing the Business Services sector's loss of 6.94% and lagging the S&P 500's loss of 2.08% in that time.

Wall Street will be looking for positivity from ABM Industries as it approaches its next earnings report date. This is expected to be December 15, 2021. In that report, analysts expect ABM Industries to post earnings of $0.80 per share. This would mark year-over-year growth of 15.94%. Our most recent consensus estimate is calling for quarterly revenue of $1.62 billion, up 9.1% from the year-ago period.

It is also important to note the recent changes to analyst estimates for ABM Industries. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ABM Industries currently has a Zacks Rank of #3 (Hold).

Investors should also note ABM Industries's current valuation metrics, including its Forward P/E ratio of 13.61. For comparison, its industry has an average Forward P/E of 13.61, which means ABM Industries is trading at a no noticeable deviation to the group.

The Building Products - Maintenance Service industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 115, which puts it in the top 46% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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