It has been about a month since the last earnings report for ABM Industries (ABM Quick QuoteABM - Free Report) . Shares have added about 3.6% in that time frame, outperforming the S&P 500.

But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is ABM Industries due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for ABM Industries Incorporated before we dive into how investors and analysts have reacted as of late.

ABM Industries Misses Q4 Earnings Estimates

ABM reported mixed fourth-quarter fiscal 2025 results. Earnings per share (EPS) missed the Zacks Consensus Estimate, while revenues beat the same.

ABM’s EPS (excluding 32 cents from non-recurring items) was 88 cents, which missed the Zacks Consensus Estimate by 20% and declined 2.2% year over year. Total revenues of $2.3 billion surpassed the consensus mark by 1.2% and increased 5.4% from the year-ago quarter.

ABM’s Segmental Revenues

The Business & Industry segment’s revenues increased 2.3% on a year-over-year basis to $1 billion and met our estimated figure. The education segment’s revenues were $233.7 million, up 1.6% from the year-ago quarter. It met our projection. These segments improved on the back of resilient end markets.

The Manufacturing & Distribution segment’s revenues increased 7.7% from the year-ago quarter to $417.4 million, exceeding our expectation of $388 million. The Aviation segment’s revenues increased 7.3% from the year-ago quarter to $296.7 million, exceeding our expectation of $281.7 million. These segments benefited from customer wins and expansion.

Technical solutions gained 16% from the fourth quarter of fiscal 2024 to $298.7 million. The metric missed our estimate of $314.7 million. Successful delivery of multiple projects in a complex construction environment drove this segment.

Profitability Performance of ABM

Adjusted EBITDA was $124.2 million, down 1.1% from the year-ago quarter. The adjusted EBITDA margin was 5.6%, declining 60 basis points from the fourth-quarter fiscal 2024.

ABM’s Balance Sheet & Cash Flow

The company exited fourth-quarter fiscal 2025 with cash and cash equivalents of $104.1 million compared with $69.3 million at the end of the preceding quarter. The long-term debt (net) was $1.5 billion, flat with the third quarter of fiscal 2025. Net cash generated by operating activities was $133.4 million for the quarter. The free cash flow was $112.7 million.

ABM’s FY26 Guidance

For fiscal 2026, ABM expects its adjusted EPS to be at the lower end of $3.85-$4.15.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a upward trend in estimates review.

VGM Scores

Currently, ABM Industries has a nice Growth Score of B, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock has a score of A on the value side, putting it in the top 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending upward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, ABM Industries has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.