ABM Industries Incorporated research snapshot
ABM AI stock analysis as of the August 4, 2026 data cutoff reads ABM Industries as an improving facility services operator that is growing faster than it has in years while still trading at a reasonable valuation. The stock closed at $48.74 on August 3, 2026, up 0.83 or 1.73% from the $47.91 July 31 close, after opening at $48.54 and trading in a session range of $48.41 to $49.23, carrying a market capitalization near $2.86 billion, matching the $48.74 price times 58.58 million shares outstanding. The Q2 2026 report, released June 5, 2026, showed revenue up 8.4% to a second quarter record of $2.3 billion, with 6.1% organic growth, the strongest consolidated organic growth since Q3 of 2022, plus 2.3% from acquisitions led by WGNSTAR. Technical Solutions grew 27%, Aviation was up 20%, and Manufacturing and Distribution grew 17%, while Education rose 2% and Business and Industry was essentially flat after exiting a large UK client. Net income rose to $43.1 million, or $0.73 per diluted share, adjusted net income was $52.9 million, or $0.90 per diluted share, adjusted EBITDA rose to $131.7 million, and the company delivered record first half new sales bookings of $1.2 billion. Management reaffirmed fiscal 2026 adjusted EPS guidance of $3.85 to $4.15, and now expects organic revenue growth toward the top end of the 3% to 4% range, total revenue growth toward the top end of the 4% to 5% range, and segment operating margin toward the low end of the 7.8% to 8.0% range, with free cash flow of about $250 million for the year. The stock trades at about 18.8x trailing GAAP EPS, 12.2x the fiscal 2026 adjusted EPS consensus of $3.98, and 8.6x trailing free cash flow, with a 2.38% dividend yield and 59 consecutive years of dividend growth. The main risks are structurally low margins around 1.8% net income, Business and Industry client exits, Technical Solutions project mix, and leverage near 3.2x that management expects to bring below 3.0x by fiscal year end. This page is an informational research tool, not investment advice.
Current price
$48.74 at the August 3, 2026, 4:00 PM EDT market close, up 0.83 or 1.73% from the $47.91 July 31 close, after opening at $48.54 and trading in a session range of $48.41 to $49.23 on the real-time quote, with the daily history table confirming the same $48.74 close on volume near 391,306 shares
Market cap
$2.86 billion reported by StockAnalysis.com at the August 3, 2026 market close, matching the $48.74 price times 58.58 million shares outstanding, with the Q2 2026 Form 10-Q cover listing 58,580,923 shares issued as of April 30, 2026
AI score
66 / 100
Rating
Improving facility services operator with record bookings and a reasonable valuation
Trend status
Positive, above the 50-day moving average of $44.45 and the 200-day moving average of $43.04, with RSI near 64.15 and the stock about 2.75% below the 52-week high of $50.12
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | ABM provides janitorial, facilities engineering, parking, electrical, HVAC, and energy infrastructure services across five segments: Business and Industry, Manufacturing and Distribution, Aviation, Education, and Technical Solutions, with about 113,000 employees and revenue of $9.05 billion over the trailing twelve months. | High |
| Moat | Scale, long-standing client relationships, national and international footprint, and integrated service offerings create a narrow moat, but the facility management industry has low switching costs and intense price competition, with Business and Industry clients able to rotate contracts based on price. | Medium |
| Management | CEO Scott Salmirs has led ABM since 2015, focusing on technology-enabled service delivery, organic growth, and strategic M&A including the WGNSTAR semiconductor facility services acquisition that closed in February 2026. CFO David Orr is executing a deleveraging plan targeting below 3.0x by fiscal year end and a free cash flow guide of about $250 million. | Medium |
| Financial trend | Q2 2026 revenue rose 8.4% to $2,290.0 million with 6.1% organic growth, first half bookings hit a record $1.2 billion, net income improved to $43.1 million or $0.73 per share, adjusted EBITDA rose to $131.7 million, and first half free cash flow swung to about $71.2 million from negative $107.8 million a year earlier, while net income margin still sits near 1.8%. | High |
| Valuation | At about 18.8x trailing GAAP EPS, 12.2x the fiscal 2026 adjusted EPS consensus of $3.98, 8.6x trailing free cash flow, 1.63x book value, and a 2.38% dividend yield, ABM trades at a reasonable multiple for a stable, growing facility services company, with a PEG near 0.92. | Medium |
| Technical trend | ABM closed at $48.74 on August 3, 2026, up 1.73% on the day, above the 5-day moving average of $48.57, the 20-day moving average of $46.95, the 50-day moving average of $44.45, and the 200-day moving average of $43.04, with 14-day RSI near 64.15 on StockAnalysis.com statistics. | Medium |
| Risk level | Key risks are structurally low margins near 1.8% net income, Business and Industry client exits including a large UK client, Technical Solutions project mix and margin pressure, leverage at 3.2x, rising interest expense near $110 million for the year, fuel costs in Aviation, labor cost inflation, and acquisition integration risk. | Medium |
| AI confidence | Descriptive data on revenue, margins, earnings, cash flow, balance sheet, and valuation is well supported across StockAnalysis.com, Macrotrends, SEC EDGAR, the Q2 2026 earnings release, the Q2 2026 Form 10-Q, and the earnings call. Forward margin and growth estimates are less certain due to project mix, client retention, and macro conditions. | High data confidence |
| Investment certainty | Medium certainty. The income component is relatively clear with a 2.38% dividend yield supported by free cash flow, but capital appreciation depends on margin improvement, Technical Solutions execution, and the back half ramp, which are uncertain in a competitive pricing environment. | Medium |
ABM AI stock forecast
The ABM AI stock forecast uses scenario math around the $48.74 August 3, 2026 market close and the fiscal 2026 adjusted EPS consensus of $3.98. The three-scenario framework produced a bearish area near $41, a base area near $63, and a bullish area near $85 over three years, using adjusted EPS growth of 1%, 7%, and 10% and exit multiples of 10x, 13x, and 16x. These are scenarios, not price commitments.
$78 to $88
More likely if Technical Solutions sustains double-digit organic growth in energy storage, microgrids, and data center work, Business and Industry client retention stabilizes after the UK exit, segment operating margin reaches the 7.8% to 8.0% range, WGNSTAR keeps ramping in semiconductors, leverage falls below 3.0x, and the market re-rates ABM toward a 15x to 16x forward multiple.
$58 to $66
More likely if organic revenue growth lands in the 4% to 5% range, adjusted EPS compounds near 7% toward $4.90 to $5.00 by fiscal 2029, segment operating margin holds near 7.6% to 7.8%, free cash flow near $250 million funds the dividend and deleveraging, and the stock holds a 12x to 13x forward multiple.
$38 to $44
More likely if Business and Industry client losses accelerate, Technical Solutions margins stay depressed on equipment-heavy project mix, labor costs outpace price escalation, leverage stays above 3.0x for longer, interest expense keeps rising, or the market compresses the multiple toward 10x on concerns about organic growth sustainability and low margins.
ABM AI technical analysis
ABM AI technical analysis is positive as of the August 4, 2026 data cutoff. ABM closed at $48.74 on August 3, 2026, up 0.83 or 1.73% from the $47.91 July 31 close, above the 5-day moving average of $48.57, the 20-day moving average of $46.95, the 50-day moving average of $44.45, and the 200-day moving average of $43.04, with 14-day RSI near 64.15 on StockAnalysis.com statistics. The stock rallied about 32% from its 52-week low of $36.96 and sits about 2.75% below the 52-week high of $50.12. The 5-day, 20-day, and 30-day moving averages were computed from the StockAnalysis.com daily closing price history through August 3, 2026, and the 50-day and 200-day values come from the StockAnalysis.com statistics page.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $48.74 | StockAnalysis.com real-time quote at the August 3, 2026, 4:00 PM EDT market close, up 0.83 or 1.73% from the $47.91 July 31 close after opening at $48.54 and trading in a session range of $48.41 to $49.23; the daily history table confirms the $48.74 close on volume near 391,306 shares, and the implied market cap near $2.86 billion matches the price times 58.58 million shares outstanding. |
| 5-day moving average | $48.57 | Computed as the simple average of the five closing prices through August 3, 2026 in the StockAnalysis.com daily price history, just below the current price, which confirms short-term momentum is intact. |
| Near support | $46.95 to $48.00 | The 20-day moving average computed near $46.95 from the StockAnalysis.com daily price history as of August 3, 2026 is the first pullback support zone, with the $48.00 area as the immediate support from the recent consolidation. |
| Next support | $44.00 to $45.00 | StockAnalysis.com statistics reported the 50-day moving average near $44.45 on August 3, 2026, with the $44 to $45 zone representing the next meaningful support after the June to August rally. |
| Major support | $42.50 to $43.50 | The 200-day moving average near $43.04 on StockAnalysis.com statistics and the early July consolidation around $43 to $44 form the major support cluster below price. |
| Near resistance | $49.80 to $50.12 | The 52-week high of $50.12 is the key upside barrier, with the $49.80 area from the July 29 session high as minor overhead resistance. |
| 50-day moving average | $44.45 | StockAnalysis.com statistics reported the 50-day moving average near $44.45 on August 3, 2026, below the current price and confirming the medium-term uptrend. |
| 200-day moving average | $43.04 | StockAnalysis.com statistics reported the 200-day trend line near $43.04 on August 3, 2026, below the current price and confirming the longer-term uptrend. |
| 20-day moving average | $46.95 | Computed as the simple average of the twenty closing prices through August 3, 2026 in the StockAnalysis.com daily price history, an immediate support reference for pullbacks. |
| Momentum | RSI near 64.15 | The 14-day RSI was near 64.15 on StockAnalysis.com statistics on August 3, 2026, positive but not overbought after the recent rally. |
| Volume | About 416,000 average shares | StockAnalysis.com statistics listed 20-day average volume near 416,202 shares on August 3, 2026, with the August 3 session showing about 391,306 shares and the June 5 earnings day showing about 1.39 million shares. |
| Volatility | Low, beta 0.67 | StockAnalysis.com statistics reported beta near 0.67 on August 3, 2026, meaning ABM has lower volatility than the broader market, reflecting the defensive nature of facility services revenue. |
| Invalidation | Close below $44.45 | A decisive close below the 50-day moving average near $44.45 would weaken the medium-term uptrend, and a close below the 200-day moving average near $43.04 would turn the longer-term trend bearish. |
ABM AI trading strategy
The ABM AI trading strategy below is a rules framework for research and risk control, not personal financial advice. It combines income monitoring with technical confirmation and explicit invalidation levels.
If ABM holds above the 20-day moving average near $46.95 and approaches the $49.80 to $50.12 zone with improving volume, consider a trend position targeting a test of the 52-week high and beyond, with the 50-day moving average near $44.45 as the trend reference.
Use a stop near $46.00 to $46.50 (below the 20-day moving average) to manage downside risk. A break below $44.45 suggests the medium-term uptrend has stalled.
If ABM pulls back toward the $44.00 to $45.00 zone near the 50-day moving average without new fundamental damage, compare the price reaction with Q3 earnings, Technical Solutions margin data, and bookings trends before acting.
Do not average down without a maximum loss rule because low-margin facility services stocks can grind lower if client losses or margin compression continue.
Track quarterly revenue and organic growth, segment operating margins especially in Technical Solutions, bookings and backlog, Business and Industry client retention, WGNSTAR semiconductor ramp, leverage ratio, interest expense, free cash flow, and dividend coverage.
Update scenario ranges after each earnings release. The bearish case becomes more likely if ABM reports consecutive quarters of margin compression or organic growth deceleration below 3%.
Investment research summary
ABM sells facility and infrastructure services. Clients pay recurring fees for janitorial, facilities engineering, parking, electrical, HVAC, and energy infrastructure work under multi-year contracts. The business model is capital-light and generates predictable cash flow, but margins are structurally low due to labor intensity and competitive bidding.
The moat comes from national and international scale, long-standing client relationships, integrated service capabilities, and brand recognition built over more than a century. The facility management industry has limited switching costs, and clients frequently rotate contracts based on price, making the moat narrow but durable.
The thesis fails if labor cost inflation outpaces the pricing ABM can pass through to clients, large Business and Industry contracts keep exiting, Technical Solutions margins stay depressed on equipment-heavy project mix, the WGNSTAR acquisition disappoints, leverage stays above 3.0x and interest expense keeps rising, or a commercial real estate downturn reduces facility spending.
CEO Scott Salmirs has led ABM since 2015, focusing on technology-enabled service delivery, organic growth, and strategic M&A including the WGNSTAR semiconductor facility services acquisition. Management delivered record first half bookings of $1.2 billion, swung first half free cash flow positive by about $180 million, and is executing a deleveraging plan toward below 3.0x while maintaining a 59-year dividend growth streak.
The facility services industry is mature and fragmented, with steady demand driven by commercial real estate occupancy, manufacturing, aviation, and building complexity. Secular trends include outsourcing of non-core facility functions, energy resiliency, battery storage, microgrids, data center construction, AI-driven facilities management, and consolidation among national providers. ABM sits at the intersection of several of these growth areas, especially in Technical Solutions and semiconductors through WGNSTAR.
At about 12.2x the fiscal 2026 adjusted EPS consensus, 8.6x trailing free cash flow, and a 2.38% dividend yield, ABM is reasonably valued for a stable, growing facility services company. The margin of safety depends on whether ABM can sustain organic growth near 4% to 6% and expand margins in the back half. The low multiple leaves room for upside if execution holds, but the 1.8% net income margin limits downside protection if revenue growth slows.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| ABM price | $48.74 at the August 3, 2026, 4:00 PM EDT market close, up 0.83 or 1.73% from the $47.91 July 31 close, after opening at $48.54 and trading in a session range of $48.41 to $49.23, with the daily history table confirming the $48.74 close on volume near 391,306 shares | StockAnalysis.com real-time quote and daily price history | August 4, 2026 |
| Market capitalization | Near $2.86 billion, reported by StockAnalysis.com at the August 3 market close and matching the $48.74 price times 58.58 million shares outstanding, verified with a 0.17% deviation, with the Q2 2026 Form 10-Q cover listing 58,580,923 shares issued as of April 30, 2026 | StockAnalysis.com quote and statistics, ABM Q2 2026 Form 10-Q, financial_rigor.py | August 4, 2026 |
| Q2 2026 results | Revenue of $2,290.0 million up 8.4% with 6.1% organic growth and 2.3% acquisition growth, operating profit of $86.9 million, net income of $43.1 million or $0.73 diluted, adjusted net income of $52.9 million or $0.90 diluted, adjusted EBITDA of $131.7 million, operating cash flow of $66.2 million, and free cash flow of $22.4 million | ABM Q2 2026 earnings release | August 4, 2026 |
| Q2 2026 segment revenue | Technical Solutions $267.3 million up 27.2%, Aviation $310.8 million up 19.5%, Manufacturing and Distribution $463.8 million up 16.5%, Education $232.2 million up 1.9%, and Business and Industry $1,015.8 million essentially flat | ABM Q2 2026 earnings release | August 4, 2026 |
| Q2 2026 segment operating margin | Segment operating profit of $166.9 million at a 7.3% segment operating margin, down from 7.9% a year earlier but up 20 basis points sequentially, with Business and Industry at 7.6%, Manufacturing and Distribution at 8.8%, Aviation at 5.3%, Education at 7.0%, and Technical Solutions at 6.3% | ABM Q2 2026 earnings release and earnings call | August 4, 2026 |
| First half 2026 results | Revenue of $4,533.5 million up 7.3% with 5.8% organic growth, net income of $81.8 million or $1.37 diluted, adjusted net income of $103.3 million or $1.72 diluted, adjusted EBITDA of $249.5 million, operating cash flow of $128.2 million versus a use of $73.9 million a year earlier, and free cash flow of about $71.2 million versus negative $107.8 million, with record first half new sales bookings of $1.2 billion | ABM Q2 2026 earnings release and earnings call | August 4, 2026 |
| Fiscal 2026 guidance | Organic revenue growth toward the top end of the 3% to 4% range, total revenue growth toward the top end of the 4% to 5% range, segment operating margin toward the low end of the 7.8% to 8.0% range, adjusted EPS of $3.85 to $4.15 reaffirmed, interest expense of about $110 million, a normalized tax rate of 29% to 30%, free cash flow of about $250 million before transformation and integration costs, the final RavenVolt earn-out, and incremental restructuring, and leverage expected below 3.0x by fiscal year end | ABM Q2 2026 earnings release and earnings call | August 4, 2026 |
| Balance sheet | Cash and cash equivalents of $94.9 million, total assets of $5,647.0 million, total liabilities of $3,898.7 million, and total stockholders equity of $1,748.4 million as of April 30, 2026, with total debt near $1.9 billion including $23.5 million of standby letters of credit, a total leverage ratio of 3.2x, and available liquidity of $613.8 million | ABM Q2 2026 Form 10-Q and Q2 2026 earnings release | August 4, 2026 |
| FY2025 revenue | $8,746 million, up 4.62% from $8,359 million, cross-checked across StockAnalysis.com and Macrotrends | StockAnalysis.com financials and Macrotrends | August 4, 2026 |
| TTM revenue and net income | TTM revenue of $9,053 million up 6.53% and TTM net income of $158.3 million with TTM EPS of $2.60, matching StockAnalysis.com financials and the sum of the last four quarters | StockAnalysis.com financials | August 4, 2026 |
| TTM valuation ratios | 18.77x trailing PE, 11.84x forward PE, 0.32x price to sales, 1.63x price to book, 8.55x price to free cash flow, 11.17x EV/EBITDA, and a 0.92 PEG ratio | StockAnalysis.com statistics | August 4, 2026 |
| TTM cash flow | Operating cash flow of $436.5 million, capital expenditures of $102.5 million, and free cash flow of $334.0 million or $5.70 per share over the trailing twelve months | StockAnalysis.com cash flow statement | August 4, 2026 |
| Dividend | Quarterly dividend of $0.29 per share, annual dividend of $1.16 with a 2.38% yield, ex-dividend date July 2, 2026, a roughly 9% increase from $1.06 in fiscal 2025, a 44.68% payout ratio, 59 years of dividend growth, and 11.27% dividend growth over one year | StockAnalysis.com dividend history | August 4, 2026 |
| Analyst consensus | Buy with an average target of $52.43 across 8 analysts, low $45 and high $68, median $52 | StockAnalysis.com forecast and analyst ratings | August 4, 2026 |
| Analyst rating mix, July 2026 | 2 Strong Buy, 1 Buy, 5 Hold out of 8 analysts | StockAnalysis.com forecast recommendation trends | August 4, 2026 |
| Recent analyst target updates | Maxim Group raised its target to $54 from $50 with a Buy on July 1, Baird raised its target to $48 from $45 with a Hold on June 8, Truist maintained a Hold at $45 on June 8, William Blair maintained a Hold after Q2 on June 5, and Sidoti raised its target to $68 from $41 with a Buy on March 11 | StockAnalysis.com forecast and ratings | August 4, 2026 |
| Consensus estimates | Fiscal 2026 revenue estimate of $9.23B with adjusted EPS of $3.98, fiscal 2027 revenue of $9.56B with adjusted EPS of $4.35, 3-year revenue growth of 3.97%, and 3-year EPS growth of 9.66% | StockAnalysis.com forecast financial forecast | August 4, 2026 |
| Short interest | 2.66 million shares short, 4.54% of shares outstanding, and 4.29 days to cover | StockAnalysis.com statistics short selling | August 4, 2026 |
| 52-week range and performance | 52-week range of $36.96 to $50.12, up 7.19% over the trailing 52 weeks, and beta of 0.67 | StockAnalysis.com quote and statistics | August 4, 2026 |
| Technical snapshot | 5-day moving average near $48.57, 20-day moving average near $46.95, and 30-day moving average near $46.13 computed from StockAnalysis.com daily price history, 50-day moving average near $44.45 and 200-day moving average near $43.04 on StockAnalysis.com statistics, 14-day RSI near 64.15, and 20-day average volume near 416,202 shares | StockAnalysis.com statistics and daily price history | August 4, 2026 |
| Recent company news | ABM and LaGuardia Gateway Partners launched an autonomous robotics pilot at LaGuardia Airport Terminal B in late July 2026 including autonomous floor scrubbers and vacuums, a multi-year partnership with the Atlanta Braves to provide janitorial services at Truist Park was announced June 16, 2026, Vanderbilt University selected ABM for its New York City campus transformation, and ABM was named to Selling Power 60 Best Companies to Sell for a fifth consecutive year | GlobeNewsWire press releases via StockAnalysis.com news | August 4, 2026 |
This page is an informational research tool only. It is not investment advice, financial advice, or a recommendation to buy, sell, or hold ABM shares. Forecasts are scenario-based estimates from available data as of the stated cutoff date and may be wrong. Always verify current filings, prices, dividend policy, and your own financial goals and risk constraints before making decisions.
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