ABM Industries (ABM) has attracted attention after a recent move in its share price, with the stock last closing at $45.26. Investors are weighing this level against the company’s current fundamentals and past return profile.
See our latest analysis for ABM Industries.
The recent 1-day share price return of 0.49% and 7-day gain of 1.28% sit against a 30-day share price decline of 6.20%. Meanwhile, the 1-year total shareholder return shows a decline of 12.75%, in contrast with positive 3- and 5-year total shareholder returns. This suggests that longer term holders have seen gains even as near term momentum has faded.
If ABM Industries has you reassessing opportunities in support services, it could be a good moment to scan fast growing stocks with high insider ownership for other companies catching investor interest.
With ABM Industries trading at $45.26 alongside mixed recent returns but an indicated discount to analyst targets and intrinsic estimates, the key question is whether this signals an undervalued setup or if the market already reflects future growth.
The most followed narrative places ABM Industries' fair value at about US$56.33 per share versus the last close of US$45.26. This frames the current price as a discount that rests heavily on specific growth and margin assumptions.
The strong growth in electrification, microgrids, and data center infrastructure, fueled by both sustainability trends and the surging need for resilient/efficient power solutions (accelerated by AI adoption), positions ABM's Technical Solutions segment for durable revenue and earnings expansion as these end markets scale.
Curious how steady mid single digit revenue growth, rising margins and a lower future P/E all add up to that fair value? The full narrative unpacks the earnings bridge, the role of buybacks, and the discount rate assumptions that keep this model grounded in cash flows rather than hype.
Result: Fair Value of $56.33 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, if margin pressures persist or, in the shorter term, lower margin contracts fail to scale as expected, that 19.7% valuation gap could quickly look less compelling.
Find out about the key risks to this ABM Industries narrative.
If you see the numbers differently or would rather build on your own research, you can test your assumptions and create a custom model in minutes: Do it your way.
A great starting point for your ABM Industries research is our analysis highlighting 6 key rewards and 1 important warning sign that could impact your investment decision.
Do not stop with a single company view. Broaden your watchlist with focused stock ideas tailored to different themes so you are not missing opportunities others are already assessing.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com