Fox Run Management Acquires New Stake in ABM Industries

Fox Run Management L.L.C. has acquired a new stake in ABM Industries Incorporated, purchasing 12,986 shares valued at approximately $613,000. This acquisition was disclosed in the firm’s latest filing with the Securities & Exchange Commission for the second quarter of 2023. The investment highlights growing institutional interest in the business services sector.

Several other institutional investors have also recently adjusted their holdings in ABM Industries. For instance, Summit Securities Group LLC acquired a stake valued at $38,000 during the first quarter. Federated Hermes Inc. increased its position in the company by 107.7%, now owning 920 shares worth approximately $44,000 after acquiring an additional 477 shares. Additionally, Caitong International Asset Management Co. Ltd and Kiker Wealth Management LLC also entered new positions valued at around $45,000 and $61,000, respectively. Currently, institutional investors and hedge funds own 91.62% of ABM’s stock.

ABM Industries Stock Performance and Dividend Announcement

As of Tuesday, shares of ABM Industries opened at $42.30. The company has a quick ratio of 1.49, a current ratio of 1.49, and a debt-to-equity ratio of 0.82. The stock has experienced fluctuations, with a 52-week low of $40.85 and a 52-week high of $59.15. Currently, the market capitalization stands at $2.59 billion, with a price-to-earnings (P/E) ratio of 22.99 and a beta of 0.76.

In addition to the acquisition news, ABM Industries declared a quarterly dividend of $0.265 per share, which was paid out on November 3, 2023. Shareholders of record on October 2, 2023 received this dividend, reflecting an annualized dividend of $1.06 and a dividend yield of 2.5%. The company has a dividend payout ratio of 57.61%.

Furthermore, ABM’s Board of Directors authorized a stock buyback plan on September 5, 2023, allowing for the repurchase of up to $150 million in outstanding shares. This initiative, permitting the purchase of up to 5% of its stock through open market transactions, often indicates that the management believes the stock is undervalued.

Analysts Adjust Price Targets

Recent evaluations from various research firms have impacted market perceptions of ABM Industries. Baird R W downgraded the stock from a “strong-buy” to a “hold” rating on September 8, 2023. Contrarily, Wall Street Zen upgraded the stock from “hold” to “buy” on October 4, 2023. Meanwhile, UBS Group raised its price target from $54.00 to $55.00, maintaining a “buy” rating.

Other analysts have offered mixed reviews as well. Weiss Ratings reiterated a “hold (c)” rating, while Robert W. Baird adjusted its target price to $54.00, down from $56.00. Overall, two analysts have rated ABM Industries as a Buy, while three have assigned it a Hold rating, leading to a consensus rating of “Hold” with an average target price of $55.67, according to MarketBeat.

ABM Industries Incorporated, through its subsidiaries, provides integrated facility, infrastructure, and mobility solutions both in the United States and internationally. The company operates in various segments, including Business & Industry, Manufacturing & Distribution, Education, Aviation, and Technical Solutions.

For further updates and detailed insights, interested stakeholders can follow the latest news and analysts’ ratings on ABM Industries.