AECOM (NYSE:ACM) Issues Earnings Results

AECOM (NYSE:ACM) announced its earnings results on Monday. The construction company reported $1.27 earnings per share for the quarter, beating the consensus estimate of $1.24 by $0.03, Briefing.com reports. AECOM had a return on equity of 24.14% and a net margin of 1.61%. The company had revenue of $1.81 billion for the quarter, compared to the consensus estimate of $1.86 billion. During the same period last year, the business posted $1.01 EPS. The company’s revenue was up 4.9% on a year-over-year basis. AECOM updated its FY25 guidance to $5.00-5.20 EPS and its FY 2025 guidance to 5.000-5.200 EPS.

AECOM Stock Performance

Shares of ACM opened at $108.80 on Wednesday. AECOM has a 12-month low of $82.23 and a 12-month high of $115.74. The stock has a market cap of $14.59 billion, a P/E ratio of 36.76, a PEG ratio of 1.61 and a beta of 1.17. The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 0.98. The company has a 50-day moving average of $104.92 and a two-hundred day moving average of $95.75.

AECOM Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, January 17th. Stockholders of record on Thursday, January 2nd will be given a $0.26 dividend. The ex-dividend date is Thursday, January 2nd. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.96%. This is a boost from AECOM’s previous quarterly dividend of $0.22. AECOM’s dividend payout ratio (DPR) is currently 29.73%.

AECOM declared that its board has authorized a stock buyback plan on Monday, November 18th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the construction company to repurchase up to 6.8% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

ACM has been the subject of a number of analyst reports. Citigroup upped their price objective on shares of AECOM from $110.00 to $128.00 and gave the stock a “buy” rating in a research report on Tuesday, October 22nd. StockNews.com upgraded shares of AECOM from a “hold” rating to a “buy” rating in a research report on Sunday, October 27th. KeyCorp boosted their target price on AECOM from $115.00 to $122.00 and gave the stock an “overweight” rating in a research report on Thursday, November 7th. Truist Financial raised their price target on AECOM from $108.00 to $119.00 and gave the company a “buy” rating in a report on Friday, October 4th. Finally, Royal Bank of Canada upped their price objective on AECOM from $112.00 to $113.00 and gave the stock an “outperform” rating in a report on Wednesday, August 7th. Eight investment analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, the company has a consensus rating of “Buy” and an average target price of $116.43.

Insider Activity

In other news, CFO Gaurav Kapoor sold 42,400 shares of the stock in a transaction dated Wednesday, November 6th. The shares were sold at an average price of $115.34, for a total transaction of $4,890,416.00. Following the transaction, the chief financial officer now directly owns 31,228 shares in the company, valued at $3,601,837.52. This represents a 57.59 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 0.42% of the company’s stock.

AECOM Company Profile

AECOM, together with its subsidiaries, provides professional infrastructure consulting services worldwide. It operates in three segments: Americas, International, and AECOM Capital. The company offers planning, consulting, architectural and engineering design, construction and program management, and investment and development services to public and private clients.