AECOM (NYSE:ACM) Raises Dividend to $0.26 Per Share

AECOM (NYSE:ACM) announced a quarterly dividend on Monday, November 18th,RTT News reports. Investors of record on Thursday, January 2nd will be given a dividend of 0.26 per share by the construction company on Friday, January 17th. This represents a $1.04 dividend on an annualized basis and a yield of 0.96%. The ex-dividend date of this dividend is Thursday, January 2nd. This is a positive change from AECOM’s previous quarterly dividend of $0.22.

AECOM has a payout ratio of 17.7% indicating that its dividend is sufficiently covered by earnings. Analysts expect AECOM to earn $4.95 per share next year, which means the company should continue to be able to cover its $0.88 annual dividend with an expected future payout ratio of 17.8%.

AECOM Price Performance

Shares of ACM opened at $108.80 on Wednesday. The stock has a market capitalization of $14.59 billion, a P/E ratio of 36.76, a P/E/G ratio of 1.61 and a beta of 1.17. AECOM has a twelve month low of $82.23 and a twelve month high of $115.74. The company has a 50 day moving average of $104.92 and a 200-day moving average of $95.75. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 0.98.

AECOM (NYSE:ACM) last announced its quarterly earnings results on Monday, November 18th. The construction company reported $1.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.24 by $0.03. AECOM had a return on equity of 24.14% and a net margin of 1.61%. The business had revenue of $1.81 billion during the quarter, compared to the consensus estimate of $1.86 billion. During the same quarter last year, the firm posted $1.01 EPS. The company’s quarterly revenue was up 4.9% on a year-over-year basis. As a group, equities research analysts forecast that AECOM will post 4.47 EPS for the current fiscal year.

Analyst Ratings Changes

A number of research analysts recently commented on ACM shares. KeyCorp raised their price target on AECOM from $115.00 to $122.00 and gave the stock an “overweight” rating in a research report on Thursday, November 7th. Barclays lifted their price target on AECOM from $100.00 to $105.00 and gave the company an “overweight” rating in a research note on Thursday, August 8th. Royal Bank of Canada lifted their price objective on AECOM from $112.00 to $113.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 7th. Truist Financial lifted their price objective on AECOM from $108.00 to $119.00 and gave the stock a “buy” rating in a research note on Friday, October 4th. Finally, Citigroup boosted their price target on AECOM from $110.00 to $128.00 and gave the company a “buy” rating in a research note on Tuesday, October 22nd. Eight research analysts have rated the stock with a buy rating, According to data from MarketBeat.com, AECOM has a consensus rating of “Buy” and an average target price of $116.43.

Insiders Place Their Bets

In other news, CFO Gaurav Kapoor sold 42,400 shares of the stock in a transaction dated Wednesday, November 6th. The stock was 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 approximately $3,601,837.52. This represents a 57.59 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.42% of the company’s stock.

AECOM announced that its board has authorized a share buyback program on Monday, November 18th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the construction company to reacquire up to 6.8% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board believes its shares are undervalued.

About AECOM

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.