Zacks Investment Research lowered shares of Aecom (NYSE:ACM) from a hold rating to a strong sell rating in a report published on Friday morning.
According to Zacks, “AECOM’s third-quarter fiscal 2017 adjusted earnings per share came in at 76 cents, in line with the Zacks Consensus Estimate but down 3.7% from the year-ago figure of 81 cents. Year to date, AECOM’s shares have recorded a negative return, steeper than the industry’s average. Volatility in the oil and gas market, with declining prices and contracting spending levels, has been restraining the company’s projects and orders. Moreover, cyclical demand of the company’s services and currency fluctuations are likely to thwart growth, going forward. Also, the Budget Control Act is expected to delay few major projects, thus adding to the company’s woes. However, on the positive side, increase in the proportion of higher margin work is benefitting AECOM’s Construction Services segment and Revenue in Management Services segments. Also, the Shimmick buyout is expected to supplement core revenue growth.”
Other equities analysts have also issued reports about the stock. Citigroup Inc. reissued a buy rating and issued a $40.00 target price (down from $45.00) on shares of Aecom in a report on Tuesday, July 18th. Credit Suisse Group reaffirmed a buy rating and set a $44.00 price target on shares of Aecom in a report on Thursday, June 29th. UBS AG set a $38.00 price target on shares of Aecom and gave the company a buy rating in a report on Monday, June 26th. Argus decreased their price target on shares of Aecom from $43.00 to $33.00 and set a buy rating on the stock in a report on Friday, June 2nd. Finally, Deutsche Bank AG reaffirmed a hold rating and set a $38.00 price target (down from $41.00) on shares of Aecom in a report on Saturday, April 22nd. Two analysts have rated the stock with a sell rating, five have issued a hold rating and four have given a buy rating to the company’s stock. The stock currently has a consensus rating of Hold and a consensus price target of $35.10.
Aecom (NYSE ACM) traded up 1.4458% during trading on Friday, reaching $32.7264. 164,762 shares of the company’s stock were exchanged. The stock’s 50 day moving average price is $32.24 and its 200 day moving average price is $34.15. Aecom has a 52-week low of $26.46 and a 52-week high of $40.72. The firm has a market cap of $5.13 billion, a P/E ratio of 20.0407 and a beta of 1.75.
Aecom (NYSE:ACM) last released its earnings results on Tuesday, August 8th. The construction company reported $0.78 EPS for the quarter, meeting the consensus estimate of $0.78. Aecom had a net margin of 2.98% and a return on equity of 11.21%. The firm had revenue of $4.56 billion for the quarter, compared to analyst estimates of $4.54 billion. During the same period last year, the firm earned $0.81 EPS. The business’s quarterly revenue was up 3.5% compared to the same quarter last year. Equities research analysts anticipate that Aecom will post $2.92 EPS for the current fiscal year.
A number of large investors have recently bought and sold shares of the company. Nomura Asset Management Co. Ltd. increased its stake in Aecom by 4.9% in the first quarter. Nomura Asset Management Co. Ltd. now owns 3,410 shares of the construction company’s stock valued at $122,000 after buying an additional 160 shares in the last quarter. Webster Bank N. A. increased its stake in Aecom by 39.8% in the first quarter. Webster Bank N. A. now owns 4,110 shares of the construction company’s stock valued at $146,000 after buying an additional 1,170 shares in the last quarter. Financial Architects Inc increased its stake in Aecom by 1.0% in the second quarter. Financial Architects Inc now owns 4,632 shares of the construction company’s stock valued at $150,000 after buying an additional 48 shares in the last quarter. Global X Management Co. LLC increased its stake in Aecom by 220.7% in the second quarter. Global X Management Co. LLC now owns 4,923 shares of the construction company’s stock valued at $159,000 after buying an additional 3,388 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Aecom by 12.0% in the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 5,359 shares of the construction company’s stock valued at $173,000 after buying an additional 576 shares in the last quarter. Institutional investors and hedge funds own 82.55% of the company’s stock.
AECOM is engaged in designing, building, financing and operating infrastructure assets for governments, businesses and organizations. The Company’s segments include design and consulting services (DCS), construction services (CS) and management services (MS). Its DCS segment is engaged in planning, consulting, architectural and engineering design services to commercial and government clients in major end markets, such as transportation, facilities, environmental, energy, water and government.
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