Is the business good?
How good a business is ABM?
ABM Industries Incorporated earns 7.0% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
7.0%
Return on invested capital · cost of capital 9.0% · 2.0 points below what the capital costs: growth destroys value
- Operating margin
- 3.5%
Operating margin · Specialty Business Services median 10% · 12 months to Q2 2026
- Cash conversion
- 2.11×
Cash conversion · −0.36× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −6.0%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 1.6% |
| FY2021 | 3.3% |
| FY2022 | 4.5% |
| FY2023 | 5.1% |
| FY2024 | 2.5% |
| FY2025 | 3.6% |
Details›
- Gross margin12 months to Q2 2026
- 12%
- Operating margin12 months to Q2 2026
- 3.5%
- Net margin12 months to Q2 2026
- 1.8%
- Free cash flow margin
- 3.7%
- Revenue, trailing twelve months
- $9.05B
- Free cash flow, trailing twelve months
- $334M
- Net income, trailing twelve months
- $159M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 7.0%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Specialty Business Services
Ranks #8 of 18 by Smart Score