AECOM ACM

Morningstar Rating

Company Report

We Expect Aecom to Capitalize on Growing Infrastructure Spending

In recent years, Aecom has transformed its portfolio and focused on expanding its professional-services business. It exited several business lines including fixed-price combined-cycle gas power plant construction, at-risk oil and gas construction, and international at-risk construction projects. In January 2020, Aecom sold its management-services business. We view this transformation favorably, as we believe that the strategic shift has resulted in a less volatile and more profitable portfolio.

Price vs Fair Value

ACM is trading at a 372% premium.
Price
$101.97
Fair Value
$64.00
Uncertainty
Medium
1-Star Price
$918.14
5-Star Price
$76.30
Economic Moat
Smx
Capital Allocation
Zctgscg

Bulls Say, Bears Say

Bulls

Thanks to its diversified portfolio, we expect Aecom to take advantage of growth opportunities in sectors with favorable long-term prospects, including transportation and water.

Bears

Aecom faces high uncertainty as volatility in oil and natural gas prices could lead customers to delay or even cancel projects.

News

Trading Information

Previous Close Price
Day Range
52-Week Range
Bid/Ask
/
Market Cap
Volume/Avg
/

Key Statistics

Price/Earnings (Normalized)
23.94
Price/Sales
0.89
Dividend Yield (Trailing)
0.86%
Dividend Yield (Forward)
0.86%
Total Yield
3.50%

Company Profile

Aecom is one of the largest global providers of design, engineering, construction, and management services. It serves a broad spectrum of end markets including infrastructure, water, transportation, and energy. Based in Los Angeles, Aecom has a presence in over 150 countries and employs 51,000. The company generated $14.4 billion in sales and $847 million in adjusted operating income in fiscal 2023.
Sector
Industrials
Industry
Engineering & Construction
Stock Style Box
Mid Core
Total Number of Employees
52,000

Competitors

Valuation

Metric
ACM
J
FLR
Price/Earnings (Normalized)
23.9417.3415.84
Price/Book Value
6.022.543.81
Price/Sales
0.891.010.51
Price/Cash Flow
22.7119.6815.38
Price/Earnings
ACM
J
FLR

Financial Strength

Metric
ACM
J
FLR
Quick Ratio
0.991.111.66
Current Ratio
1.131.141.77
Interest Coverage
3.745.748.42
Quick Ratio
ACM
J
FLR

Profitability

Metric
ACM
J
FLR
Return on Assets (Normalized)
5.09%6.61%6.33%
Return on Equity (Normalized)
25.66%14.92%22.41%
Return on Invested Capital (Normalized)
12.93%9.97%9.33%
Return on Assets
ACM
J
FLR

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