Where AECOM Stands With Analysts

5 analysts have shared their evaluations of AECOM ACM during the recent three months, expressing a mix of bullish and bearish perspectives.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have set 12-month price targets for AECOM, revealing an average target of $104.4, a high estimate of $109.00, and a low estimate of $100.00. This upward trend is evident, with the current average reflecting a 9.89% increase from the previous average price target of $95.00.

Breaking Down Analyst Ratings: A Detailed Examination

A comprehensive examination of how financial experts perceive AECOM is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to AECOM. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of AECOM compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of AECOM's stock. This analysis reveals shifts in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into AECOM's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on AECOM analyst ratings.

Discovering AECOM: A Closer Look

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.

AECOM's Financial Performance

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Revenue Growth: AECOM's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 15.3%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 2.42%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): AECOM's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.24% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): AECOM's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.83%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: AECOM's debt-to-equity ratio stands notably higher than the industry average, reaching 1.21. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

The Significance of Analyst Ratings Explained

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.