The Analyst Verdict: AECOM In The Eyes Of 4 Experts

During the last three months, 4 analysts shared their evaluations of AECOM (NYSE:ACM), revealing diverse outlooks from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	2	2	0	0	0
Last 30D	1	0	0	0	0
1M Ago	0	0	0	0	0
2M Ago	0	0	0	0	0
3M Ago	1	2	0	0	0

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $121.25, a high estimate of $127.00, and a low estimate of $117.00. A 0.41% drop is evident in the current average compared to the previous average price target of $121.75.

Breaking Down Analyst Ratings: A Detailed Examination

The standing of AECOM among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|--------------------|---------------|---------------|--------------------|--------------------| |Jamie Cook |Truist Securities |Lowers |Buy | $121.00|$129.00 | |Adam Seiden |Barclays |Raises |Overweight | $120.00|$105.00 | |Andrew Wittmann |Baird |Lowers |Outperform | $117.00|$125.00 | |Andrew Kaplowitz |Citigroup |Lowers |Buy | $127.00|$128.00 |

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to AECOM. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate 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.

Capture valuable insights into AECOM's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic 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 $16.1 billion in sales in fiscal 2024.

Financial Milestones: AECOM's Journey

Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.

Revenue Growth: Over the 3M period, AECOM showcased positive performance, achieving a revenue growth rate of 2.93% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 4.16%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): AECOM's ROE stands out, surpassing industry averages. With an impressive ROE of 7.61%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): AECOM's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 1.4%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.37, caution is advised due to increased financial risk.

Understanding the Relevance of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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