Last Updated: 13 Sep 2024
Executive Summary
Aecom Technology Corporation (ACM) is a leading provider of professional construction and program management services globally. With a market capitalization of $12.8 billion, the company has a strong financial position and is well-positioned for growth in the future. The stock is currently trading at $96.53, which is below the analyst target price of $107.78.
Company Overview
AECOM provides a wide range of services to its clients, including architecture, engineering, construction, and consulting. The company has a global presence with operations in over 150 countries. AECOM's clients include governments, businesses, and individuals.
Fundamental Analysis
AECOM's financial performance has been solid in recent years. The company has reported positive revenue and earnings growth in each of the past five years. In fiscal 2023, AECOM reported revenue of $15.8 billion and earnings per share of $2.73. The company's profit margin is 1.61%, and its operating margin is 6.05%.
AECOM's balance sheet is also strong. The company has $1.9 billion in cash and equivalents and $3.6 billion in total debt. AECOM's debt-to-equity ratio is 0.40, which is a manageable level.
Technical Analysis
The technical analysis of AECOM's stock price shows that the stock is currently in a downtrend. The stock price has been falling since early 2023 and is now trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is also below 50, which indicates that the stock is oversold.
Short Term Outlook
The short-term outlook for AECOM's stock is mixed. The technical analysis suggests that the stock is likely to continue to decline in the near term. However, the company's strong financial performance and positive analyst ratings provide some support for the stock.
Long Term Outlook
The long-term outlook for AECOM's stock is positive. The company is a leader in the construction and engineering industry and is well-positioned to benefit from the growing demand for infrastructure projects. The company's strong financial position and experienced management team also provide confidence in the company's long-term prospects.
Analyst Recommendations
The majority of analysts have a buy rating on AECOM's stock. The average analyst target price is $107.78, which is 11.5% above the current stock price.
