ABM Industries inches up after Truist upgrades to 'buy', lifts PT
02/07/2025 14:49
** Shares of integrated facility, infrastructure and mobility solutions provider ABM Industries ABM.N up 1% at $48 in early trade
** Truist Securities upgrades shares to 'buy' from 'hold', and lifts PT to $58 from $55, a premium of 22% to the stock's last close
** Says co's underperformance could reverse as free cash flow conversion normalizes and U.S. office vacancy rates stabilize, making the current discounted valuation attractive despite long-term growth concerns
** Brokerage expects growth to pick up in office segment during the second-half of the year as vacancy issues improve
** Also optimistic that better leasing activity could help boost overall co's performance
** Average rating of 7 brokerages equivalent to 'hold'; median PT is $56- data compiled by LSEG
** Including session's moves, shares are down 5.9% YTD
(Reporting by Apratim Sarkar)
((Apratim.Sarkar@thomsonreuters.com))