ABM price target lowered to $48 from $51 at KeyBanc

KeyBanc lowered the firm’s price target on ABM to $48 from $51 and keeps an Overweight rating on the shares. The analyst reduced estimates following the company’s “disappointing” fiscal Q3 miss. While ABM’s “thematic overlay” remains a challenge given its commercial real estate exposure, high unskilled labor intensity and easing Covid-19 benefits, investor sentiment has bottomed following two downgrades, the analyst tells investors in a research note. The firm expects this will be the last downward earnings revision cycle and sees an opportunity for value investors at current share levels.