Aecom Technology (ACM) AI Stock Analysis

• Market Cap: $15.14B
• Dividend Yield: 0.91%
• Average Volume (3M): 843.20K
• Price to Earnings (P/E): 25.0
• Beta (1Y): 0.73
• Revenue Growth: 4.55%
• EPS Growth: N/A
• Country: US
• Employees: 51,000
• Sector: Industrials
• Sector Strength: 93
• Industry: Engineering & Construction
• EPS (TTM): 1.25
• Shares Outstanding: 132,300,600
• 10 Day Avg. Volume: 582,806
• 30 Day Avg. Volume: 843,199
• PEG Ratio: 0.81
• Price to Book (P/B): 6.61
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.03
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 0.26
• Enterprise Value/Gross Profit: 14.39
• Enterprise Value/Ebitda: 3.80
• 1Y Price Target: $118.93
• Price Target Upside: 3.82% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 80 Outperform
• Price Target: $127.00 ▲(10.87%Upside)

Aecom Technology's strong financial performance and positive earnings call are significant strengths, driving a high stock score. Technical analysis supports a bullish outlook, though caution is advised due to high RSI. Fair valuation and positive corporate events further bolster the score, indicating a well-positioned company in its industry.

Positive Factors

Financial Guidance

Raised the low-end of its FY EBITDA & EPS guide, signaling confidence in delivering the bottom line.

Free Cash Flow

Robust free cash flow visibility even in a slow growth environment.

Profitability

Strong execution on profitability with America's margin reaching a new high of 19.4%.

Negative Factors

Government Policy

Limited exposure to government agencies affected by funding pauses indicates potential risks from recent policy changes.

Aecom Technology Business Overview & Revenue Model

Company Description

AECOM Technology Corporation (ACM) is a leading global infrastructure firm that provides professional technical and management support services. Operating in sectors such as transportation, facilities, environmental, energy, water, and government, AECOM offers a wide range of services, including planning, consulting, architectural and engineering design, and construction management. The company serves a diverse set of clients that include governments, businesses, and organizations worldwide, helping to deliver complex projects and innovative solutions.

How the Company Makes Money

AECOM makes money primarily through its comprehensive suite of services provided across various sectors. The company's revenue model is largely based on contracts for large-scale infrastructure projects, which include project planning, design, consulting, and management services. Key revenue streams for AECOM include its Design & Consulting Services segment, which involves planning and designing infrastructure projects, and its Construction Management segment, which oversees the execution of these projects. Additionally, AECOM often forms strategic partnerships and joint ventures to expand its project capabilities and market reach. Government contracts and long-term client relationships also play a significant role in contributing to its earnings, providing a steady flow of projects and revenue.

Aecom Technology Financial Statement Overview

Summary

Aecom Technology shows solid financial performance with strong revenue growth, improved profitability, and efficient cash flow management. Despite a moderately high leverage, the company effectively utilizes its equity to generate substantial returns.

Income Statement

Aecom Technology exhibits strong revenue growth with a notable increase from $13.1 billion in 2020 to $16 billion in TTM (Trailing-Twelve-Months). The gross profit margin has remained stable, though slightly improving from 5.4% in 2020 to 7.1% in TTM. Net profit margins have improved significantly from 1.4% in 2020 to 3.8% in TTM, indicating enhanced profitability. The EBIT and EBITDA margins show a consistent upward trend, reflecting operational efficiency. Overall, the company demonstrates solid revenue growth and improved profitability.

Balance Sheet

The balance sheet indicates a moderately leveraged position with a debt-to-equity ratio of approximately 1.32 in TTM, slightly decreasing from 1.05 in 2020. While the equity ratio has decreased from 25.1% in 2020 to 19.4% in TTM, indicating increased reliance on debt, the return on equity has improved from 5.7% in 2020 to 27% in TTM, suggesting better utilization of equity to generate profits. Despite the higher leverage, the company maintains stable financial health with a solid equity base.

Cash Flow

The cash flow analysis reveals strong operating cash flow, increasing from $329 million in 2020 to $931 million in TTM, supporting robust financial operations. Free cash flow has shown notable growth, increasing from $215 million in 2020 to $836 million in TTM, with a positive free cash flow to net income ratio. The operating cash flow to net income ratio is healthy, indicating efficient cash generation relative to reported profits, which enhances liquidity and financial sustainability.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	16.11B	14.38B	13.15B	13.34B	13.24B
Gross Profit	1.08B	945.47M	847.97M	798.42M	709.56M
EBITDA	827.44M	548.47M	871.75M	813.36M	580.02M
Net Income	402.27M	55.33M	310.61M	173.19M	-186.37M
Balance Sheet
Total Assets	12.06B	11.23B	11.27B	11.73B	13.12B
Cash, Cash Equivalents and Short-Term Investments	1.58B	1.26B	1.17B	1.23B	1.71B
Total Debt	3.03B	2.75B	2.80B	2.89B	2.81B
Total Liabilities	9.69B	8.85B	8.66B	8.90B	9.71B
Stockholders Equity	2.18B	2.21B	2.48B	2.71B	3.29B
Cash Flow
Free Cash Flow	707.89M	590.38M	576.62M	568.41M	215.03M
Operating Cash Flow	827.49M	695.98M	713.64M	704.67M	329.62M
Investing Cash Flow	-210.64M	-138.18M	-175.03M	-421.09M	2.04B
Financing Cash Flow	-295.46M	-472.94M	-588.32M	-872.53M	-1.63B

Aecom Technology Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 114.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACM, the sentiment is Positive. The current price of 114.55 is above the 20-day moving average (MA) of 113.09, above the 50-day MA of 109.71, and above the 200-day MA of 104.78, indicating a bullish trend. The MACD of 1.72 indicates Positive momentum. The RSI at 61.35 is Neutral, neither overbought nor oversold. The STOCH value of 63.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ACM.

Aecom Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EME	81 Outperform	$24.81B	24.49	37.76%	0.18%	14.30%	49.19%
ACM	80 Outperform	$15.14B	24.96	28.07%	0.91%	4.55%	―
FIX	77 Outperform	$19.15B	32.57	37.81%	0.33%	31.47%	64.96%
PWR	76 Outperform	$56.88B	62.05	13.48%	0.10%	15.77%	19.58%
MTZ	73 Outperform	$13.43B	63.64	7.70%	―	3.03%	―
J	71 Outperform	$16.21B	37.27	8.46%	0.95%	-22.81%	-30.13%
Sector *	58 Neutral	HK$14.16B	4.57	-3.01%	6.80%	3.67%	-54.16%

Aecom Technology Corporate Events

Aecom Technology Launches $1 Billion Note Offering

On July 15, 2025, AECOM announced the launch of a private offering of $1.0 billion in senior unsecured notes due 2033. Concurrently, the company initiated a cash tender offer for its outstanding $997.3 million 5.125% senior notes due 2027. The proceeds from the new notes will be used to purchase and redeem the 2027 notes, enhancing the company’s financial flexibility and potentially impacting its debt profile.

The most recent analyst rating on (ACM) stock is a Buy with a $104.00 price target. To see the full list of analyst forecasts on Aecom Technology stock, see the ACM Stock Forecast page.

Aecom Technology Declares Quarterly Dividend for Shareholders

On June 4, 2025, AECOM’s Board of Directors declared a quarterly cash dividend of $0.26 per share, continuing its ongoing dividend program. The dividend will be payable on July 18, 2025, to stockholders of record as of July 2, 2025, reflecting the company’s commitment to returning value to its shareholders.

The most recent analyst rating on (ACM) stock is a Buy with a $104.00 price target. To see the full list of analyst forecasts on Aecom Technology stock, see the ACM Stock Forecast page.