Here's Why Hold Strategy is Apt for ABM Industries Stock Now

Company Performance - ABM Industries Incorporated (ABM) has experienced a significant share price increase of 29.3% over the past year [1] - The company holds an impressive Growth Score of A, indicating strong quality and sustainability in its growth metrics [1] Shareholder Returns - ABM has consistently rewarded shareholders through dividends and share buybacks, distributing $57.5 million in dividends in fiscal 2023, up from $51.9 million in 2022 and $51 million in 2021 [2] - The company returned $138.1 million through share repurchases in fiscal 2023, compared to $97.5 million in 2022, with no repurchases in 2021 [2] - In the first nine months of fiscal 2024, ABM generated $275 million in free cash flow, exceeding the $194 million generated in fiscal 2023 [2] Financial Stability - ABM's current ratio at the end of the third quarter was 1.38, significantly higher than the industry average of 0.92, indicating strong liquidity and financial stability [3] - The company's multi-year strategic plan, ELEVATE, aims to enhance client offerings, develop talent management capabilities, and modernize its digital ecosystem, which is expected to accelerate organic growth and improve profitability [3] Strategic Acquisitions - The acquisition of RavenVolt in 2022 is part of ABM's ELEVATE strategy, aimed at expanding its service offerings in EV infrastructure and energy solutions [4] - RavenVolt enhances ABM's eMobility business by providing customized power solutions for facilities requiring additional power for EV charging [4]