Core Insights - ABM Industries reported quarterly earnings of $0.88 per share, missing the Zacks Consensus Estimate of $1.1 per share, and down from $0.9 per share a year ago [1] - The company posted revenues of $2.3 billion for the quarter, exceeding the Zacks Consensus Estimate by 1.19%, and up from $2.18 billion year-over-year [3] Earnings Performance - The earnings surprise for the quarter was -20.00%, following a previous quarter where earnings were $0.82 per share against an expectation of $0.95, resulting in a surprise of -13.68% [2] - Over the last four quarters, ABM Industries has surpassed consensus EPS estimates only once [2] Revenue Insights - The company has consistently topped consensus revenue estimates, achieving this four times over the last four quarters [3] Stock Performance - ABM Industries shares have declined approximately 10.6% since the beginning of the year, contrasting with the S&P 500's gain of 15.6% [4] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.87 on revenues of $2.2 billion, and for the current fiscal year, it is $4.00 on revenues of $9.02 billion [8] - The estimate revisions trend for ABM Industries was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [7] Industry Context - The Business - Services industry, to which ABM Industries belongs, is currently ranked in the top 18% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [9]

Core Viewpoint - ABM Industries is anticipated to report a year-over-year decline in earnings despite an increase in revenues, which could significantly influence its stock price in the near term [1][2]. Earnings Expectations - The upcoming earnings report is expected to show earnings of $0.78 per share, reflecting a decline of 9.3% year-over-year, while revenues are projected to be $2.1 billion, an increase of 1.6% from the previous year [3]. - The consensus EPS estimate has been revised down by 0.45% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for ABM Industries is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +2.19% [11]. - The stock holds a Zacks Rank of 2, suggesting a strong likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, ABM Industries exceeded the expected earnings of $0.86 per share by delivering $0.90, resulting in a surprise of +4.65% [12]. - The company has successfully beaten consensus EPS estimates in all of the last four quarters [13]. Conclusion - ABM Industries is positioned as a compelling candidate for an earnings beat, but investors should consider additional factors before making investment decisions [16].