ABM Industries Incorporated

AI-generated fair value estimate for this company.

Method: 10-year unlevered FCF DCF: $312.3 million TTM free cash flow base; 5% annual FCF growth years 1-5; 3% annual FCF growth years 6-10; 8.5% discount rate (WACC); 2.5% terminal growth; $1.664 billion net debt (per the July 31, 2026 10-Q: $1,774.0 million total debt less $110.5 million cash) subtracted from enterprise value; 58.61 million shares outstanding.

Reasoning: ABM Industries is a mature, capital-light facility-services company with stable low-single-digit organic growth and consistent free cash flow generation, so a conservative multi-stage unlevered DCF with modest growth tapering to GDP-like terminal growth is the appropriate method; the result implies meaningful undervaluation versus the $49.52 current price, reflecting a roughly 10.8% trailing FCF yield.