ABM Set to Purchase WGNSTAR for Approximately $275 Million
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 17 2025
0mins
Should l Buy ABM?
Source: NASDAQ.COM
Acquisition Announcement: ABM Industries Inc has agreed to acquire WGNSTAR for approximately $275 million in cash, enhancing its semiconductor solutions portfolio to an expected annual revenue of $325 million.
Financial Impact: The acquisition is projected to be modestly dilutive to adjusted EPS in fiscal 2026 but is expected to become accretive by fiscal 2027, with anticipated growth and synergy realization.
WGNSTAR's Performance: WGNSTAR is expected to generate around $135 million in annual revenue by 2025, with adjusted EBITDA margins exceeding those of ABM's Manufacturing & Distribution segment and a growth rate of about 10%.
Funding and Timeline: The acquisition will be financed through cash and existing credit facilities, with a closing expected in the second fiscal quarter of 2026, and WGNSTAR's results will be included in ABM's M&D segment.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ABM?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on ABM
Wall Street analysts forecast ABM stock price to rise
7 Analyst Rating
3 Buy
4 Hold
0 Sell
Moderate Buy
Current: 43.440
Low
51.00
Averages
52.75
High
54.00
Current: 43.440
Low
51.00
Averages
52.75
High
54.00
About ABM
ABM Industries Inc, which operates through its subsidiaries, is a provider of integrated facility, infrastructure, and mobility solutions. The Company’s segments include Business & Industry (B&I), Manufacturing & Distribution (M&D), Education, Aviation, and Technical Solutions. The B&I segment encompasses janitorial, facilities engineering, and parking services for commercial real estate properties, sports and entertainment venues, and other facilities. The M&D segment provides integrated facility services, engineering, janitorial, and other specialized services. The Education segment delivers janitorial, custodial, landscaping and grounds, facilities engineering, and parking services. The Aviation segment supports airlines and airports with services ranging from parking and janitorial to passenger assistance, catering logistics, air cabin maintenance, and transportation. The Technical Solutions segment specializes in facility infrastructure, mechanical and electrical services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Analysts Downgrade Tetra and Willscot Ratings, Price Targets Raised to $11 and $23
- Tetra Downgrade: Clear Street analyst Tim Moore downgraded Tetra Technologies Inc (NYSE:TTI) from Buy to Hold while raising the price target from $10 to $11, indicating a cautious market outlook despite shares closing at $11.24 on Tuesday.
- Willscot Rating Change: Baird analyst Andrew Wittmann downgraded Willscot Holdings Corp (NASDAQ:WSC) from Outperform to Neutral, increasing the price target from $22 to $23, reflecting a reassessment of growth potential with shares closing at $21.70 on Tuesday.
- Darden Rating Adjustment: Raymond James analyst Brian Vaccaro downgraded Darden Restaurants Inc (NYSE:DRI) from Outperform to Market Perform, signaling concerns about future performance with shares closing at $208.88 on Tuesday.
- ABM Downgrade: Truist Securities analyst Jasper Bibb downgraded ABM Industries Inc (NYSE:ABM) from Buy to Hold and slashed the price target to $47, down from $58, with shares closing at $45.44 on Tuesday, indicating worries about profitability.
See More
Goodman Financial Exits ABM Industries with $13.07 Million Transaction
- Position Change: Goodman Financial fully exited its position in ABM Industries by selling 283,456 shares for approximately $13.07 million, indicating a reassessment of the company's future performance potential.
- Market Performance: ABM Industries shares are priced at $44.12, down 13% over the past year, significantly underperforming the S&P 500's approximately 17% gain during the same period, reflecting a lack of market confidence in its defensive services.
- Financial Health: Despite market challenges, ABM achieved a record revenue of $8.7 billion in fiscal 2025, up 4.6% year-over-year, with adjusted EBITDA reaching $496.6 million, demonstrating strong fundamentals.
- Capital Allocation: Goodman Financial's portfolio is shifting towards broad equity ETFs and short-duration bond funds, suggesting a strategic move to allocate capital to potentially more productive investment opportunities rather than maintaining its stake in ABM.
See More
Goodman Financial Exits ABM Industries Stake, Transaction Valued at $13.07 Million
- Stake Change: Goodman Financial sold 283,456 shares of ABM Industries in Q4, valued at approximately $13.07 million, marking a complete exit from its investment and indicating a reassessment of capital allocation.
- Market Performance: ABM Industries' stock price has declined by 13% over the past year, while the S&P 500 has risen about 17% in the same period, reflecting relative weakness that may impact investor confidence.
- Financial Status: Despite ABM Industries achieving a record revenue of $8.7 billion in fiscal 2025, up 4.6% year-over-year, its poor stock performance may have prompted Goodman Financial to seek investments with greater growth potential.
- Investment Strategy: Goodman Financial's portfolio is heavily weighted towards broad equity ETFs and short-duration bond funds, and the sale of ABM shares suggests a strategic shift in capital allocation to pursue higher returns in more promising sectors.
See More
Aben Gold Receives $150,000 Payment Under Option Agreement with Kingfisher Metals
- Agreement Finalized: Aben Gold's option agreement with Kingfisher Metals closed on December 23, 2025, with Aben receiving an initial payment of CAD $150,000 and 1,886,792 shares, marking the formal commencement of their collaboration.
- Project Potential: The agreement grants Kingfisher a three-year option to acquire 100% interest in the Forrest Kerr Project for a total of CAD $2.7 million in cash and shares, highlighting the significant mineral resource potential in British Columbia.
- Operational Arrangement: Kingfisher will act as the project operator during the option period, which not only enhances project development efficiency but also strengthens Aben's competitive position in the gold exploration sector.
- Shareholder Value Enhancement: Aben Gold aims to increase shareholder value through new discoveries and developing exploration projects, and this agreement lays the groundwork for future growth, particularly in geopolitically favorable jurisdictions.
See More
Reasons Behind ABM Industries' Nearly 10% Stock Decline Today
Analyst Downgrades Impact ABM Industries: ABM Industries experienced a nearly 10% decline in stock value following downgrades from analysts at Baird and UBS, who adjusted their price targets and recommendations after the company's mixed fourth-quarter results.
Mixed Financial Performance: Despite reporting a record revenue of $2.3 billion for fiscal 2025, ABM's net income fell short of expectations, leading to concerns among investors regarding its profitability and future growth.
Future Guidance: ABM management provided guidance for the upcoming fiscal year, projecting revenue growth of 3% to 4% and an increase in adjusted net income, which may indicate potential recovery despite recent setbacks.
Investment Perspective: The article suggests that the recent dip in ABM's stock price could be viewed as a buying opportunity, especially given its status as a Dividend King with a consistent dividend yield of 2.4%.
See More
Transcript of ABM (ABM) Earnings Call for Q4 2025
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
See More
Analysts Downgrade Tetra and Willscot Ratings, Price Targets Raised to $11 and $23
- Tetra Downgrade: Clear Street analyst Tim Moore downgraded Tetra Technologies Inc (NYSE:TTI) from Buy to Hold while raising the price target from $10 to $11, indicating a cautious market outlook despite shares closing at $11.24 on Tuesday.
- Willscot Rating Change: Baird analyst Andrew Wittmann downgraded Willscot Holdings Corp (NASDAQ:WSC) from Outperform to Neutral, increasing the price target from $22 to $23, reflecting a reassessment of growth potential with shares closing at $21.70 on Tuesday.
- Darden Rating Adjustment: Raymond James analyst Brian Vaccaro downgraded Darden Restaurants Inc (NYSE:DRI) from Outperform to Market Perform, signaling concerns about future performance with shares closing at $208.88 on Tuesday.
- ABM Downgrade: Truist Securities analyst Jasper Bibb downgraded ABM Industries Inc (NYSE:ABM) from Buy to Hold and slashed the price target to $47, down from $58, with shares closing at $45.44 on Tuesday, indicating worries about profitability.
See More
Goodman Financial Exits ABM Industries with $13.07 Million Transaction
- Position Change: Goodman Financial fully exited its position in ABM Industries by selling 283,456 shares for approximately $13.07 million, indicating a reassessment of the company's future performance potential.
- Market Performance: ABM Industries shares are priced at $44.12, down 13% over the past year, significantly underperforming the S&P 500's approximately 17% gain during the same period, reflecting a lack of market confidence in its defensive services.
- Financial Health: Despite market challenges, ABM achieved a record revenue of $8.7 billion in fiscal 2025, up 4.6% year-over-year, with adjusted EBITDA reaching $496.6 million, demonstrating strong fundamentals.
- Capital Allocation: Goodman Financial's portfolio is shifting towards broad equity ETFs and short-duration bond funds, suggesting a strategic move to allocate capital to potentially more productive investment opportunities rather than maintaining its stake in ABM.
See More
Goodman Financial Exits ABM Industries Stake, Transaction Valued at $13.07 Million
- Stake Change: Goodman Financial sold 283,456 shares of ABM Industries in Q4, valued at approximately $13.07 million, marking a complete exit from its investment and indicating a reassessment of capital allocation.
- Market Performance: ABM Industries' stock price has declined by 13% over the past year, while the S&P 500 has risen about 17% in the same period, reflecting relative weakness that may impact investor confidence.
- Financial Status: Despite ABM Industries achieving a record revenue of $8.7 billion in fiscal 2025, up 4.6% year-over-year, its poor stock performance may have prompted Goodman Financial to seek investments with greater growth potential.
- Investment Strategy: Goodman Financial's portfolio is heavily weighted towards broad equity ETFs and short-duration bond funds, and the sale of ABM shares suggests a strategic shift in capital allocation to pursue higher returns in more promising sectors.
See More
Aben Gold Receives $150,000 Payment Under Option Agreement with Kingfisher Metals
- Agreement Finalized: Aben Gold's option agreement with Kingfisher Metals closed on December 23, 2025, with Aben receiving an initial payment of CAD $150,000 and 1,886,792 shares, marking the formal commencement of their collaboration.
- Project Potential: The agreement grants Kingfisher a three-year option to acquire 100% interest in the Forrest Kerr Project for a total of CAD $2.7 million in cash and shares, highlighting the significant mineral resource potential in British Columbia.
- Operational Arrangement: Kingfisher will act as the project operator during the option period, which not only enhances project development efficiency but also strengthens Aben's competitive position in the gold exploration sector.
- Shareholder Value Enhancement: Aben Gold aims to increase shareholder value through new discoveries and developing exploration projects, and this agreement lays the groundwork for future growth, particularly in geopolitically favorable jurisdictions.
See More
Reasons Behind ABM Industries' Nearly 10% Stock Decline Today
Analyst Downgrades Impact ABM Industries: ABM Industries experienced a nearly 10% decline in stock value following downgrades from analysts at Baird and UBS, who adjusted their price targets and recommendations after the company's mixed fourth-quarter results.
Mixed Financial Performance: Despite reporting a record revenue of $2.3 billion for fiscal 2025, ABM's net income fell short of expectations, leading to concerns among investors regarding its profitability and future growth.
Future Guidance: ABM management provided guidance for the upcoming fiscal year, projecting revenue growth of 3% to 4% and an increase in adjusted net income, which may indicate potential recovery despite recent setbacks.
Investment Perspective: The article suggests that the recent dip in ABM's stock price could be viewed as a buying opportunity, especially given its status as a Dividend King with a consistent dividend yield of 2.4%.
See More
Transcript of ABM (ABM) Earnings Call for Q4 2025
- Author's Perspective: The views and opinions presented are solely those of the author.
- No Official Endorsement: The content does not necessarily reflect the views of Nasdaq, Inc.
See More
