AECOM Q1 Earnings Exceed Expectations with Raised Guidance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 09 2026
0mins
Should l Buy ACM?
Source: seekingalpha
- Earnings Beat: AECOM reported a Q1 Non-GAAP EPS of $1.29, exceeding expectations by $0.13, reflecting strong performance in the design business and boosting market confidence.
- Revenue Performance: The company generated $3.83 billion in revenue, a 4.5% year-over-year decline, yet still beat expectations by $300 million, indicating AECOM's robust market adaptability despite challenges.
- Guidance Upgrade: AECOM raised its fiscal 2026 adjusted EPS guidance to between $5.85 and $6.05, driven by successful capital allocation strategies and a record backlog, enhancing visibility for future performance.
- Cash Flow and Tax Rate Adjustments: The company anticipates approximately $400 million in free cash flow and an adjusted effective tax rate of 20% to 22%, down from the previous 22% to 23%, which will further enhance profitability.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ACM?" 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 ACM
Wall Street analysts forecast ACM stock price to rise
9 Analyst Rating
7 Buy
2 Hold
0 Sell
Strong Buy
Current: 91.230
Low
100.00
Averages
133.78
High
152.00
Current: 91.230
Low
100.00
Averages
133.78
High
152.00
About ACM
AECOM is a global provider of professional infrastructure consulting and advisory services for governments, businesses and organizations throughout the world. It provides advisory, planning, consulting, architectural and engineering design, construction and program management services, and investment and development services to public and private clients worldwide in major end markets, such as transportation, facilities, water, environmental, and energy. Its Americas segment provides planning, consulting, architectural and engineering design, construction management and program management services to public and private clients in the United States, Canada, and Latin America. Its International segment provides planning, consulting, architectural and engineering design services and program management to public and private clients in Europe, the Middle East, India, Africa, and the Asia-Australia-Pacific regions. Its ACAP segment primarily invests in and develops real estate projects.
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.
Trump Administration Releases Gateway Tunnel Funds
- Funding Release: The Trump administration released $98 million previously withheld for the Gateway Tunnel construction and an additional $30 million in reimbursements, significantly enhancing passenger rail capacity into Manhattan.
- Project Resumption: The funding freeze had triggered a work stoppage threatening nearly 1,000 jobs, but contractors are now instructed to prepare for construction resumption next week, ensuring the project stays on track.
- Legal Obligation: Governor Hochul emphasized that the federal government has a legal obligation to fully fund the Gateway project, highlighting the importance of continuous funding support to prevent future disruptions for workers and commuters.
- Infrastructure Significance: The Gateway project is one of the most critical infrastructure initiatives in the U.S., with the existing North River Tunnel carrying 200,000 passengers daily and in urgent need of repairs to meet growing transportation demands.
See More
TomTom Partners with AECOM for Global Mobility Solutions
- Global Partnership: TomTom has formed a partnership with global infrastructure leader AECOM, leveraging TomTom's real-time traffic data to enhance AECOM's capabilities in transportation planning and management, thereby providing more precise solutions for public and private sector clients.
- Data-Driven Insights: By integrating TomTom's Traffic Stats, Historic Traffic Volumes, and Live Traffic products, AECOM can deliver more accurate data analysis to its global teams, helping to improve mobility, enhance safety, and optimize infrastructure investments.
- Addressing Urbanization Challenges: In the context of urbanization and changing travel patterns, AECOM will utilize TomTom's high-quality traffic data to support governments and private sectors in making more informed transport decisions to tackle the challenges of a new era of transportation.
- Enhancing Traffic Management Efficiency: TomTom's Live Traffic service provides low-latency speed data and incident detection to traffic management centers and emergency services, enabling AECOM's traffic management teams to respond more effectively to network disruptions and congestion, thereby improving road safety and efficiency.
See More
AECOM Reports Strong Q1 Results, Raises Guidance
- Strong Performance: AECOM (ACM) reported Q1 revenue of $3.83 billion, surpassing Wall Street's expectation of $3.53 billion, with adjusted earnings of $1.29 per share exceeding the forecast of $1.16, indicating robust performance in the infrastructure services sector.
- Net Income Decline: Despite the revenue beat, net income fell to $140 million, or $1.06 per share, reflecting lower pass-through revenue impacts, yet the company maintained strong growth in net service revenue, which increased by 5% on an adjusted basis.
- Record Backlog: AECOM's total backlog reached $26 billion, a 9% increase year-over-year, marking a record high for the company, and the book-to-burn ratio of 1.5x indicates sustained strong market demand, with 21 consecutive quarters above 1.0.
- Increased Shareholder Returns: The company returned over $340 million to shareholders through buybacks and dividends during the quarter, and the board approved an increase in share repurchase authorization to $1 billion, reflecting confidence in future cash flows and shareholder value.
See More
ON Semiconductor Misses Revenue Estimates, Shares Drop
- ON Semiconductor Earnings Miss: ON Semiconductor reported fourth-quarter revenue of $1.53 billion, falling short of the LSEG consensus estimate of $1.54 billion, resulting in a nearly 6% drop in shares; however, adjusted earnings of 64 cents per share exceeded the forecast of 62 cents, indicating some operational strength despite revenue concerns.
- Upwork Client Decline: Upwork revealed that active clients at the end of 2025 totaled 785,000, down from 832,000 the previous year, leading to a 22% plunge in shares; additionally, the current quarter revenue guidance of $192 million to $197 million fell short of the $201 million consensus estimate, highlighting weakening market demand.
- Chegg Performance Decline: Chegg's fourth-quarter adjusted EBITDA was $12.9 million, a significant 65% drop year-over-year, with revenue at $72.7 million, down 49%, causing a 5% decline in shares; this stark performance decline underscores the challenges facing the online education sector.
- Aecom Earnings Beat Expectations: Aecom posted first-quarter adjusted earnings of $1.29 per share on revenue of $1.85 billion, surpassing analyst expectations of $1.17 per share and $1.76 billion in revenue, resulting in a roughly 3% increase in shares, reflecting the company's competitive strength and a rebound in market demand.
See More
AECOM Q1 Earnings Exceed Expectations with Raised Guidance
- Earnings Beat: AECOM reported a Q1 Non-GAAP EPS of $1.29, exceeding expectations by $0.13, reflecting strong performance in the design business and boosting market confidence.
- Revenue Performance: The company generated $3.83 billion in revenue, a 4.5% year-over-year decline, yet still beat expectations by $300 million, indicating AECOM's robust market adaptability despite challenges.
- Guidance Upgrade: AECOM raised its fiscal 2026 adjusted EPS guidance to between $5.85 and $6.05, driven by successful capital allocation strategies and a record backlog, enhancing visibility for future performance.
- Cash Flow and Tax Rate Adjustments: The company anticipates approximately $400 million in free cash flow and an adjusted effective tax rate of 20% to 22%, down from the previous 22% to 23%, which will further enhance profitability.
See More
AECOM Q1 Results Exceed Expectations, Raises Fiscal 2026 Earnings Guidance
- Strong Performance: AECOM reported Q1 revenue of $3.831 billion, a 5% year-over-year decline, yet net service revenue increased by 5%, indicating robust performance in the design business that is expected to drive future growth.
- Increased Buyback Authorization: The Board approved an increase in share repurchase authorization to $1 billion, having returned over $340 million to shareholders through buybacks and dividends in the last quarter, reflecting confidence in future cash flows.
- Record Backlog: Total backlog reached a record high of $25.962 billion, up 9% year-over-year, with a 1.5 book-to-burn ratio highlighting the company's competitive edge in large infrastructure projects, signaling stable revenue growth ahead.
- Strategic Business Review: AECOM completed a strategic review of its Construction Management business, deciding to retain and operate it, which underscores the company's confidence in its future potential and secures its leadership position in the market.
See More
Trump Administration Releases Gateway Tunnel Funds
- Funding Release: The Trump administration released $98 million previously withheld for the Gateway Tunnel construction and an additional $30 million in reimbursements, significantly enhancing passenger rail capacity into Manhattan.
- Project Resumption: The funding freeze had triggered a work stoppage threatening nearly 1,000 jobs, but contractors are now instructed to prepare for construction resumption next week, ensuring the project stays on track.
- Legal Obligation: Governor Hochul emphasized that the federal government has a legal obligation to fully fund the Gateway project, highlighting the importance of continuous funding support to prevent future disruptions for workers and commuters.
- Infrastructure Significance: The Gateway project is one of the most critical infrastructure initiatives in the U.S., with the existing North River Tunnel carrying 200,000 passengers daily and in urgent need of repairs to meet growing transportation demands.
See More
TomTom Partners with AECOM for Global Mobility Solutions
- Global Partnership: TomTom has formed a partnership with global infrastructure leader AECOM, leveraging TomTom's real-time traffic data to enhance AECOM's capabilities in transportation planning and management, thereby providing more precise solutions for public and private sector clients.
- Data-Driven Insights: By integrating TomTom's Traffic Stats, Historic Traffic Volumes, and Live Traffic products, AECOM can deliver more accurate data analysis to its global teams, helping to improve mobility, enhance safety, and optimize infrastructure investments.
- Addressing Urbanization Challenges: In the context of urbanization and changing travel patterns, AECOM will utilize TomTom's high-quality traffic data to support governments and private sectors in making more informed transport decisions to tackle the challenges of a new era of transportation.
- Enhancing Traffic Management Efficiency: TomTom's Live Traffic service provides low-latency speed data and incident detection to traffic management centers and emergency services, enabling AECOM's traffic management teams to respond more effectively to network disruptions and congestion, thereby improving road safety and efficiency.
See More
AECOM Reports Strong Q1 Results, Raises Guidance
- Strong Performance: AECOM (ACM) reported Q1 revenue of $3.83 billion, surpassing Wall Street's expectation of $3.53 billion, with adjusted earnings of $1.29 per share exceeding the forecast of $1.16, indicating robust performance in the infrastructure services sector.
- Net Income Decline: Despite the revenue beat, net income fell to $140 million, or $1.06 per share, reflecting lower pass-through revenue impacts, yet the company maintained strong growth in net service revenue, which increased by 5% on an adjusted basis.
- Record Backlog: AECOM's total backlog reached $26 billion, a 9% increase year-over-year, marking a record high for the company, and the book-to-burn ratio of 1.5x indicates sustained strong market demand, with 21 consecutive quarters above 1.0.
- Increased Shareholder Returns: The company returned over $340 million to shareholders through buybacks and dividends during the quarter, and the board approved an increase in share repurchase authorization to $1 billion, reflecting confidence in future cash flows and shareholder value.
See More
ON Semiconductor Misses Revenue Estimates, Shares Drop
- ON Semiconductor Earnings Miss: ON Semiconductor reported fourth-quarter revenue of $1.53 billion, falling short of the LSEG consensus estimate of $1.54 billion, resulting in a nearly 6% drop in shares; however, adjusted earnings of 64 cents per share exceeded the forecast of 62 cents, indicating some operational strength despite revenue concerns.
- Upwork Client Decline: Upwork revealed that active clients at the end of 2025 totaled 785,000, down from 832,000 the previous year, leading to a 22% plunge in shares; additionally, the current quarter revenue guidance of $192 million to $197 million fell short of the $201 million consensus estimate, highlighting weakening market demand.
- Chegg Performance Decline: Chegg's fourth-quarter adjusted EBITDA was $12.9 million, a significant 65% drop year-over-year, with revenue at $72.7 million, down 49%, causing a 5% decline in shares; this stark performance decline underscores the challenges facing the online education sector.
- Aecom Earnings Beat Expectations: Aecom posted first-quarter adjusted earnings of $1.29 per share on revenue of $1.85 billion, surpassing analyst expectations of $1.17 per share and $1.76 billion in revenue, resulting in a roughly 3% increase in shares, reflecting the company's competitive strength and a rebound in market demand.
See More
AECOM Q1 Earnings Exceed Expectations with Raised Guidance
- Earnings Beat: AECOM reported a Q1 Non-GAAP EPS of $1.29, exceeding expectations by $0.13, reflecting strong performance in the design business and boosting market confidence.
- Revenue Performance: The company generated $3.83 billion in revenue, a 4.5% year-over-year decline, yet still beat expectations by $300 million, indicating AECOM's robust market adaptability despite challenges.
- Guidance Upgrade: AECOM raised its fiscal 2026 adjusted EPS guidance to between $5.85 and $6.05, driven by successful capital allocation strategies and a record backlog, enhancing visibility for future performance.
- Cash Flow and Tax Rate Adjustments: The company anticipates approximately $400 million in free cash flow and an adjusted effective tax rate of 20% to 22%, down from the previous 22% to 23%, which will further enhance profitability.
See More
AECOM Q1 Results Exceed Expectations, Raises Fiscal 2026 Earnings Guidance
- Strong Performance: AECOM reported Q1 revenue of $3.831 billion, a 5% year-over-year decline, yet net service revenue increased by 5%, indicating robust performance in the design business that is expected to drive future growth.
- Increased Buyback Authorization: The Board approved an increase in share repurchase authorization to $1 billion, having returned over $340 million to shareholders through buybacks and dividends in the last quarter, reflecting confidence in future cash flows.
- Record Backlog: Total backlog reached a record high of $25.962 billion, up 9% year-over-year, with a 1.5 book-to-burn ratio highlighting the company's competitive edge in large infrastructure projects, signaling stable revenue growth ahead.
- Strategic Business Review: AECOM completed a strategic review of its Construction Management business, deciding to retain and operate it, which underscores the company's confidence in its future potential and secures its leadership position in the market.
See More
