U.S. Markets close in 2 hrs 46 mins

ABM to Offer Service Support to the Navy

Zacks Equity Research

ABM Government Services, an operating unit of ABM Industries Incorporated (ABM), and The Derichebourg Group’s Derichebourg Multi-Services have recently secured a contract from the U.S. Navy to provide service support at Signaller, Italy air station and other support sites in Sicily.

Under this joint venture, ABM Industries and Derichebourg will provide support services such as labor, supervision, management, tools, materials, equipment, facilities, transportation, incidental engineering and other services necessary to provide base operations. This joint venture will meet the day-to-day requirements of the U.S Navy in a professional and effective manner and will employ 75 people to serve the purpose.

The contract win amid stiff competition signifies the inherent service quality of ABM Industries. The company provides various mission critical services to address challenges of military and other government agencies, providing them with adequate mission support services.

ABM Industries has a healthy contract pipeline and is particularly strong in government business. In the last reported quarter, revenues increased 11.0% year over year to $1.17 billion largely driven by organic growth.

Headquartered in San Francisco, Calif., ABM Industries provides engineering, janitorial, parking, and security services to commercial, industrial, institutional, and retail facilities across the U.S. as well as Puerto Rico, British Columbia, and Canada.

ABM Industries currently has a Zacks Rank #3 (Hold). Other stocks that look promising and are worth considering now in the industry include US Ecology, Inc (ECOL), carrying a Zacks Rank #1 (Strong Buy), and Publicis Groupe SA (PUBGY) and  MDC Partners Inc (MDCA), both carrying a Zacks Rank #2 (Buy).

Read the Full Research Report on ECOL

Read the Full Research Report on PUBGY

Read the Full Research Report on ABM

Read the Full Research Report on MDCA

Zacks Investment Research

More From Zacks.com