What are the investment strengths of AECOM (ACM)?

Dominant scale (16.1B revenue vs 27M median) with positive ROIC (10.3%) in an industry where median returns are deeply negative (-22%). Scale drives pricing power. FCF of 685M TTM supports 1.04 dividend and buybacks while maintaining 1.3x debt/equity - sustainable capital return without balance sheet stress.

What are the investment risks for AECOM (ACM)?

Goodwill (3.7B) exceeds total equity (2.5B) by 48% - any write-down directly impairs book value. Tangible book already negative at -1.4B. Thin margins (6.6% operating, 3.5% net TTM) leave little buffer if project delays or cost overruns occur. Interest expense of 184M is 33% of net income.

AECOM

ACM

—

AECOM AI Insights

Informational only. Not investment advice.

As of 2025-12-16

Snapshot

Goodwill of 3.7B is 148% of equity (2.5B TTM) - tangible book value is negative (-1.4B), creating impairment risk if infrastructure spending slows.[Goodwill]
ROIC of 10.3% TTM vs industry median of -22% - rare profitable operator in a sector where most peers destroy capital.[Return on Invested Capital]
FCF of 685M TTM on 16.1B revenue (4.2% yield) with capex only 137M - asset-light model generates cash without heavy reinvestment.[Free Cash Flow]

Watch Triggers

Goodwill: Any impairment charge or goodwill growth exceeding revenue growth — At 148% of equity, even 10% impairment would erase 60% of tangible equity
Operating Margin TTM: Decline below 5% — Thin margins mean small compression eliminates profitability advantage vs peers
Free Cash Flow TTM: FCF conversion drops below 70% of operating cash flow — Working capital swings in project-based business can consume cash quickly

Bull Case

Dominant scale (16.1B revenue vs 27M median) with positive ROIC (10.3%) in an industry where median returns are deeply negative (-22%). Scale drives pricing power.

Total Revenue TTMReturn on Invested Capital TTM

FCF of 685M TTM supports 1.04 dividend and buybacks while maintaining 1.3x debt/equity - sustainable capital return without balance sheet stress.

Free Cash Flow TTMDebt to Equity

Bear Case

Goodwill (3.7B) exceeds total equity (2.5B) by 48% - any write-down directly impairs book value. Tangible book already negative at -1.4B.

Goodwill TTMTangible Book Value TTM

Thin margins (6.6% operating, 3.5% net TTM) leave little buffer if project delays or cost overruns occur. Interest expense of 184M is 33% of net income.

Operating Margin TTMInterest Expense TTM

Bull vs Bear Balance

AI-generated sentiment analysis based on fundamental metrics and market conditions.

55%

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Forward Thesis

Infrastructure bill tailwinds should drive mid-single-digit revenue growth through 2027

1-3ymed

5-year revenue CAGR of 3.2% with federal infrastructure spending ramping
Asset-light model (capex <1% of revenue) scales without capital intensity
Operating margin of 6.6% TTM has room to expand with volume leverage

Revenue 16.1B TTM growing vs 27M industry medianOperating income 1.1B TTM vs industry median of -13MFCF conversion 83% of operating cash flow TTM

Valuation Context

Caveats

Public Strategies Rankings

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ACM Fundamentals

Professional, Scientific, and Technical Services → Professional, Scientific, and Technical Services

Metric	Value	YoY Growth	Industry Percentile
Market Cap	$13.1B		—
Enterprise Value	$14.74B		—
P/E Ratio	19		—
Total Revenue - TTM	$16.14B	+0.2%	—
Earnings Per Share (diluted) - TTM	$5.14	+20.0%	—
Operating Margin - TTM	6.56%	+0.8%	—
Net Margin - TTM	3.48%	+1.0%	—
Free Cash Flow - TTM	$684.93M	-3.2%	—
Return on Common Equity - TTM	0.24	+5.7%	—
Beta 5Y (Monthly)	unknown		—

ACM Dividend History

17 dividends

2026

$0.3100

01/07/26$0.3100

2025

$1.0400

10/01/25$0.2600

07/02/25$0.2600

04/02/25$0.2600

01/02/25$0.2600

2024

$0.8800

10/02/24$0.2200

07/03/24$0.2200

04/23/24$0.2200

01/03/24$0.2200

2023

$0.7200

10/04/23$0.1800

07/05/23$0.1800

04/04/23$0.1800

01/03/23$0.1800

2022

$0.6000

10/04/22$0.1500

07/05/22$0.1500

04/05/22$0.1500

01/04/22$0.1500

ACM Stock Splits

No stock splits

ACM SEC Filings

Filing Date	Report Date	Report Type	Filing Link
11/19/25	09/30/25	Unknown	0000868857-25-000013
08/05/25	06/30/25	10-Q	0000868857-25-000009
05/06/25	03/31/25	10-Q	0001628280-25-022703
02/04/25	12/31/24	10-Q	0001628280-25-003563
11/19/24	09/30/24	10-K	0001410578-24-002030
08/06/24	06/30/24	10-Q	0001410578-24-001162
05/07/24	03/31/24	10-Q	0001410578-24-000608
02/07/24	12/31/23	10-Q	0001104659-24-011234
11/15/23	09/30/23	10-K	0001104659-23-118329
08/09/23	06/30/23	10-Q	0001104659-23-089320
05/09/23	03/31/23	10-Q	0001104659-23-057746
02/07/23	12/31/22	10-Q	0001104659-23-011748
11/17/22	09/30/22	10-K	0001104659-22-119637
08/10/22	06/30/22	10-Q	0001104659-22-088639
05/11/22	03/31/22	10-Q	0001104659-22-058788
02/09/22	12/31/21	10-Q	0001104659-22-017113
11/17/21	09/30/21	10-K	0001104659-21-140569
08/11/21	06/30/21	10-Q	0001104659-21-103471
05/12/21	03/31/21	10-Q	0001104659-21-065121
02/10/21	12/31/20	10-Q	0001104659-21-019804
11/19/20	09/30/20	10-K	0001104659-20-126988
08/05/20	06/30/20	10-Q	0001104659-20-090849
05/06/20	03/31/20	10-Q	0001104659-20-057467
02/05/20	12/31/19	10-Q	0001104659-20-010948
11/13/19	09/30/19	10-K	0001104659-19-063367
08/07/19	06/30/19	10-Q	0001410578-19-000699
05/08/19	03/31/19	10-Q	0001104659-19-027808
02/06/19	12/31/18	10-Q	0001104659-19-005909
11/13/18	09/30/18	10-K	0001047469-18-007225
08/08/18	06/30/18	10-Q	0001104659-18-050252
05/09/18	03/31/18	10-Q	0001104659-18-031717
02/07/18	12/31/17	10-Q	0001104659-18-007234
11/14/17	09/30/17	10-K	0001047469-17-007051
08/09/17	06/30/17	10-Q	0001104659-17-050693
05/10/17	03/31/17	10-Q	0001104659-17-031553
02/08/17	12/31/16	10-Q	0001104659-17-007446
11/16/16	09/30/16	10-K	0001047469-16-016739
08/10/16	06/30/16	10-Q	0001104659-16-138644
05/11/16	03/31/16	10-Q	0001104659-16-120098
02/10/16	12/31/15	10-Q	0001104659-16-095481
11/25/15	09/30/15	10-K	0001047469-15-008965
08/12/15	06/30/15	10-Q	0001104659-15-058803
05/13/15	03/31/15	10-Q	0001104659-15-037590
02/11/15	12/31/14	10-Q	0001104659-15-008334
11/17/14	09/30/14	10-K	0001047469-14-009283
08/06/14	06/30/14	10-Q	0001104659-14-057060
05/07/14	03/31/14	10-Q	0001104659-14-035380
02/05/14	12/31/13	10-Q	0001104659-14-006455
11/13/13	09/30/13	10-K	0001047469-13-010484
08/07/13	06/30/13	10-Q	0001104659-13-060577
05/08/13	03/31/13	10-Q	0001104659-13-038317
02/06/13	12/31/12	10-Q	0001104659-13-007676
11/19/12	09/30/12	10-K	0001047469-12-010679
08/08/12	06/30/12	10-Q	0001104659-12-055373
05/07/12	03/31/12	10-Q	0001104659-12-033350
02/06/12	12/31/11	10-Q	0001104659-12-006641
11/21/11	09/30/11	10-K	0001047469-11-009697
08/05/11	06/30/11	10-Q	0001104659-11-044335
05/06/11	03/31/11	10-Q	0001104659-11-026894
02/09/11	12/31/10	10-Q	0001104659-11-005933
11/22/10	09/30/10	10-K	0001047469-10-009946
08/06/10	06/30/10	10-Q	0001104659-10-042489
05/07/10	03/31/10	10-Q	0001104659-10-026878
02/10/10	12/31/09	10-Q	0001104659-10-005810
11/27/09	09/30/09	10-K	0001047469-09-010452
08/07/09	06/30/09	10-Q	0001104659-09-048257
05/08/09	03/31/09	10-Q	0001104659-09-031089
02/10/09	12/31/08	10-Q	0001104659-09-008041
12/01/08	09/30/08	10-K	0001047469-08-012648
08/08/08	06/30/08	10-Q	0001104659-08-051276
05/09/08	03/30/08	Unknown	--
02/13/08	12/31/07	10-Q	0001104659-08-009607
12/13/07	09/30/07	10-K	0001047469-07-010009
08/09/07	06/30/07	10-Q	0001104659-07-060959
05/07/07	03/30/07	Unknown	--
12/31/06	12/31/06	Unknown	--
09/30/06	09/30/06	Unknown	--
06/30/06	06/30/06	Unknown	--
03/31/06	03/30/06	Unknown	--
12/31/05	12/31/05	Unknown	--
09/30/05	09/30/05	Unknown	--
06/30/05	06/30/05	Unknown	--
03/31/05	03/30/05	Unknown	--
12/31/04	12/31/04	Unknown	--