According to Zacks, “ABB has a decent earnings history, with three beats and one miss in the four trailing quarters, for an average surprise of 19.1%. ABB’s results are benefiting from diligent cost savings and higher efficiency as a result of restructuring. Nevertheless, volatility in the oil & gas industry and currency fluctuations are expected to pose as major headwinds, marring the company’s prospects. This apart, escalating geopolitical tension triggered by the Brexit referendum and weakness in key end markets are expected to play spoilsport. ABB’s recent decision to retain its Power Grids business, its least profitable unit, will increase the pressure on ABB to improve its performance. In addition, a stringent competitive environment, volatility in price of raw materials and dwindling customer expenditure are expected to add to the woes.Also, poor sales and higher restructuring costs are a concern.”
Several other analysts have also commented on ABB. Goldman Sachs Group Inc. reaffirmed a sell rating on shares of ABB in a report on Thursday, September 22nd. Robert W. Baird lifted their price objective on ABB from $21.00 to $24.00 and gave the stock a neutral rating in a report on Wednesday, October 5th. Bank of America Corp. set a $23.00 price objective on ABB and gave the stock a hold rating in a report on Tuesday, October 4th. JPMorgan Chase & Co. reaffirmed a neutral rating on shares of ABB in a report on Monday, June 13th. Finally, Citigroup Inc. reaffirmed a sell rating on shares of ABB in a report on Wednesday, October 5th. Four research analysts have rated the stock with a sell rating, eight have issued a hold rating and four have given a buy rating to the stock. The stock currently has a consensus rating of Hold and a consensus target price of $23.75.
Shares of ABB (NYSE:ABB) opened at 22.37 on Thursday. The stock has a market cap of $47.58 billion, a PE ratio of 29.01 and a beta of 1.20. The firm has a 50 day moving average price of $22.33 and a 200 day moving average price of $20.97. ABB has a 12-month low of $15.74 and a 12-month high of $22.92.
ABB (NYSE:ABB) last posted its quarterly earnings results on Thursday, July 21st. The company reported $0.35 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.26 by $0.09. ABB had a return on equity of 16.86% and a net margin of 4.91%. The firm earned $8.68 billion during the quarter, compared to analysts’ expectations of $8.83 billion. During the same quarter in the previous year, the business earned $0.33 earnings per share. The company’s revenue was down 5.3% on a year-over-year basis. On average, equities analysts expect that ABB will post $1.08 EPS for the current year.
Institutional investors have recently added to or reduced their stakes in the company. First Interstate Bank raised its position in ABB by 40.1% in the second quarter. First Interstate Bank now owns 6,065 shares of the company’s stock worth $120,000 after buying an additional 1,735 shares during the period. Sei Investments Co. raised its position in ABB by 121.5% in the second quarter. Sei Investments Co. now owns 6,597 shares of the company’s stock worth $131,000 after buying an additional 3,618 shares during the period. BlackRock Institutional Trust Company N.A. acquired a new position in ABB during the first quarter worth $150,000. Smith Asset Management Group LP acquired a new position in ABB during the second quarter worth $186,000. Finally, Suntrust Banks Inc. raised its position in ABB by 1.5% in the second quarter. Suntrust Banks Inc. now owns 10,342 shares of the company’s stock worth $203,000 after buying an additional 157 shares during the period. 3.27% of the stock is owned by hedge funds and other institutional investors.
ABB Ltd (ABB) is engaged in power and automation technologies. The Company manages its business based on five divisions: Discrete Automation and Motion, Low Voltage Products, Process Automation, Power Products and Power Systems. The Discrete Automation and Motion division provides low-voltage and medium-voltage drive products and systems for industrial, commercial and residential applications.
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