ABB logged a 2.1% change during today's afternoon session, and is now trading at a price of $34.29 per share. The S&P 500 index moved 0.0% and the Nasdaq posted a 0.2% change. ABB's trading volume is 1,078,542 compared to the stock's average volume of 1,354,827.
ABB shares moved -8.3% over the last 52 weeks, with a high of $37.67 and a low of $24.27. During this time, the stock outperformed the S&P 500 index by 4.3%. As of January 2022, the company's 50-day average price is $31.0. ABB Ltd engages in manufacture and sale of electrification, automation, robotics, and motion products for customers in utilities, industry and transport, and infrastructure in Switzerland and internationally. The large-cap Industrials company has 106,380 full time employees and is based in Zurich, Switzerland. ABB has returned a 2.7% dividend yield over the last 12 months.
The Company Has Positive Cash Flows and Earnings Trends:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | |
|---|---|---|---|
| Revenue (MM) | $27,978 | $26,134 | $28,945 |
| Revenue Growth | n/a | -6.59% | 10.76% |
| Gross Margins | 31.8% | 30.1% | 32.7% |
| Gross Margins Growth | n/a | -5.35% | 8.64% |
| Operating Margins | 8.1% | 7.7% | 11.6% |
| Operating Margins Growth | n/a | -4.94% | 50.65% |
| Earnings Per Share | $0.67 | $2.43 | $2.25 |
| EPS Growth | n/a | 262.69% | -7.41% |
| Free Cash Flow (MM) | $1,563 | $999 | $2,510 |
| FCF Growth | n/a | -36.08% | 151.25% |
| Capital Expenditures (MM) | -$762 | -$694 | -$820 |
| Net Debt / EBITDA | 1.96 | 1.27 | 0.36 |
ABB Is Reasonably Priced:
Compared to the Industrials sector's average of 21.46, ABB has a trailing twelve month P/E ratio of 16.7 and, according to its EPS guidance of 1.55, an expected P/E ratio of 22.1.
ABB's P/B ratio is 5.4 compared to its sector average of 3.7. Therefore the company is likely overvalued in terms of its equity. Additionally, the company's shares are currently trading 115.8% above their fair value as expressed by Benjamin Graham's formula:
√(22.5 * 3-year average EPS * book value per share) = √(22.5 * 1.78 * 6.306) = $15.89
Most of the Market Indicators on ABB Are Negative:
4 analysts are following ABB and have set target prices ranging from $29 to $40 per share. On average, they have given the company a rating of hold. At the current price of $34.29, ABB is trading -2.2% away from its average analyst target price of $35.06 per share, implying an analyst consensus of some upside potential for the stock.
