Louis Navellier’s 10 New Stock Picks

5. AECOM (NYSE:ACM)

Number of Hedge Fund Holders as of Q4: 31

Navellier & Associates’ Equity Stake: $3.96 Million

AECOM (NYSE:ACM) is an American multinational infrastructure consulting firm headquartered in Dallas, Texas. The company offers a comprehensive range of services such as Archaeology, Architecture & Design, Urban Planning, Landscape Architecture, Asset Management, Construction, Cost Management, Decommissioning & Closure, Economics, Engineering, Environmental Services, International Development, and IT & Cyber Security.

AECOM (NYSE:ACM) recently reported strong financial results, with fourth quarter revenue rising 7% to $4.1 billion, operating income increasing 194% to $236 million, and net income surging 396% to $168 million. Diluted earnings per share (EPS) for the quarter jumped 421% to $1.25, surpassing estimates of $1.10.

For the full fiscal year, AECOM achieved a 12% increase in revenue to $16.1 billion, a 155% increase in operating income to $827 million, a 343% increase in net income to $506 million, and a 358% rise in diluted EPS to $3.71, exceeding its previously-raised guidance and setting new company records.

Looking ahead, AECOM (NYSE:ACM) anticipates delivering record net service revenue, profitability, and margins in fiscal 2025, along with continued strong cash flow conversion. The company expects its financial performance to follow a typical seasonal pattern, with growth accelerating as the year progresses. Full-year EBITDA is projected to range between $1,170 million and $1,210 million, representing a 9% increase at the midpoint over fiscal 2024. The expected EBITDA margin is 16.3%, a 30 basis point improvement from the prior year. Additionally, AECOM forecasts EPS between $5.00 and $5.20 for the full year, reflecting a 13% increase at the midpoint compared to fiscal 2024, highlighting the firm’s ongoing momentum and confidence in achieving further financial and operational milestones.

Investor confidence in AECOM (NYSE:ACM) grows steadily, as reflected by a notable increase in hedge fund participation. 31 hedge funds out of 1,009 in Insider Monkey’s database held stakes in the company, with a combined stake of nearly $486 million by the end of Q4 2024, as opposed to 24 hedge funds at the end of Q3 the same year, signaling growing confidence in the trusted global infrastructure leader.