NYSE: ABB
ABB Ltd
Industrials · Electrical Equipment & Parts
Market Cap
$69.02B
52w High
$37.76
52w Low
$24.27
P/E
19.93
Volume
6.39M
Outstanding Shares
1.86B
Performance
Return analysis
Price vs Fundamentals
Why The Stock Is Moving
Note: The most recent financial data is over 3 months old. Metrics shown may not reflect the latest reporting period.
What changed
The stock rose 18.16% over the last year. Revenue grew 8.47% over the trailing twelve months. Operating margin moved from 18.3% to 14.04%. Free cash flow grew 65.26% over the trailing twelve months.
What the market seems to be pricing
The stock is trading toward the richer end of its historical P/FCF range (75th percentile) while business metrics are improving. More of the upside is already embedded in the multiple now.
What would invalidate this read
Operating margin is at 14.04% — continued expansion would be needed to justify the premium. Revenue growth of 8.47% is encouraging, but any deceleration puts the stretched multiple at risk. This read changes if revenue, margins, and cash flow continue to improve faster than expected — in that case the richer multiple could still prove conservative.
Company profile
ABB Ltd, a global technology pioneer established in 1883 and headquartered in Zurich, Switzerland, innovates and delivers a diverse range of products and systems.
Valuation
Stock splits
Every 1 shares became 4
Profitability & growth
Analyst consensus
10
Buy
13
Hold
2
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
Jul 20, 2023
Q4 FY23 · EPS est $0.43 · Revenue est —
View
Dividends
$0.92/shareAnnual4yr growth streakAt RiskABB pays a dividend with a 2.48% dividend yield, 4 consecutive years of growth, growing at 2.66% annually, covered 0.3× by free cash flow.
Dividend Yield
2.48%
Annual Div / Share
$0.92
TTM $1.16
5yr CAGR
+2.66%
Doubles every ~26.4yr
Payout Ratio
42.79%
At Risk
Dividend Growth Rate
3yr CAGR
+3.66%
5yr CAGR
+2.66%
10yr CAGR
+2.41%
Dividend History
Annual dividends paid per share
Income Projection
Today
$2/mo
In 5 yrs
$2/mo
In 10 yrs
$3/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$25/yr $2/mo | $28/yr+14% $2/mo | $32/yr+30% $3/mo |
Yield-on-cost grows from 2.48% → 3.22% over 10yr
Analysis
Dividend Strengths
No strong strength signal stands out from the latest period pair.
Risks to Watch
Dividend exceeds free cash flow
Free cash flow covers only 0.31× the dividend. The company is paying out more than it generates in cash, which is unsustainable without borrowing or asset sales.