Here’s What Analysts Think About Aecom (ACM)

Aecom (NYSE:ACM) is one of the best strong buy stocks to invest in right now. On December 19, Barclays analyst Adam Seiden downgraded Aecom (NYSE:ACM) to Equal Weight from Overweight and brought the price target down to $100 from $135. The rating update came as part of the firm adjusting ratings in the machinery and construction group to reflect its 2026 outlook, with the firm maintaining a positive outlook for the sector going into 2026.

AECOM (ACM) Faces Reassessment as Barclays Shifts Focus Within Construction Sector

Barclays anticipates modest share gains following several years of strong performance, and is inclined towards machinery and rental companies because of macroeconomic and cyclical factors. The firm added that the price target downgrade for Aecom (NYSE:ACM) exhibits its targets being tied to AI, which adds “complexity” to the matter and could impede the stock’s multiple.

Aecom (NYSE:ACM) also received a rating update from Truist on December 18. The firm lowered its price target on the stock to $126 from $148 while maintaining a Buy rating. It provided the rating update as part of a broader research note previewing Machinery, Infrastructure Services, and Multi-Industry industrial names in 2026, stating that it continues to favor the broader power markets, such as Transmission & Distribution and Power Generation, supported by data centers or AI.

However, Truist also believes that investors would be looking for cracks showing a peak in demand, and thus backlog growth would be a significant focus. This holds especially true given the risks related to hyperscalers and as capacity comes online.

Aecom (NYSE:ACM) designs, manufactures, finances, and operates infrastructure assets for businesses, governments, and organizations. The company’s operations are divided into the following segments: Americas, International, and AECOM Capital.

While we acknowledge the potential of ACM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ACM and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.