Aramark (NYSE:ARMK) Reaches New 12-Month High - Should You Buy?

Aramark (NYSE:ARMK - Get Free Report)'s share price hit a new 52-week high on Tuesday . The company traded as high as $44.01 and last traded at $43.63, with a volume of 1417502 shares changing hands. The stock had previously closed at $43.52.

Analyst Upgrades and Downgrades

ARMK has been the subject of a number of research reports. Wall Street Zen downgraded shares of Aramark from a "buy" rating to a "hold" rating in a report on Saturday, June 28th. UBS Group increased their price target on shares of Aramark from $40.00 to $44.00 and gave the company a "buy" rating in a report on Wednesday, May 7th. Morgan Stanley raised their price objective on shares of Aramark from $42.00 to $44.00 and gave the stock an "equal weight" rating in a report on Monday, June 30th. Finally, Royal Bank Of Canada reaffirmed an "outperform" rating and set a $47.00 price objective on shares of Aramark in a report on Wednesday, May 14th. Three equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $43.91.

Aramark Stock Up 0.4%

The firm has a market cap of $11.30 billion, a price-to-earnings ratio of 33.16 and a beta of 1.28. The company has a debt-to-equity ratio of 2.02, a quick ratio of 1.08 and a current ratio of 1.21. The business's 50-day moving average is $40.65 and its 200-day moving average is $37.45.

Aramark (NYSE:ARMK - Get Free Report) last announced its earnings results on Tuesday, May 6th. The company reported $0.34 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.33 by $0.01. The business had revenue of $4.33 billion during the quarter, compared to analysts' expectations of $4.35 billion. Aramark had a net margin of 1.97% and a return on equity of 15.07%. The firm's revenue for the quarter was up 1.9% on a year-over-year basis. During the same quarter last year, the company posted $0.30 EPS. On average, equities analysts predict that Aramark will post 1.92 EPS for the current year.

Aramark Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 28th. Investors of record on Wednesday, May 14th were given a dividend of $0.105 per share. This represents a $0.42 dividend on an annualized basis and a dividend yield of 0.97%. Aramark's dividend payout ratio (DPR) is currently 32.31%.

Institutional Investors Weigh In On Aramark

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Harbour Investments Inc. grew its position in shares of Aramark by 40,750.0% during the 1st quarter. Harbour Investments Inc. now owns 817 shares of the company's stock worth $28,000 after buying an additional 815 shares during the period. Bessemer Group Inc. grew its position in shares of Aramark by 93.0% during the 4th quarter. Bessemer Group Inc. now owns 770 shares of the company's stock worth $29,000 after buying an additional 371 shares during the period. Jones Financial Companies Lllp grew its position in shares of Aramark by 45.7% during the 4th quarter. Jones Financial Companies Lllp now owns 988 shares of the company's stock worth $37,000 after buying an additional 310 shares during the period. Parallel Advisors LLC grew its position in shares of Aramark by 160.7% during the 2nd quarter. Parallel Advisors LLC now owns 1,100 shares of the company's stock worth $46,000 after buying an additional 678 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. grew its position in shares of Aramark by 241.3% during the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 1,116 shares of the company's stock worth $47,000 after buying an additional 789 shares during the period.

Aramark Company Profile

Aramark provides food and facilities services to education, healthcare, business and industry, sports, leisure, and corrections clients in the United States and internationally. It operates through two segments, Food and Support Services United States, and Food and Support Services International. The company offers food-related managed services, including dining, catering, food service management, and convenience-oriented retail services; non-clinical food and food-related support services, such as patient food and nutrition, retail food, environmental services, and procurement services; and plant operations and maintenance, custodial/housekeeping, energy management, grounds keeping, and capital project management services.