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Aramark (NYSE:ARMK) Receives Consensus Recommendation of "Moderate Buy" from Brokerages

Aramark logo with Business Services background
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Key Points

  • "Moderate Buy" consensus from 10 brokerages (8 buy, 2 hold) with an average 1‑year price target of $48.67, and several firms (Oppenheimer, Truist, Robert W. Baird) boosting targets to about $50.
  • Aramark slightly beat the quarter with $0.51 EPS vs. $0.50 est. and $4.83B revenue vs. $4.76B, and set FY2026 guidance of $2.18–$2.28 EPS (analysts expect $2.22).
  • The stock trades near $45.41 with a market cap of roughly $11.9B and a P/E around 38, and it pays a quarterly dividend of $0.12 (annualized yield ~1.1%).
  • Five stocks we like better than Aramark.

Aramark (NYSE:ARMK - Get Free Report) has been given an average recommendation of "Moderate Buy" by the ten brokerages that are currently covering the company, Marketbeat reports. Two analysts have rated the stock with a hold recommendation and eight have given a buy recommendation to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $48.6667.

A number of research firms have recently commented on ARMK. Robert W. Baird set a $50.00 price target on shares of Aramark in a research report on Wednesday, February 11th. Oppenheimer upped their target price on shares of Aramark from $43.00 to $50.00 and gave the stock an "outperform" rating in a research report on Wednesday, March 25th. UBS Group upped their target price on shares of Aramark from $47.00 to $48.00 and gave the stock a "buy" rating in a research report on Wednesday, April 8th. Truist Financial upped their target price on shares of Aramark from $46.00 to $50.00 and gave the stock a "buy" rating in a research report on Tuesday, February 17th. Finally, Morgan Stanley set a $45.00 target price on shares of Aramark in a research report on Tuesday, February 10th.

Get Our Latest Research Report on Aramark

Aramark Stock Down 0.4%

ARMK opened at $45.41 on Wednesday. The company has a fifty day moving average price of $41.94 and a 200-day moving average price of $39.58. The firm has a market capitalization of $11.94 billion, a P/E ratio of 38.16, a price-to-earnings-growth ratio of 1.11 and a beta of 1.06. The company has a debt-to-equity ratio of 1.94, a current ratio of 1.27 and a quick ratio of 1.13. Aramark has a one year low of $32.50 and a one year high of $46.88.

Aramark (NYSE:ARMK - Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The company reported $0.51 EPS for the quarter, beating analysts' consensus estimates of $0.50 by $0.01. The firm had revenue of $4.83 billion during the quarter, compared to analyst estimates of $4.76 billion. Aramark had a net margin of 1.69% and a return on equity of 16.15%. The business's revenue for the quarter was up 6.1% on a year-over-year basis. During the same period in the previous year, the business earned $0.51 EPS. Aramark has set its FY 2026 guidance at 2.180-2.280 EPS. Equities research analysts expect that Aramark will post 2.22 earnings per share for the current fiscal year.

Aramark Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, March 4th. Investors of record on Wednesday, February 18th were given a $0.12 dividend. The ex-dividend date was Wednesday, February 18th. This represents a $0.48 annualized dividend and a yield of 1.1%. Aramark's payout ratio is 40.34%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ARMK. Goldman Sachs Group Inc. grew its position in Aramark by 38.2% in the first quarter. Goldman Sachs Group Inc. now owns 489,646 shares of the company's stock worth $16,903,000 after acquiring an additional 135,224 shares in the last quarter. Creative Planning grew its position in Aramark by 36.0% in the second quarter. Creative Planning now owns 9,918 shares of the company's stock worth $415,000 after acquiring an additional 2,625 shares in the last quarter. Cetera Investment Advisers lifted its stake in Aramark by 7.4% in the second quarter. Cetera Investment Advisers now owns 8,294 shares of the company's stock worth $347,000 after purchasing an additional 573 shares during the last quarter. Arrowstreet Capital Limited Partnership bought a new stake in Aramark in the second quarter worth $640,000. Finally, Cerity Partners LLC lifted its stake in Aramark by 61.5% in the second quarter. Cerity Partners LLC now owns 16,097 shares of the company's stock worth $674,000 after purchasing an additional 6,127 shares during the last quarter.

About Aramark

(Get Free Report)

Aramark NYSE: ARMK is a global provider of food services, facilities management and uniform solutions, serving clients across a wide array of industries including education, healthcare, business and government. The company operates through three primary segments: Food and Support Services, Uniform and Career Apparel, and Facility Services, delivering integrated solutions designed to enhance guest experiences, improve operational efficiencies and maintain safe, clean environments. Aramark's offerings include corporate dining, patient and senior nutrition, campus dining, sports and entertainment concessions, custodial services, technical maintenance and industrial laundry.

Founded in 1959 and headquartered in Philadelphia, Pennsylvania, Aramark has expanded its footprint to more than 20 countries, with a strong presence in North America, Latin America, Europe and Asia.

Further Reading

Analyst Recommendations for Aramark (NYSE:ARMK)

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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