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

Key Points

• Aramark has a “Moderate Buy” consensus rating from 14 brokerages, with 12 analysts recommending a buy and two recommending a hold. The average 12-month price target is $69.14, above the reported share price of $56.34.
• Aramark exceeded quarterly expectations, reporting $0.52 EPS versus the $0.48 consensus estimate and $5.06 billion in revenue versus $4.94 billion expected. Revenue increased 9.3% year over year, and fiscal 2026 EPS guidance is $2.18–$2.28.
• The company declared a quarterly dividend of $0.12 per share, equivalent to $0.48 annually and a 0.9% yield. Several hedge funds also recently initiated or increased positions in Aramark.

Aramark (NYSE:ARMK - Get Free Report) has been assigned an average rating of "Moderate Buy" from the fourteen ratings firms that are currently covering the company, Marketbeat.com reports. Two investment analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. The average twelve-month price objective among analysts that have issued a report on the stock in the last year is $69.1429.

ARMK has been the topic of a number of research reports. Robert W. Baird boosted their price objective on Aramark from $63.00 to $69.00 and gave the company an "outperform" rating in a research note on Wednesday, August 12th. Stifel Nicolaus increased their target price on shares of Aramark from $54.00 to $70.00 and gave the stock a "buy" rating in a research report on Wednesday, August 12th. New Street Research set a $70.00 target price on shares of Aramark in a research note on Thursday, August 13th. JPMorgan Chase & Co. boosted their price target on shares of Aramark from $55.00 to $70.00 and gave the company an "overweight" rating in a research report on Thursday, August 13th. Finally, Truist Financial upped their price target on shares of Aramark from $58.00 to $70.00 and gave the company a "buy" rating in a research note on Monday, July 27th.

Hedge Funds Weigh In On Aramark

Several hedge funds have recently made changes to their positions in ARMK. Caitong International Asset Management Co. Ltd purchased a new stake in Aramark during the 3rd quarter worth about $28,000. Cedar Mountain Advisors LLC purchased a new position in Aramark during the 1st quarter valued at about $32,000. Kestra Advisory Services LLC bought a new stake in shares of Aramark during the fourth quarter valued at about $32,000. Elevation Wealth Partners LLC increased its position in shares of Aramark by 2,842.9% during the second quarter. Elevation Wealth Partners LLC now owns 618 shares of the company's stock valued at $35,000 after buying an additional 597 shares during the period. Finally, Quarry LP purchased a new stake in shares of Aramark in the third quarter worth about $35,000.

Aramark Price Performance

Shares of NYSE ARMK opened at $56.34 on Tuesday. The company has a current ratio of 1.28, a quick ratio of 1.14 and a debt-to-equity ratio of 1.80. The stock has a fifty day simple moving average of $57.53 and a two-hundred day simple moving average of $49.83. Aramark has a 1-year low of $35.07 and a 1-year high of $62.65. The firm has a market cap of $14.85 billion, a price-to-earnings ratio of 39.40, a price-to-earnings-growth ratio of 1.02 and a beta of 1.12.

Aramark (NYSE:ARMK - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported $0.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.48 by $0.04. The firm had revenue of $5.06 billion for the quarter, compared to analyst estimates of $4.94 billion. Aramark had a return on equity of 17.68% and a net margin of 1.93%.The business's revenue was up 9.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.40 earnings per share. Aramark has set its FY 2026 guidance at 2.180-2.280 EPS. Analysts anticipate that Aramark will post 2.27 earnings per share for the current year.

Aramark Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 9th. Shareholders of record on Wednesday, August 19th will be given a dividend of $0.12 per share. The ex-dividend date is Wednesday, August 19th. This represents a $0.48 annualized dividend and a dividend yield of 0.9%. Aramark's dividend payout ratio is currently 33.57%.

About Aramark

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.

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