Royal Bank Of Canada Forecasts Strong Price Appreciation for Aramark (NYSE:ARMK) Stock

Key Points

• Royal Bank of Canada raised Aramark’s price target from $60 to $70 and maintained an “outperform” rating, implying approximately 16% upside. Analysts overall hold a “Moderate Buy” consensus, with an average target of $69.14.
• Aramark exceeded quarterly expectations, reporting $0.52 in adjusted earnings per share versus the $0.48 consensus and $5.06 billion in revenue versus $4.94 billion expected. Revenue increased 9.3% year over year, while fiscal 2026 EPS guidance is $2.18–$2.28.
• Institutional interest has strengthened, with BlackRock and Jupiter Topco each establishing positions worth more than $1 billion, while AQR Capital Management increased its Aramark holdings by 163.1%.

Aramark (NYSE:ARMK - Get Free Report) had its price objective lifted by Royal Bank Of Canada from $60.00 to $70.00 in a report released on Wednesday,Benzinga reports. The firm presently has an "outperform" rating on the stock. Royal Bank Of Canada's target price would suggest a potential upside of 16.04% from the company's current price.

Several other brokerages have also recently weighed in on ARMK. New Street Research set a $70.00 price objective on shares of Aramark in a research note on Thursday, August 13th. Citigroup increased their target price on shares of Aramark from $70.50 to $74.00 and gave the stock a "buy" rating in a research report on Thursday, August 13th. UBS Group raised their target price on shares of Aramark from $67.00 to $71.00 and gave the stock a "buy" rating in a report on Wednesday, August 12th. The Goldman Sachs Group reiterated a "buy" rating and issued a $70.00 price target on shares of Aramark in a research report on Wednesday, August 12th. Finally, Bank of America increased their price target on Aramark from $59.00 to $62.00 and gave the stock a "buy" rating in a research report on Tuesday, June 2nd. Twelve research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. According to MarketBeat, Aramark has a consensus rating of "Moderate Buy" and an average price target of $69.14.

Aramark Stock Performance

Shares of NYSE ARMK opened at $60.32 on Wednesday. The company has a debt-to-equity ratio of 1.80, a current ratio of 1.28 and a quick ratio of 1.14. The firm has a market cap of $15.90 billion, a price-to-earnings ratio of 42.24, a P/E/G ratio of 1.10 and a beta of 1.12. The stock's fifty day moving average price is $56.62 and its two-hundred day moving average price is $48.55. Aramark has a one year low of $35.07 and a one year high of $62.65.

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

Hedge Funds Weigh In On Aramark

Several hedge funds and other institutional investors have recently modified their holdings of the business. BlackRock Inc. bought a new position in Aramark in the second quarter valued at about $1,411,586,000. Jupiter Topco LLC acquired a new stake in shares of Aramark in the 2nd quarter valued at approximately $1,041,407,000. AQR Capital Management LLC boosted its position in Aramark by 163.1% in the fourth quarter. AQR Capital Management LLC now owns 8,860,010 shares of the company's stock valued at $326,580,000 after buying an additional 5,492,046 shares in the last quarter. Milford Funds Ltd. bought a new stake in shares of Aramark during the fourth quarter worth $181,204,000. Finally, Norges Bank acquired a new position in shares of Aramark during the fourth quarter worth $128,738,000.

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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