Aramark (NYSE:ARMK) Receives $42.23 Average Target Price from Brokerages

Aramark (NYSE:ARMK) has earned an average recommendation of “Moderate Buy” from the eleven brokerages that are covering the stock, MarketBeat Ratings reports. Two analysts have rated the stock with a hold recommendation and nine have given a buy recommendation to the company. The average 1-year price target among brokers that have covered the stock in the last year is $42.23.

Several research analysts have issued reports on the stock. UBS Group raised their price target on shares of Aramark from $40.00 to $44.00 and gave the stock a “buy” rating in a report on Tuesday, October 8th. StockNews.com upgraded shares of Aramark from a “sell” rating to a “hold” rating in a report on Tuesday, October 29th. Robert W. Baird increased their price target on Aramark from $38.00 to $44.00 and gave the stock a “neutral” rating in a report on Tuesday, November 12th. Deutsche Bank Aktiengesellschaft raised Aramark from a “hold” rating to a “buy” rating and lifted their price objective for the stock from $36.00 to $39.00 in a research report on Wednesday, August 7th. Finally, The Goldman Sachs Group lifted their target price on Aramark from $38.00 to $41.00 and gave the stock a “buy” rating in a report on Wednesday, October 16th.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Geode Capital Management LLC raised its holdings in shares of Aramark by 1.1% in the 3rd quarter. Geode Capital Management LLC now owns 4,363,113 shares of the company’s stock worth $169,028,000 after acquiring an additional 45,384 shares during the last quarter. M&T Bank Corp raised its stake in shares of Aramark by 5.5% in the third quarter. M&T Bank Corp now owns 16,206 shares of the company’s stock worth $628,000 after purchasing an additional 838 shares during the last quarter. Barclays PLC lifted its holdings in shares of Aramark by 57.6% in the third quarter. Barclays PLC now owns 189,418 shares of the company’s stock valued at $7,336,000 after purchasing an additional 69,223 shares in the last quarter. Y Intercept Hong Kong Ltd purchased a new position in shares of Aramark during the third quarter valued at approximately $716,000. Finally, Quarry LP boosted its position in shares of Aramark by 1,322.0% during the third quarter. Quarry LP now owns 2,972 shares of the company’s stock valued at $115,000 after buying an additional 2,763 shares during the last quarter.

Aramark Stock Performance

Shares of Aramark stock opened at $40.86 on Wednesday. The stock has a market cap of $10.76 billion, a price-to-earnings ratio of 41.13 and a beta of 1.62. Aramark has a twelve month low of $26.58 and a twelve month high of $42.04. The company’s fifty day moving average is $38.34 and its 200 day moving average is $35.44. The company has a quick ratio of 0.72, a current ratio of 0.81 and a debt-to-equity ratio of 1.42.

Aramark (NYSE:ARMK) last issued its quarterly earnings results on Monday, November 11th. The company reported $0.54 earnings per share for the quarter, meeting the consensus estimate of $0.54. The company had revenue of $4.42 billion during the quarter, compared to analysts’ expectations of $4.46 billion. Aramark had a return on equity of 14.06% and a net margin of 1.51%. The business’s quarterly revenue was up 5.2% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.64 earnings per share. Sell-side analysts forecast that Aramark will post 1.92 EPS for the current year.

Aramark Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Investors of record on Monday, December 2nd will be issued a $0.001 dividend. This represents a $0.00 dividend on an annualized basis and a dividend yield of 0.01%. The ex-dividend date is Monday, December 2nd. Aramark’s dividend payout ratio is currently 42.42%.

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.