Aramark (ARMK) Given Average Rating of “Hold” by Brokerages

Shares of Aramark (NYSE:ARMK) have been given an average recommendation of “Hold” by the fifteen research firms that are presently covering the stock, MarketBeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and eight have assigned a buy recommendation to the company. The average 1 year target price among brokers that have covered the stock in the last year is $40.64.

A number of equities analysts have issued reports on ARMK shares. Nomura reiterated a “buy” rating and set a $46.00 target price on shares of Aramark in a report on Monday, February 11th. Berenberg Bank upgraded Aramark from a “hold” rating to a “buy” rating and set a $31.00 target price for the company in a report on Thursday, January 17th. Zacks Investment Research upgraded Aramark from a “sell” rating to a “hold” rating in a report on Friday, January 18th. Morgan Stanley set a $34.00 target price on Aramark and gave the stock a “hold” rating in a report on Wednesday, May 8th. Finally, Goldman Sachs Group cut Aramark from a “buy” rating to a “neutral” rating in a report on Monday, February 11th.

In related news, EVP Lynn Mckee sold 43,915 shares of the firm’s stock in a transaction dated Friday, March 8th. The shares were sold at an average price of $29.58, for a total value of $1,299,005.70. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Stephen P. Bramlage, Jr. bought 3,195 shares of the business’s stock in a transaction that occurred on Thursday, February 14th. The stock was purchased at an average price of $31.26 per share, with a total value of $99,875.70. The disclosure for this purchase can be found here. Corporate insiders own 3.30% of the company’s stock.

A number of large investors have recently modified their holdings of ARMK. Legal & General Group Plc lifted its stake in Aramark by 2.1% in the 3rd quarter. Legal & General Group Plc now owns 1,140,938 shares of the company’s stock valued at $49,084,000 after purchasing an additional 23,514 shares during the last quarter. Morgan Stanley lifted its stake in Aramark by 74.4% in the 3rd quarter. Morgan Stanley now owns 848,166 shares of the company’s stock valued at $36,488,000 after purchasing an additional 361,697 shares during the last quarter. Vanguard Group Inc lifted its stake in Aramark by 1.0% in the 3rd quarter. Vanguard Group Inc now owns 20,930,336 shares of the company’s stock valued at $900,423,000 after purchasing an additional 217,046 shares during the last quarter. Cerebellum GP LLC acquired a new stake in Aramark in the 4th quarter valued at about $256,000. Finally, State of Alaska Department of Revenue lifted its stake in Aramark by 6.1% in the 4th quarter. State of Alaska Department of Revenue now owns 65,201 shares of the company’s stock valued at $1,887,000 after purchasing an additional 3,776 shares during the last quarter.

ARMK stock traded down $0.12 during trading hours on Monday, reaching $31.20. 4,392,708 shares of the stock were exchanged, compared to its average volume of 3,188,040. The stock has a market cap of $7.72 billion, a PE ratio of 15.68, a price-to-earnings-growth ratio of 1.62 and a beta of 1.10. The company has a current ratio of 1.14, a quick ratio of 1.04 and a debt-to-equity ratio of 2.21. Aramark has a 12 month low of $25.49 and a 12 month high of $43.70.

Aramark (NYSE:ARMK) last released its earnings results on Tuesday, May 7th. The company reported $0.45 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.43 by $0.02. The firm had revenue of $4 billion during the quarter, compared to analysts’ expectations of $4.01 billion. Aramark had a return on equity of 17.31% and a net margin of 3.27%. The company’s revenue was up 1.5% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.48 EPS. On average, analysts forecast that Aramark will post 2.12 earnings per share for the current fiscal year.

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, May 30th. Stockholders of record on Thursday, May 16th will be paid a dividend of $0.11 per share. The ex-dividend date of this dividend is Wednesday, May 15th. This represents a $0.44 dividend on an annualized basis and a dividend yield of 1.41%. Aramark’s dividend payout ratio is 22.11%.

Aramark Company Profile

Aramark provides food, facilities management, and uniform services to education, healthcare, business and industry, sports, leisure, and corrections clients in North America and internationally. It operates in three segments: Food and Support Services United States, Food and Support Services International, and Uniform and Career Apparel.

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Analyst Recommendations for Aramark (NYSE:ARMK)

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