Bloomberg reports that all eight research companies keeping an eye on Aramark (NYSE: ARMK) have advised investors to “Hold” the stock. Six equity research analysts gave the stock a hold recommendation, while two gave the company a buy rating. The average price target for the stock analysts rated in the past year is $39.50.
Several equity research analysts recently commented on the stock. In a research note released on Wednesday, August 10, Deutsche Bank Aktiengesellschaft raised the stock’s rating from “hold” to “buy” and raised their price target on shares of Aramark from $38.00 to $40.00 in a research note. StockNews.com published its debut story on Aramark shares on Wednesday, October 12. They rated the stock as a “keep.” In a research note released on Tuesday, September 27, Morgan Stanley increased their price objective for Aramark shares from $37.00 to $38.00 and recommended “equal weight” for the stock. On Thursday, October 13, the Royal Bank of Canada reduced its target price on shares of Aramark from $41.00 to $38.00 and rated the stock as “sector perform.” In a research note on Tuesday, October 25, Jefferies Financial Group reiterated a “hold” rating on Aramark’s shares and set a $36.00 price objective in a research note on Tuesday, October 25.
Hedge funds recently changed the proportion of the stock they were holding. CWM LLC grew its holdings in Aramark by 108.4% in the first quarter. After acquiring the additional 347 shares during the most recent quarter for a cost of $2,500, CWM LLC now owns 667 shares, valued at $25,000. Allworth Financial LP increased its Aramark holdings by almost $28,000 during the first quarter. PNC Financial Services Group Inc. boosted its ownership of Aramark shares by 35.9% during the first quarter. Following the acquisition of an additional 447 shares as of the most recent quarter, PNC Financial Services Group Inc. now owns 1,693 shares, valued at $64,000. Prospera Financial Services Inc. made a roughly $141,000 investment in a new Aramark position during the first quarter. I should add that during the first quarter, MetLife Investment Management LLC increased the value of its shares of Aramark by more than $174,000.
Tuesday’s opening price for the ARMK shares was $36.50. The preceding year, Aramark’s top and low points were $39.95 and $28.74, respectively. The company’s debt-to-equity ratio, quick ratio, and current ratio are 2.77, 1.05, and 1.25, respectively. The 50-day and 200-day moving averages for the company’s stock are $35.15 and $34.19. The company is a potential investment with a $9.41 billion market cap, a price-to-earnings ratio of 59.84, a PEG ratio of 0.51, and a beta of 1.65.
Aramark (NYSE: ARMK) issued its most recent quarterly results on Tuesday, August 9. For the quarter, earnings per share were $0.25, $0.02 more than the $0.23 consensus expectation. Aramark had a net margin of 1.00% and a return on equity of 8.25%. Analyst projections of $3.81 billion surpassed the company’s quarterly sales of $4.13 billion. The company generated $0.04 in profit per share during the same quarter last year. Aramark’s quarterly revenue climbed 38.4% year over year. According to sell-side analysts, Aramark is expected to post 1.18 EPS for the current fiscal year, according to sell-side analysts.
Recently released was the company’s quarterly dividend, distributed on August 30. On Wednesday, August 17, shareholders of record received a dividend of $0.11 per share. The ex-dividend date for this dividend was Tuesday, August 16. This results in a dividend yield of 1.21% and an annual payout of $0.44. Aramark’s payout percentage is 72.13%.
Aramark offers uniform services in addition to meals and amenities. Its three operating segments are Food and Support Services, International, and Food and Support Services United States (FSS United States). The FSS United States branch helps schools, colleges, universities, hospitals, corporations, sports, entertainment, and recreation venues, conference and convention centers, national and state parks, and prisons with food, hospitality, and facility services.
Read More: Brokerages’ Average Rating for Aramark (NYSE:ARMK) Is “Hold”