Aramark (NYSE:ARMK) Price Target Raised to $49.00

Aramark (NYSE:ARMK) had its price objective increased by Citigroup from $46.50 to $49.00 in a report issued on Wednesday morning,Benzinga reports. They currently have a buy rating on the stock.

A number of other equities research analysts have also commented on ARMK. Morgan Stanley dropped their target price on Aramark from $44.00 to $43.00 and set an “equal weight” rating on the stock in a research report on Tuesday. Robert W. Baird cut their price objective on shares of Aramark from $47.00 to $46.00 and set an “outperform” rating on the stock in a research note on Tuesday. Baird R W upgraded shares of Aramark from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, August 6th. Stifel Nicolaus set a $44.00 price target on shares of Aramark in a report on Monday. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Aramark in a research note on Tuesday, October 14th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $45.67.

Aramark Stock Up 2.3%

ARMK stock opened at $37.84 on Wednesday. The stock has a market capitalization of $9.95 billion, a PE ratio of 28.03 and a beta of 1.24. Aramark has a 52 week low of $29.92 and a 52 week high of $44.49. The company has a quick ratio of 1.14, a current ratio of 1.29 and a debt-to-equity ratio of 2.03. The firm has a 50 day moving average of $38.37 and a 200 day moving average of $39.78.

Aramark (NYSE:ARMK) last posted its quarterly earnings results on Monday, November 17th. The company reported $0.57 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.65 by ($0.08). Aramark had a return on equity of 15.67% and a net margin of 2.02%.The company had revenue of $5.05 billion during the quarter, compared to analysts’ expectations of $5.16 billion. During the same period in the prior year, the business posted $0.54 EPS. The company’s quarterly revenue was up 14.3% on a year-over-year basis. Aramark has set its FY 2026 guidance at 2.180-2.28 EPS. Sell-side analysts forecast that Aramark will post 1.92 earnings per share for the current year.

Aramark Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, December 17th. Investors of record on Friday, December 5th will be given a dividend of $0.12 per share. This is a boost from Aramark’s previous quarterly dividend of $0.11. This represents a $0.48 annualized dividend and a yield of 1.3%. The ex-dividend date is Friday, December 5th. Aramark’s dividend payout ratio (DPR) is 39.34%.

Hedge Funds Weigh In On Aramark

Several institutional investors and hedge funds have recently modified their holdings of the business. Allianz Asset Management GmbH acquired a new position in shares of Aramark during the 1st quarter worth approximately $1,374,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Aramark during the first quarter worth $1,148,000. KLP Kapitalforvaltning AS lifted its holdings in Aramark by 2.7% during the first quarter. KLP Kapitalforvaltning AS now owns 53,300 shares of the company’s stock valued at $1,840,000 after purchasing an additional 1,400 shares in the last quarter. Egerton Capital UK LLP grew its position in shares of Aramark by 79.0% in the first quarter. Egerton Capital UK LLP now owns 2,075,126 shares of the company’s stock valued at $71,633,000 after purchasing an additional 916,054 shares during the period. Finally, Avantax Advisory Services Inc. increased its stake in shares of Aramark by 30.5% during the first quarter. Avantax Advisory Services Inc. now owns 22,744 shares of the company’s stock worth $785,000 after purchasing an additional 5,316 shares in the last quarter.

About Aramark

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.