Aramark (NYSE:ARMK) Sets New 52-Week High – Still a Buy?

Aramark (NYSE:ARMK)’s stock price reached a new 52-week high during trading on Thursday . The company traded as high as $54.59 and last traded at $54.3190, with a volume of 708034 shares traded. The stock had previously closed at $53.30.

Analyst Upgrades and Downgrades

ARMK has been the subject of a number of research reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Aramark in a research note on Friday, March 27th. The Goldman Sachs Group restated a “buy” rating and set a $51.00 target price on shares of Aramark in a report on Wednesday, May 13th. Stifel Nicolaus lifted their target price on Aramark from $47.00 to $54.00 and gave the company a “buy” rating in a research report on Wednesday, May 13th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and set a $54.00 price target on shares of Aramark in a research note on Wednesday, May 13th. Finally, UBS Group raised their price objective on shares of Aramark from $48.00 to $56.00 and gave the company a “buy” rating in a research note on Wednesday, May 13th. Eleven research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Aramark presently has an average rating of “Moderate Buy” and an average price target of $55.33.

Aramark Stock Performance

The stock has a market capitalization of $14.35 billion, a PE ratio of 40.68, a price-to-earnings-growth ratio of 1.11 and a beta of 1.12. The company has a quick ratio of 1.07, a current ratio of 1.21 and a debt-to-equity ratio of 1.85. The stock has a fifty day moving average of $47.91 and a 200-day moving average of $42.10.

Aramark (NYSE:ARMK) last announced its quarterly earnings data on Tuesday, May 12th. The company reported $0.49 EPS for the quarter, topping analysts’ consensus estimates of $0.47 by $0.02. The business had revenue of $4.91 billion during the quarter, compared to the consensus estimate of $4.75 billion. Aramark had a return on equity of 17.05% and a net margin of 1.84%.The business’s revenue for the quarter was up 14.7% on a year-over-year basis. During the same period in the previous year, the company posted $0.35 earnings per share. Aramark has set its FY 2026 guidance at 2.180-2.280 EPS. Equities analysts anticipate that Aramark will post 2.24 earnings per share for the current fiscal year.

Aramark Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, June 3rd. Stockholders of record on Wednesday, May 20th were issued a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date was Wednesday, May 20th. Aramark’s dividend payout ratio (DPR) is presently 35.82%.

Institutional Trading of Aramark

A number of hedge funds and other institutional investors have recently bought and sold shares of ARMK. Capital International Investors increased its holdings in shares of Aramark by 1.0% in the 4th quarter. Capital International Investors now owns 24,894,503 shares of the company’s stock valued at $917,789,000 after acquiring an additional 247,594 shares during the last quarter. Janus Henderson Group PLC lifted its stake in Aramark by 0.7% during the fourth quarter. Janus Henderson Group PLC now owns 18,195,901 shares of the company’s stock worth $670,702,000 after purchasing an additional 128,199 shares during the last quarter. Farallon Capital Management LLC boosted its holdings in Aramark by 4.0% in the fourth quarter. Farallon Capital Management LLC now owns 9,357,046 shares of the company’s stock valued at $344,901,000 after purchasing an additional 360,844 shares in the last quarter. AQR Capital Management LLC increased its stake 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 purchasing an additional 5,492,046 shares during the last quarter. Finally, Dimensional Fund Advisors LP increased its stake in Aramark by 13.8% in the first quarter. Dimensional Fund Advisors LP now owns 7,177,184 shares of the company’s stock valued at $290,962,000 after purchasing an additional 868,900 shares during the last quarter.

Aramark Company Profile

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.