Aramark (NYSE:ARMK) Releases Earnings Results, Beats Estimates By $0.03 EPS

Aramark (NYSE:ARMK) released its quarterly earnings results on Tuesday. The company reported $0.51 EPS for the quarter, topping the consensus estimate of $0.48 by $0.03, Zacks reports. The business had revenue of $4.55 billion during the quarter, compared to analysts’ expectations of $4.61 billion. Aramark had a return on equity of 14.06% and a net margin of 1.51%. The company’s quarterly revenue was up 3.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.41 earnings per share. Aramark updated its FY 2025 guidance to 1.910-1.980 EPS and its FY25 guidance to $1.91-1.98 EPS.

Aramark Stock Up 0.6 %

ARMK stock opened at $37.90 on Thursday. The company has a debt-to-equity ratio of 1.42, a current ratio of 0.81 and a quick ratio of 0.72. Aramark has a 12 month low of $28.51 and a 12 month high of $42.49. The firm has a market capitalization of $10.04 billion, a PE ratio of 38.28 and a beta of 1.64. The company’s 50 day simple moving average is $38.67 and its 200-day simple moving average is $37.70.

Aramark Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, February 24th. Shareholders of record on Monday, February 10th will be issued a $0.105 dividend. This represents a $0.42 annualized dividend and a dividend yield of 1.11%. The ex-dividend date is Monday, February 10th. This is an increase from Aramark’s previous quarterly dividend of $0.00. Aramark’s dividend payout ratio is 42.42%.

Analyst Ratings Changes

Several analysts have recently commented on the stock. Morgan Stanley raised their target price on shares of Aramark from $40.00 to $43.00 and gave the stock an “equal weight” rating in a research note on Thursday, December 12th. JPMorgan Chase & Co. lifted their price objective on Aramark from $41.00 to $45.00 and gave the company an “overweight” rating in a report on Tuesday, November 12th. The Goldman Sachs Group increased their target price on Aramark from $38.00 to $41.00 and gave the stock a “buy” rating in a research note on Wednesday, October 16th. StockNews.com downgraded Aramark from a “buy” rating to a “hold” rating in a research note on Tuesday, January 7th. Finally, Stifel Nicolaus increased their price objective on Aramark from $43.00 to $45.00 and gave the stock a “buy” rating in a research report on Tuesday, November 12th. Three analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $42.59.

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.