Aramark (NYSE:ARMK) Given Consensus Rating of "Moderate Buy" by Analysts

Aramark (NYSE:ARMK - Get Free Report) has earned an average recommendation of "Moderate Buy" from the twelve ratings firms that are covering the company, MarketBeat reports. Two analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average 1-year price objective among brokerages that have issued ratings on the stock in the last year is $43.42.

Several brokerages have recently issued reports on ARMK. Citigroup began coverage on shares of Aramark in a research report on Monday, February 24th. They issued a "buy" rating and a $48.00 target price on the stock. Stifel Nicolaus raised their price objective on Aramark from $43.00 to $45.00 and gave the stock a "buy" rating in a report on Tuesday, November 12th. Royal Bank of Canada reissued an "outperform" rating and issued a $47.00 target price on shares of Aramark in a report on Thursday, February 6th. Robert W. Baird raised their price target on Aramark from $44.00 to $45.00 and gave the stock a "neutral" rating in a research note on Thursday, December 12th. Finally, Morgan Stanley boosted their price objective on Aramark from $40.00 to $43.00 and gave the company an "equal weight" rating in a research note on Thursday, December 12th.

Aramark Stock Down 2.6 %

ARMK traded down $0.97 during trading hours on Friday, hitting $36.08. 1,066,987 shares of the company's stock were exchanged, compared to its average volume of 2,053,189. The firm has a market cap of $9.56 billion, a P/E ratio of 28.39 and a beta of 1.64. The company has a current ratio of 0.94, a quick ratio of 0.84 and a debt-to-equity ratio of 1.61. Aramark has a 12-month low of $29.82 and a 12-month high of $42.49. The firm has a 50 day moving average of $37.79 and a 200 day moving average of $38.13.

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Aramark (NYSE:ARMK - Get Free Report) last issued its quarterly earnings results on Tuesday, February 4th. The company reported $0.51 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.48 by $0.03. Aramark had a net margin of 1.94% and a return on equity of 14.72%. The company had revenue of $4.55 billion during the quarter, compared to the consensus estimate of $4.61 billion. During the same quarter in the previous year, the firm earned $0.41 earnings per share. The firm's quarterly revenue was up 3.3% on a year-over-year basis. Analysts predict that Aramark will post 1.92 EPS for the current fiscal year.

Aramark Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, February 24th. Stockholders of record on Monday, February 10th were paid a $0.105 dividend. This represents a $0.42 annualized dividend and a dividend yield of 1.16%. The ex-dividend date was Monday, February 10th. This is a boost from Aramark's previous quarterly dividend of $0.00. Aramark's dividend payout ratio (DPR) is 33.07%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Y Intercept Hong Kong Ltd acquired a new position in Aramark during the 3rd quarter worth approximately $716,000. Franklin Resources Inc. grew its holdings in Aramark by 7.2% during the third quarter. Franklin Resources Inc. now owns 6,570,938 shares of the company's stock worth $254,427,000 after acquiring an additional 441,711 shares during the period. Sarasin & Partners LLP raised its position in Aramark by 15.9% in the fourth quarter. Sarasin & Partners LLP now owns 259,364 shares of the company's stock worth $9,677,000 after acquiring an additional 35,616 shares in the last quarter. Geode Capital Management LLC lifted its holdings in Aramark by 1.1% in the third quarter. Geode Capital Management LLC now owns 4,363,113 shares of the company's stock valued at $169,028,000 after acquiring an additional 45,384 shares during the period. Finally, Charles Schwab Investment Management Inc. boosted its position in shares of Aramark by 0.9% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,732,661 shares of the company's stock worth $67,106,000 after purchasing an additional 14,839 shares in the last quarter.

Aramark Company Profile

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.