Aramark (NYSE:ARMK) Stock Price Expected to Rise, Morgan Stanley Analyst Says

Aramark (NYSE:ARMK) had its target price lifted by Morgan Stanley from $38.00 to $40.00 in a research report released on Tuesday morning,Benzinga reports. They currently have an equal weight rating on the stock.

Several other research firms have also issued reports on ARMK. Truist Financial lifted their price objective on shares of Aramark from $37.00 to $42.00 and gave the company a “buy” rating in a research note on Thursday, September 12th. The Goldman Sachs Group upped their target price on shares of Aramark from $38.00 to $41.00 and gave the stock a “buy” rating in a research report on Wednesday, October 16th. UBS Group upped their target price on shares of Aramark from $40.00 to $44.00 and gave the stock a “buy” rating in a research report on Tuesday, October 8th. Royal Bank of Canada raised shares of Aramark from a “sector perform” rating to an “outperform” rating and boosted their price target for the stock from $36.00 to $42.50 in a research note on Tuesday, September 17th. Finally, Robert W. Baird boosted their price target on shares of Aramark from $37.00 to $38.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 7th. Three investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $42.23.

Aramark Trading Down 0.8 %

Shares of NYSE ARMK traded down $0.31 during trading on Tuesday, hitting $38.37. 54,298 shares of the company traded hands, compared to its average volume of 2,215,129. The company has a 50-day moving average price of $38.24 and a 200-day moving average price of $35.17. The company has a quick ratio of 0.86, a current ratio of 0.81 and a debt-to-equity ratio of 1.42. Aramark has a 1 year low of $26.58 and a 1 year high of $42.04. The firm has a market capitalization of $10.11 billion, a P/E ratio of 39.08 and a beta of 1.62.

Aramark (NYSE:ARMK) last posted its earnings results on Monday, November 11th. The company reported $0.54 EPS for the quarter, hitting the consensus estimate of $0.54. The firm had revenue of $4.42 billion during the quarter, compared to analysts’ expectations of $4.46 billion. Aramark had a net margin of 1.51% and a return on equity of 14.06%. Aramark’s quarterly revenue was up 5.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.64 EPS. On average, equities analysts predict that Aramark will post 1.92 EPS for the current year.

Aramark Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 12th. Shareholders of record on Monday, December 2nd will be given a dividend of $0.001 per share. This represents a $0.00 dividend on an annualized basis and a yield of 0.01%. The ex-dividend date is Monday, December 2nd. Aramark’s payout ratio is currently 38.38%.

Hedge Funds Weigh In On Aramark

Several institutional investors and hedge funds have recently added to or reduced their stakes in ARMK. Huntington National Bank increased its holdings in Aramark by 100.3% in the 3rd quarter. Huntington National Bank now owns 681 shares of the company’s stock worth $26,000 after buying an additional 341 shares in the last quarter. Capital Performance Advisors LLP bought a new stake in Aramark in the 3rd quarter worth about $28,000. UMB Bank n.a. increased its holdings in Aramark by 360.1% in the 3rd quarter. UMB Bank n.a. now owns 773 shares of the company’s stock worth $30,000 after buying an additional 605 shares in the last quarter. Twin Tree Management LP increased its holdings in Aramark by 32.0% in the 1st quarter. Twin Tree Management LP now owns 1,424 shares of the company’s stock worth $46,000 after buying an additional 345 shares in the last quarter. Finally, Friedenthal Financial bought a new stake in shares of Aramark during the 3rd quarter valued at about $52,000.

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.