Brokerages Anticipate Aramark (ARMK) to Announce $0.71 Earnings Per Share

Wall Street brokerages expect Aramark (NYSE:ARMK) to report $0.71 earnings per share (EPS) for the current quarter, according to Zacks. Ten analysts have issued estimates for Aramark’s earnings, with the lowest EPS estimate coming in at $0.69 and the highest estimate coming in at $0.75. Aramark reported earnings of $0.54 per share during the same quarter last year, which indicates a positive year over year growth rate of 31.5%. The firm is expected to report its next earnings results before the market opens on Tuesday, November 13th.

On average, analysts expect that Aramark will report full year earnings of $2.26 per share for the current fiscal year, with EPS estimates ranging from $2.22 to $2.30. For the next year, analysts expect that the firm will post earnings of $2.57 per share, with EPS estimates ranging from $2.47 to $2.70. Zacks’ EPS calculations are an average based on a survey of research analysts that that provide coverage for Aramark.

Aramark (NYSE:ARMK) last released its quarterly earnings results on Tuesday, August 7th. The company reported $0.48 earnings per share for the quarter, beating analysts’ consensus estimates of $0.43 by $0.05. The company had revenue of $3.97 billion for the quarter, compared to analyst estimates of $3.92 billion. Aramark had a net margin of 3.26% and a return on equity of 17.37%.

Several analysts have commented on the stock. ValuEngine lowered shares of Aramark from a “hold” rating to a “sell” rating in a research report on Friday, October 26th. Barclays lowered their price objective on shares of Aramark from $47.00 to $42.00 and set an “equal weight” rating on the stock in a research report on Wednesday, October 24th. Bank of America assumed coverage on shares of Aramark in a research report on Tuesday, October 23rd. They issued a “buy” rating and a $49.00 price objective on the stock. Sanford C. Bernstein assumed coverage on shares of Aramark in a research report on Monday, September 17th. They issued an “outperform” rating and a $52.00 price objective on the stock. Finally, Morgan Stanley reaffirmed a “hold” rating and issued a $45.00 price objective (up previously from $44.00) on shares of Aramark in a research report on Thursday, September 13th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and six have given a buy rating to the company’s stock. The company has an average rating of “Hold” and an average target price of $47.44.

ARMK stock traded down $0.42 during mid-day trading on Friday, hitting $35.81. The company had a trading volume of 47,648 shares, compared to its average volume of 2,382,765. The firm has a market cap of $8.74 billion, a price-to-earnings ratio of 20.22, a P/E/G ratio of 1.19 and a beta of 0.88. The company has a debt-to-equity ratio of 2.74, a quick ratio of 1.03 and a current ratio of 1.36. Aramark has a 12 month low of $33.98 and a 12 month high of $46.09.

In other news, EVP Stephen R. Reynolds sold 15,000 shares of Aramark stock in a transaction dated Wednesday, August 29th. The shares were sold at an average price of $41.33, for a total value of $619,950.00. Following the completion of the transaction, the executive vice president now owns 47,058 shares in the company, valued at $1,944,907.14. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 2.90% of the stock is owned by company insiders.

Several institutional investors and hedge funds have recently bought and sold shares of the company. FMR LLC increased its stake in shares of Aramark by 6.4% in the second quarter. FMR LLC now owns 13,946,218 shares of the company’s stock worth $517,404,000 after purchasing an additional 838,390 shares in the last quarter. BlackRock Inc. grew its stake in Aramark by 0.8% during the second quarter. BlackRock Inc. now owns 13,691,046 shares of the company’s stock valued at $507,937,000 after acquiring an additional 107,519 shares in the last quarter. Janus Henderson Group PLC grew its stake in Aramark by 168.1% during the third quarter. Janus Henderson Group PLC now owns 8,547,301 shares of the company’s stock valued at $367,705,000 after acquiring an additional 5,359,662 shares in the last quarter. First Manhattan Co. grew its stake in Aramark by 0.9% during the third quarter. First Manhattan Co. now owns 5,724,294 shares of the company’s stock valued at $246,259,000 after acquiring an additional 50,846 shares in the last quarter. Finally, Schroder Investment Management Group grew its stake in Aramark by 21.9% during the second quarter. Schroder Investment Management Group now owns 3,969,843 shares of the company’s stock valued at $147,678,000 after acquiring an additional 712,908 shares in the last quarter. Hedge funds and other institutional investors own 97.37% of the company’s stock.

Aramark Company Profile

Aramark provides food, facilities, and uniform services to education, healthcare, business and industry, sports, leisure, and corrections clients in North America and internationally. The company operates through three segments: Food and Support Services North America, Food and Support Services International, Uniform and Career Apparel.

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