Metric Deep Dive: Understanding Aramark (ARMK) Through its Ratios

Investors seeking to outperform the market often focus on hand-picking stocks. Selecting the right ones has proven to be a key factor in boosting wealth.

After finishing at $31.62 in the prior trading day, Aramark (NYSE: ARMK) closed at $30.75, down -2.75%. In other words, the price has decreased by -$2.75 from its previous closing price. On the day, 6.36 million shares were traded. ARMK stock price reached its highest trading level at $31.91 during the session, while it also had its lowest trading level at $29.8156.


Our goal is to gain a better understanding of ARMK by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 19.81 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 33.34. For the most recent quarter (mrq), Quick Ratio is recorded 1.12 and its Current Ratio is at 1.27. In the meantime, Its Debt-to-Equity ratio is 2.20 whereas as Long-Term Debt/Eq ratio is at 2.17.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for this company, Goldman on January 17, 2024, initiated with a Buy rating and assigned the stock a target price of $33.

On January 08, 2024, Truist started tracking the stock assigning a Buy rating and target price of $33.

Jefferies Upgraded its Hold to Buy on October 09, 2023, whereas the target price for the stock was revised from $44 to $29.

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Mar 05 ’24 when Harrington Lauren A sold 13,384 shares for $31.02 per share. The transaction valued at 415,208 led to the insider holds 95,284 shares of the business.

Harrington Lauren A sold 4,274 shares of ARMK for $116,819 on Dec 15 ’23. The SVP and General Counsel now owns 95,142 shares after completing the transaction at $27.33 per share. On Dec 13 ’23, another insider, Bruno Marc A, who serves as the COO, U.S. Food & Facilities of the company, sold 27,884 shares for $26.67 each. As a result, the insider received 743,666 and left with 225,653 shares of the company.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, ARMK now has a Market Capitalization of 8070460416 and an Enterprise Value of 14165954560. As of this moment, Aramark’s Price-to-Earnings (P/E) ratio for their current fiscal year is 12.87, and their Forward P/E ratio for the next fiscal year is 15.91. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 0.65. For the stock, the TTM Price-to-Sale (P/S) ratio is 0.43 while its Price-to-Book (P/B) ratio in mrq is 2.83. Its current Enterprise Value per Revenue stands at 0.732 whereas that against EBITDA is 9.173.

Stock Price History:

Over the past 52 weeks, ARMK has reached a high of $33.04, while it has fallen to a 52-week low of $23.95. The 50-Day Moving Average of the stock is -2.67%, while the 200-Day Moving Average is calculated to be 7.16%.

Shares Statistics:

The stock has traded on average 2.45M shares per day over the past 3-months and 2010170 shares per day over the last 10 days, according to various share statistics. A total of 261.45M shares are outstanding, with a floating share count of 260.52M. Insiders hold about 0.73% of the company’s shares, while institutions hold 101.27% stake in the company. Shares short for ARMK as of 1713139200 were 5911309 with a Short Ratio of 2.41, compared to 1710460800 on 5100149. Therefore, it implies a Short% of Shares Outstanding of 5911309 and a Short% of Float of 2.53.

Dividends & Splits

In the trailing 12 months, ARMK’s forward annual dividend rate was 0.41, compared to 0.41 this year. Against a Trailing Annual Dividend Yield of 0.012966476The stock’s 5-year Average Dividend Yield is 1.3.

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