ARAMARK (ARMK) Fundamental Analysis & Valuation

NYSE:ARMK • US03852U1060

Current stock price

42.86 USD
-0.59 (-1.36%)
At close:
42.86 USD
0 (0%)
After Hours:

This ARMK fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

5

1. ARMK Profitability Analysis

1.1 Basic Checks

  • ARMK had positive earnings in the past year.
  • ARMK had a positive operating cash flow in the past year.
  • Of the past 5 years ARMK 4 years were profitable.
  • Each year in the past 5 years ARMK had a positive operating cash flow.
ARMK Yearly Net Income VS EBIT VS OCF VS FCFARMK Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 2.34%, ARMK is in line with its industry, outperforming 50.79% of the companies in the same industry.
  • With a decent Return On Equity value of 9.88%, ARMK is doing good in the industry, outperforming 69.05% of the companies in the same industry.
  • The Return On Invested Capital of ARMK (5.47%) is comparable to the rest of the industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for ARMK is significantly below the industry average of 10.55%.
Industry RankSector Rank
ROA 2.34%
ROE 9.88%
ROIC 5.47%
ROA(3y)2.84%
ROA(5y)1.83%
ROE(3y)12.39%
ROE(5y)8.04%
ROIC(3y)5.54%
ROIC(5y)4.33%
ARMK Yearly ROA, ROE, ROICARMK Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10

1.3 Margins

  • The Profit Margin of ARMK (1.69%) is comparable to the rest of the industry.
  • ARMK's Profit Margin has improved in the last couple of years.
  • ARMK has a worse Operating Margin (4.22%) than 69.84% of its industry peers.
  • ARMK's Operating Margin has improved in the last couple of years.
  • ARMK's Gross Margin of 8.31% is on the low side compared to the rest of the industry. ARMK is outperformed by 92.06% of its industry peers.
  • ARMK's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 4.22%
PM (TTM) 1.69%
GM 8.31%
OM growth 3Y4.57%
OM growth 5YN/A
PM growth 3Y14.07%
PM growth 5YN/A
GM growth 3Y-0.09%
GM growth 5Y6.89%
ARMK Yearly Profit, Operating, Gross MarginsARMK Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15

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4

2. ARMK Health Analysis

2.1 Basic Checks

  • ARMK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • The number of shares outstanding for ARMK has been reduced compared to 1 year ago.
  • Compared to 5 years ago, ARMK has more shares outstanding
  • Compared to 1 year ago, ARMK has an improved debt to assets ratio.
ARMK Yearly Shares OutstandingARMK Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M 250M
ARMK Yearly Total Debt VS Total AssetsARMK Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • ARMK has an Altman-Z score of 2.36. This is not the best score and indicates that ARMK is in the grey zone with still only limited risk for bankruptcy at the moment.
  • ARMK's Altman-Z score of 2.36 is fine compared to the rest of the industry. ARMK outperforms 61.90% of its industry peers.
  • ARMK has a debt to FCF ratio of 26.65. This is a negative value and a sign of low solvency as ARMK would need 26.65 years to pay back of all of its debts.
  • ARMK has a Debt to FCF ratio (26.65) which is comparable to the rest of the industry.
  • ARMK has a Debt/Equity ratio of 1.94. This is a high value indicating a heavy dependency on external financing.
  • ARMK's Debt to Equity ratio of 1.94 is in line compared to the rest of the industry. ARMK outperforms 47.62% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.94
Debt/FCF 26.65
Altman-Z 2.36
ROIC/WACC0.9
WACC6.07%
ARMK Yearly LT Debt VS Equity VS FCFARMK Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 1.27 indicates that ARMK should not have too much problems paying its short term obligations.
  • ARMK has a better Current ratio (1.27) than 64.29% of its industry peers.
  • ARMK has a Quick Ratio of 1.13. This is a normal value and indicates that ARMK is financially healthy and should not expect problems in meeting its short term obligations.
  • ARMK has a Quick ratio of 1.13. This is in the better half of the industry: ARMK outperforms 61.90% of its industry peers.
Industry RankSector Rank
Current Ratio 1.27
Quick Ratio 1.13
ARMK Yearly Current Assets VS Current LiabilitesARMK Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

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4

3. ARMK Growth Analysis

3.1 Past

  • ARMK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.30%, which is quite good.
  • Measured over the past years, ARMK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.54% on average per year.
  • Looking at the last year, ARMK shows a small growth in Revenue. The Revenue has grown by 7.07% in the last year.
  • ARMK shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.60% yearly.
EPS 1Y (TTM)10.3%
EPS 3Y15.54%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)7.07%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%6.14%

3.2 Future

  • Based on estimates for the next years, ARMK will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.36% on average per year.
  • Based on estimates for the next years, ARMK will show a small growth in Revenue. The Revenue will grow by 5.89% on average per year.
EPS Next Y24.09%
EPS Next 2Y20.67%
EPS Next 3Y17.65%
EPS Next 5Y14.36%
Revenue Next Year5.89%
Revenue Next 2Y6.21%
Revenue Next 3Y5.94%
Revenue Next 5Y5.89%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
ARMK Yearly Revenue VS EstimatesARMK Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 5B 10B 15B 20B 25B
ARMK Yearly EPS VS EstimatesARMK Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 0 1 2 3

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4

4. ARMK Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 23.55, which indicates a rather expensive current valuation of ARMK.
  • Based on the Price/Earnings ratio, ARMK is valued a bit cheaper than the industry average as 60.32% of the companies are valued more expensively.
  • The average S&P500 Price/Earnings ratio is at 26.86. ARMK is around the same levels.
  • A Price/Forward Earnings ratio of 16.17 indicates a correct valuation of ARMK.
  • Based on the Price/Forward Earnings ratio, ARMK is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
  • When comparing the Price/Forward Earnings ratio of ARMK to the average of the S&P500 Index (37.39), we can say ARMK is valued rather cheaply.
Industry RankSector Rank
PE 23.55
Fwd PE 16.17
ARMK Price Earnings VS Forward Price EarningsARMK Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as ARMK.
  • ARMK's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 48.05
EV/EBITDA 13.33
ARMK Per share dataARMK EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • ARMK's earnings are expected to grow with 17.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.98
PEG (5Y)N/A
EPS Next 2Y20.67%
EPS Next 3Y17.65%

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4

5. ARMK Dividend Analysis

5.1 Amount

  • ARMK has a Yearly Dividend Yield of 1.10%.
  • ARMK's Dividend Yield is a higher than the industry average which is at 1.09.
  • ARMK's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 1.1%

5.2 History

  • The dividend of ARMK decreases each year by -1.01%.
  • ARMK has been paying a dividend for at least 10 years, so it has a reliable track record.
  • The dividend of ARMK decreased recently.
Dividend Growth(5Y)-1.01%
Div Incr Years1
Div Non Decr Years1
ARMK Yearly Dividends per shareARMK Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.1 0.2 0.3 0.4

5.3 Sustainability

  • 36.13% of the earnings are spent on dividend by ARMK. This is a low number and sustainable payout ratio.
DP36.13%
EPS Next 2Y20.67%
EPS Next 3Y17.65%
ARMK Yearly Income VS Free CF VS DividendARMK Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M 400M -400M 600M
ARMK Dividend Payout.ARMK Dividend Payout, showing the Payout Ratio.ARMK Dividend Payout.PayoutRetained Earnings

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ARMK Fundamentals: All Metrics, Ratios and Statistics

ARAMARK

NYSE:ARMK (4/10/2026, 8:06:30 PM)

After market: 42.86 0 (0%)

42.86

-0.59 (-1.36%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-10
Earnings (Next)05-04
Inst Owners99.36%
Inst Owner Change0.07%
Ins Owners0.55%
Ins Owner Change0.75%
Market Cap11.27B
Revenue(TTM)18.79B
Net Income(TTM)316.94M
Analysts84.55
Price Target47.96 (11.9%)
Short Float %4%
Short Ratio3.31
Dividend
Industry RankSector Rank
Dividend Yield 1.1%
Yearly Dividend0.42
Dividend Growth(5Y)-1.01%
DP36.13%
Div Incr Years1
Div Non Decr Years1
Ex-Date02-18
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.52%
Min EPS beat(2)-14.44%
Max EPS beat(2)-0.61%
EPS beat(4)1
Avg EPS beat(4)-3.72%
Min EPS beat(4)-14.44%
Max EPS beat(4)1.94%
EPS beat(8)4
Avg EPS beat(8)-0.62%
EPS beat(12)7
Avg EPS beat(12)1.05%
EPS beat(16)8
Avg EPS beat(16)0.56%
Revenue beat(2)0
Avg Revenue beat(2)-2.1%
Min Revenue beat(2)-4.15%
Max Revenue beat(2)-0.05%
Revenue beat(4)0
Avg Revenue beat(4)-2.6%
Min Revenue beat(4)-4.15%
Max Revenue beat(4)-0.05%
Revenue beat(8)0
Avg Revenue beat(8)-2.51%
Revenue beat(12)4
Avg Revenue beat(12)-1.22%
Revenue beat(16)7
Avg Revenue beat(16)-1.2%
PT rev (1m)1.09%
PT rev (3m)3.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.94%
EPS NY rev (1m)0%
EPS NY rev (3m)0.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.31%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)0.05%
Valuation
Industry RankSector Rank
PE 23.55
Fwd PE 16.17
P/S 0.6
P/FCF 48.05
P/OCF 15.52
P/B 3.51
P/tB N/A
EV/EBITDA 13.33
EPS(TTM)1.82
EY4.25%
EPS(NY)2.65
Fwd EY6.18%
FCF(TTM)0.89
FCFY2.08%
OCF(TTM)2.76
OCFY6.44%
SpS71.47
BVpS12.21
TBVpS-13.55
PEG (NY)0.98
PEG (5Y)N/A
Graham Number22.36
Profitability
Industry RankSector Rank
ROA 2.34%
ROE 9.88%
ROCE 7.41%
ROIC 5.47%
ROICexc 5.71%
ROICexgc 16.82%
OM 4.22%
PM (TTM) 1.69%
GM 8.31%
FCFM 1.25%
ROA(3y)2.84%
ROA(5y)1.83%
ROE(3y)12.39%
ROE(5y)8.04%
ROIC(3y)5.54%
ROIC(5y)4.33%
ROICexc(3y)6.18%
ROICexc(5y)4.75%
ROICexgc(3y)30.33%
ROICexgc(5y)21.39%
ROCE(3y)7.5%
ROCE(5y)5.86%
ROICexgc growth 3Y27.16%
ROICexgc growth 5YN/A
ROICexc growth 3Y17.41%
ROICexc growth 5YN/A
OM growth 3Y4.57%
OM growth 5YN/A
PM growth 3Y14.07%
PM growth 5YN/A
GM growth 3Y-0.09%
GM growth 5Y6.89%
F-Score6
Asset Turnover1.39
Health
Industry RankSector Rank
Debt/Equity 1.94
Debt/FCF 26.65
Debt/EBITDA 4.85
Cap/Depr 100.5%
Cap/Sales 2.62%
Interest Coverage 155.23
Cash Conversion 56.66%
Profit Quality 73.97%
Current Ratio 1.27
Quick Ratio 1.13
Altman-Z 2.36
F-Score6
WACC6.07%
ROIC/WACC0.9
Cap/Depr(3y)98.14%
Cap/Depr(5y)88.29%
Cap/Sales(3y)2.49%
Cap/Sales(5y)2.65%
Profit Quality(3y)101.01%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.3%
EPS 3Y15.54%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y24.09%
EPS Next 2Y20.67%
EPS Next 3Y17.65%
EPS Next 5Y14.36%
Revenue 1Y (TTM)7.07%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%6.14%
Revenue Next Year5.89%
Revenue Next 2Y6.21%
Revenue Next 3Y5.94%
Revenue Next 5Y5.89%
EBIT growth 1Y4.67%
EBIT growth 3Y9.03%
EBIT growth 5YN/A
EBIT Next Year53.16%
EBIT Next 3Y21.88%
EBIT Next 5Y14.43%
FCF growth 1Y2.63%
FCF growth 3Y12.15%
FCF growth 5YN/A
OCF growth 1Y1.32%
OCF growth 3Y9.87%
OCF growth 5Y39.13%

ARAMARK / ARMK Fundamental Analysis FAQ

What is the fundamental rating for ARMK stock?

ChartMill assigns a fundamental rating of 4 / 10 to ARMK.


What is the valuation status of ARAMARK (ARMK) stock?

ChartMill assigns a valuation rating of 4 / 10 to ARAMARK (ARMK). This can be considered as Fairly Valued.


Can you provide the profitability details for ARAMARK?

ARAMARK (ARMK) has a profitability rating of 5 / 10.


What is the earnings growth outlook for ARAMARK?

The Earnings per Share (EPS) of ARAMARK (ARMK) is expected to grow by 24.09% in the next year.


Is the dividend of ARAMARK sustainable?

The dividend rating of ARAMARK (ARMK) is 4 / 10 and the dividend payout ratio is 36.13%.