ARAMARK (ARMK) Fundamental Analysis & Valuation

NYSE:ARMK • US03852U1060

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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

  • In the past year ARMK was profitable.
  • In the past year ARMK had a positive cash flow from operations.
  • 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

  • ARMK has a Return On Assets of 2.34%. This is comparable to the rest of the industry: ARMK outperforms 50.00% of its industry peers.
  • The Return On Equity of ARMK (9.88%) is better than 70.63% of its industry peers.
  • ARMK has a Return On Invested Capital (5.47%) which is in line with its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ARMK is below the industry average of 10.48%.
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

  • Looking at the Profit Margin, with a value of 1.69%, ARMK is in line with its industry, outperforming 45.24% of the companies in the same industry.
  • ARMK's Profit Margin has improved in the last couple of years.
  • With a Operating Margin value of 4.22%, ARMK is not doing good in the industry: 69.05% of the companies in the same industry are doing better.
  • In the last couple of years the Operating Margin of ARMK has grown nicely.
  • 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

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ARMK is destroying value.
  • The number of shares outstanding for ARMK has been reduced compared to 1 year ago.
  • The number of shares outstanding for ARMK has been increased compared to 5 years ago.
  • 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 2.31. 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.
  • Looking at the Altman-Z score, with a value of 2.31, ARMK is in the better half of the industry, outperforming 61.90% of the companies in the same industry.
  • The Debt to FCF ratio of ARMK is 26.65, which is on the high side as it means it would take ARMK, 26.65 years of fcf income to pay off all of its debts.
  • ARMK has a Debt to FCF ratio (26.65) which is comparable to the rest of the industry.
  • A Debt/Equity ratio of 1.94 is on the high side and indicates that ARMK has dependencies on debt financing.
  • ARMK's Debt to Equity ratio of 1.94 is in line compared to the rest of the industry. ARMK outperforms 48.41% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.94
Debt/FCF 26.65
Altman-Z 2.31
ROIC/WACC0.92
WACC5.92%
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.
  • The Current ratio of ARMK (1.27) is better than 62.70% of its industry peers.
  • A Quick Ratio of 1.13 indicates that ARMK should not have too much problems paying its short term obligations.
  • ARMK has a better Quick ratio (1.13) than 60.32% 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

  • The Earnings Per Share has grown by an nice 10.30% over the past year.
  • ARMK shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.54% yearly.
  • ARMK shows a small growth in Revenue. In the last year, the Revenue has grown by 7.07%.
  • Measured over the past years, ARMK shows a small growth in Revenue. The Revenue has been growing by 7.60% on average per year.
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.
  • The Revenue is expected to grow by 5.89% on average over the next years.
EPS Next Y24.09%
EPS Next 2Y20.65%
EPS Next 3Y17.7%
EPS Next 5Y14.36%
Revenue Next Year6.16%
Revenue Next 2Y6.15%
Revenue Next 3Y5.78%
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

  • A Price/Earnings ratio of 21.98 indicates a rather expensive valuation of ARMK.
  • Compared to the rest of the industry, the Price/Earnings ratio of ARMK indicates a somewhat cheap valuation: ARMK is cheaper than 63.49% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of ARMK to the average of the S&P500 Index (25.70), we can say ARMK is valued inline with the index average.
  • The Price/Forward Earnings ratio is 15.10, which indicates a correct valuation of ARMK.
  • ARMK's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ARMK is cheaper than 70.63% of the companies in the same industry.
  • ARMK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.84, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 21.98
Fwd PE 15.1
ARMK Price Earnings VS Forward Price EarningsARMK Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • ARMK's Enterprise Value to EBITDA ratio is in line with the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of ARMK is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 44.84
EV/EBITDA 12.74
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.
  • A more expensive valuation may be justified as ARMK's earnings are expected to grow with 17.70% in the coming years.
PEG (NY)0.91
PEG (5Y)N/A
EPS Next 2Y20.65%
EPS Next 3Y17.7%

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4

5. ARMK Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 1.17%, ARMK has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 1.11, ARMK pays a bit more dividend than its industry peers.
  • ARMK's Dividend Yield is slightly below the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 1.17%

5.2 History

  • The dividend of ARMK decreases each year by -1.01%.
  • ARMK has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-1.01%
Div Incr Years0
Div Non Decr Years0
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 2Y20.65%
EPS Next 3Y17.7%
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 (3/13/2026, 8:10:13 PM)

After market: 40 0 (0%)

40

+0.01 (+0.03%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-10
Earnings (Next)05-04
Inst Owners99.42%
Inst Owner Change11.76%
Ins Owners0.55%
Ins Owner Change0.43%
Market Cap10.51B
Revenue(TTM)18.79B
Net Income(TTM)316.94M
Analysts84.55
Price Target47.45 (18.63%)
Short Float %2.97%
Short Ratio2.57
Dividend
Industry RankSector Rank
Dividend Yield 1.17%
Yearly Dividend0.42
Dividend Growth(5Y)-1.01%
DP36.13%
Div Incr Years0
Div Non Decr Years0
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)4.57%
PT rev (3m)3%
EPS NQ rev (1m)-1.13%
EPS NQ rev (3m)0.39%
EPS NY rev (1m)0.29%
EPS NY rev (3m)0.43%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)0.73%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)0.46%
Valuation
Industry RankSector Rank
PE 21.98
Fwd PE 15.1
P/S 0.56
P/FCF 44.84
P/OCF 14.48
P/B 3.28
P/tB N/A
EV/EBITDA 12.74
EPS(TTM)1.82
EY4.55%
EPS(NY)2.65
Fwd EY6.62%
FCF(TTM)0.89
FCFY2.23%
OCF(TTM)2.76
OCFY6.91%
SpS71.47
BVpS12.21
TBVpS-13.55
PEG (NY)0.91
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 2.31
F-Score6
WACC5.92%
ROIC/WACC0.92
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 2Y20.65%
EPS Next 3Y17.7%
EPS Next 5Y14.36%
Revenue 1Y (TTM)7.07%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%6.14%
Revenue Next Year6.16%
Revenue Next 2Y6.15%
Revenue Next 3Y5.78%
Revenue Next 5Y5.89%
EBIT growth 1Y4.67%
EBIT growth 3Y9.03%
EBIT growth 5YN/A
EBIT Next Year51.9%
EBIT Next 3Y21.35%
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.


Can you provide the valuation status for ARAMARK?

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


How profitable is ARAMARK (ARMK) stock?

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


What is the valuation of ARAMARK based on its PE and PB ratios?

The Price/Earnings (PE) ratio for ARAMARK (ARMK) is 21.98 and the Price/Book (PB) ratio is 3.28.


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.