ARAMARK (ARMK) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:ARMK • US03852U1060
38.06 USD
-0.28 (-0.73%)
At close: Feb 3, 2026
38.06 USD
0 (0%)
After Hours: 2/3/2026, 8:04:00 PM
Taking everything into account, ARMK scores 4 out of 10 in our fundamental rating. ARMK was compared to 132 industry peers in the Hotels, Restaurants & Leisure industry. ARMK has a medium profitability rating, but doesn't score so well on its financial health evaluation. ARMK has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year ARMK was profitable.
- ARMK had a positive operating cash flow in the past year.
- ARMK had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years ARMK had a positive operating cash flow.
1.2 Ratios
- ARMK has a Return On Assets (2.45%) which is in line with its industry peers.
- ARMK's Return On Equity of 10.37% is fine compared to the rest of the industry. ARMK outperforms 71.21% of its industry peers.
- ARMK has a Return On Invested Capital (5.99%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for ARMK is below the industry average of 10.39%.
- The last Return On Invested Capital (5.99%) for ARMK is above the 3 year average (5.54%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 10.37% | ||
| ROIC | 5.99% |
ROA(3y)2.84%
ROA(5y)1.83%
ROE(3y)12.39%
ROE(5y)8.04%
ROIC(3y)5.54%
ROIC(5y)4.33%
1.3 Margins
- ARMK has a Profit Margin (1.76%) which is comparable to the rest of the industry.
- ARMK's Profit Margin has improved in the last couple of years.
- The Operating Margin of ARMK (4.28%) is worse than 62.88% of its industry peers.
- ARMK's Operating Margin has improved in the last couple of years.
- ARMK's Gross Margin of 8.36% is on the low side compared to the rest of the industry. ARMK is outperformed by 89.39% of its industry peers.
- In the last couple of years the Gross Margin of ARMK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.28% | ||
| PM (TTM) | 1.76% | ||
| GM | 8.36% |
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%
2. Health
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.
- Compared to 1 year ago, ARMK has less shares outstanding
- The number of shares outstanding for ARMK has been increased compared to 5 years ago.
- The debt/assets ratio for ARMK has been reduced compared to a year ago.
2.2 Solvency
- ARMK has an Altman-Z score of 2.22. 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.
- The Altman-Z score of ARMK (2.22) is better than 62.12% of its industry peers.
- The Debt to FCF ratio of ARMK is 12.52, which is on the high side as it means it would take ARMK, 12.52 years of fcf income to pay off all of its debts.
- ARMK has a Debt to FCF ratio of 12.52. This is comparable to the rest of the industry: ARMK outperforms 56.06% of its industry peers.
- A Debt/Equity ratio of 1.71 is on the high side and indicates that ARMK has dependencies on debt financing.
- The Debt to Equity ratio of ARMK (1.71) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.71 | ||
| Debt/FCF | 12.52 | ||
| Altman-Z | 2.22 |
ROIC/WACC0.95
WACC6.31%
2.3 Liquidity
- A Current Ratio of 0.99 indicates that ARMK may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.99, ARMK is in line with its industry, outperforming 52.27% of the companies in the same industry.
- ARMK has a Quick Ratio of 0.99. This is a bad value and indicates that ARMK is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of ARMK (0.88) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
- ARMK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.42%, 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.
- The Revenue has been growing slightly by 6.35% in the past 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)17.42%
EPS 3Y15.54%
EPS 5YN/A
EPS Q2Q%5.56%
Revenue 1Y (TTM)6.35%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%14.3%
3.2 Future
- ARMK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.36% yearly.
- The Revenue is expected to grow by 5.89% on average over the next years.
EPS Next Y23.73%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
EPS Next 5Y14.36%
Revenue Next Year5.84%
Revenue Next 2Y5.89%
Revenue Next 3Y5.96%
Revenue Next 5Y5.89%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- ARMK is valuated rather expensively with a Price/Earnings ratio of 20.91.
- Based on the Price/Earnings ratio, ARMK is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
- ARMK's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.18.
- With a Price/Forward Earnings ratio of 16.90, ARMK is valued correctly.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ARMK indicates a somewhat cheap valuation: ARMK is cheaper than 70.45% of the companies listed in the same industry.
- ARMK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.91 | ||
| Fwd PE | 16.9 |
4.2 Price Multiples
- ARMK's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, ARMK is valued a bit cheaper than 68.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.18 | ||
| EV/EBITDA | 11.65 |
4.3 Compensation for Growth
- ARMK's 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 18.56% in the coming years.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y20.48%
EPS Next 3Y18.56%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.25%, ARMK has a reasonable but not impressive dividend return.
- ARMK's Dividend Yield is a higher than the industry average which is at 1.25.
- ARMK's Dividend Yield is slightly below the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
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
5.3 Sustainability
- 33.95% of the earnings are spent on dividend by ARMK. This is a low number and sustainable payout ratio.
DP33.95%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
38.06
-0.28 (-0.73%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)11-17 2025-11-17/bmo
Earnings (Next)02-10 2026-02-10/bmo
Inst Owners100.66%
Inst Owner Change-1.25%
Ins Owners0.51%
Ins Owner Change0.39%
Market Cap10.01B
Revenue(TTM)18.51B
Net Income(TTM)326.39M
Analysts83.81
Price Target45.54 (19.65%)
Short Float %3.07%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
Yearly Dividend0.42
Dividend Growth(5Y)-1.01%
DP33.95%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.1%
Min EPS beat(2)-14.44%
Max EPS beat(2)-1.76%
EPS beat(4)2
Avg EPS beat(4)-2.52%
Min EPS beat(4)-14.44%
Max EPS beat(4)4.17%
EPS beat(8)5
Avg EPS beat(8)0.93%
EPS beat(12)7
Avg EPS beat(12)0.61%
EPS beat(16)8
Avg EPS beat(16)0.5%
Revenue beat(2)0
Avg Revenue beat(2)-3.35%
Min Revenue beat(2)-4.15%
Max Revenue beat(2)-2.56%
Revenue beat(4)0
Avg Revenue beat(4)-3.43%
Min Revenue beat(4)-4.15%
Max Revenue beat(4)-2.56%
Revenue beat(8)1
Avg Revenue beat(8)-2.41%
Revenue beat(12)4
Avg Revenue beat(12)-2.52%
Revenue beat(16)8
Avg Revenue beat(16)-1.07%
PT rev (1m)-1.36%
PT rev (3m)-1.86%
EPS NQ rev (1m)-0.9%
EPS NQ rev (3m)-14.45%
EPS NY rev (1m)0.07%
EPS NY rev (3m)-3.44%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)-3.46%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.91 | ||
| Fwd PE | 16.9 | ||
| P/S | 0.54 | ||
| P/FCF | 23.18 | ||
| P/OCF | 10.87 | ||
| P/B | 3.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.65 |
EPS(TTM)1.82
EY4.78%
EPS(NY)2.25
Fwd EY5.92%
FCF(TTM)1.64
FCFY4.31%
OCF(TTM)3.5
OCFY9.2%
SpS70.38
BVpS11.97
TBVpS-13.69
PEG (NY)0.88
PEG (5Y)N/A
Graham Number22.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.45% | ||
| ROE | 10.37% | ||
| ROCE | 8.11% | ||
| ROIC | 5.99% | ||
| ROICexc | 6.41% | ||
| ROICexgc | 24.68% | ||
| OM | 4.28% | ||
| PM (TTM) | 1.76% | ||
| GM | 8.36% | ||
| FCFM | 2.33% |
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-Score8
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.71 | ||
| Debt/FCF | 12.52 | ||
| Debt/EBITDA | 4.24 | ||
| Cap/Depr | 102.71% | ||
| Cap/Sales | 2.64% | ||
| Interest Coverage | 2407.56 | ||
| Cash Conversion | 72.63% | ||
| Profit Quality | 132.29% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 2.22 |
F-Score8
WACC6.31%
ROIC/WACC0.95
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)17.42%
EPS 3Y15.54%
EPS 5YN/A
EPS Q2Q%5.56%
EPS Next Y23.73%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
EPS Next 5Y14.36%
Revenue 1Y (TTM)6.35%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%14.3%
Revenue Next Year5.84%
Revenue Next 2Y5.89%
Revenue Next 3Y5.96%
Revenue Next 5Y5.89%
EBIT growth 1Y12.08%
EBIT growth 3Y9.03%
EBIT growth 5YN/A
EBIT Next Year52.67%
EBIT Next 3Y22.31%
EBIT Next 5Y14.43%
FCF growth 1Y44.37%
FCF growth 3Y12.15%
FCF growth 5YN/A
OCF growth 1Y26.77%
OCF growth 3Y9.87%
OCF growth 5Y39.13%
ARAMARK / ARMK 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 5 / 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 20.91 and the Price/Book (PB) ratio is 3.18.
What is the earnings growth outlook for ARAMARK?
The Earnings per Share (EPS) of ARAMARK (ARMK) is expected to grow by 23.73% in the next year.