Aramark (ARMK) Expected to Post Quarterly Sales of $3.70 Billion
Equities analysts predict that Aramark (NYSE:ARMK) will announce $3.70 billion in sales for the current fiscal quarter, Zacks reports. Ten analysts have made estimates for Aramark’s earnings. The highest sales estimate is $3.74 billion and the lowest is $3.67 billion. Aramark reported sales of $3.54 billion in the same quarter last year, which indicates a positive year-over-year growth rate of 4.5%. The company is expected to report its next earnings results on Tuesday, November 21st.
On average, analysts expect that Aramark will report full-year sales of $3.70 billion for the current financial year, with estimates ranging from $14.62 billion to $14.70 billion. For the next financial year, analysts anticipate that the company will report sales of $15.20 billion per share, with estimates ranging from $15.10 billion to $15.31 billion. Zacks Investment Research’s sales calculations are a mean average based on a survey of research firms that that provide coverage for Aramark.
Aramark (NYSE:ARMK) last posted its earnings results on Tuesday, August 8th. The company reported $0.40 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.35 by $0.05. The company had revenue of $3.59 billion during the quarter, compared to analyst estimates of $3.61 billion. Aramark had a return on equity of 19.29% and a net margin of 2.37%. The company’s revenue for the quarter was up .2% compared to the same quarter last year. During the same period in the previous year, the company earned $0.34 EPS.
Several equities research analysts recently weighed in on ARMK shares. BidaskClub cut Aramark from a “sell” rating to a “strong sell” rating in a report on Saturday, August 12th. Zacks Investment Research cut Aramark from a “buy” rating to a “hold” rating in a report on Tuesday, May 9th. Nomura restated a “buy” rating and set a $45.00 target price (up from $43.00) on shares of Aramark in a report on Wednesday, August 9th. Barclays PLC increased their target price on Aramark from $37.00 to $39.00 and gave the company an “equal weight” rating in a report on Friday, June 23rd. Finally, Morgan Stanley increased their target price on Aramark from $39.00 to $40.00 and gave the company an “equal weight” rating in a report on Thursday, August 10th. One analyst has rated the stock with a sell rating, three have given a hold rating, four have assigned a buy rating and one has given a strong buy rating to the company’s stock. The company currently has an average rating of “Buy” and a consensus target price of $43.00.
Aramark (NYSE:ARMK) traded up 0.33% during trading on Tuesday, hitting $39.94. The stock had a trading volume of 818,920 shares. The company has a market cap of $9.79 billion, a price-to-earnings ratio of 28.94 and a beta of 0.48. Aramark has a 52 week low of $32.73 and a 52 week high of $41.72. The company has a 50-day moving average of $39.91 and a 200 day moving average of $37.99.
The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 5th. Shareholders of record on Wednesday, August 16th will be given a dividend of $0.103 per share. This represents a $0.41 dividend on an annualized basis and a yield of 1.03%. The ex-dividend date is Monday, August 14th. Aramark’s payout ratio is 29.93%.
In other Aramark news, SVP Brian P. Pressler sold 10,629 shares of the company’s stock in a transaction that occurred on Friday, June 16th. The stock was sold at an average price of $40.80, for a total transaction of $433,663.20. Following the completion of the transaction, the senior vice president now owns 14,285 shares of the company’s stock, valued at approximately $582,828. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Stephen R. Reynolds sold 30,000 shares of the company’s stock in a transaction that occurred on Wednesday, June 14th. The shares were sold at an average price of $40.41, for a total value of $1,212,300.00. Following the transaction, the executive vice president now directly owns 62,460 shares of the company’s stock, valued at approximately $2,524,008.60. The disclosure for this sale can be found here. Insiders have sold a total of 140,629 shares of company stock valued at $5,506,963 in the last ninety days. 2.90% of the stock is currently owned by corporate insiders.
Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Atria Investments LLC raised its position in Aramark by 0.8% in the second quarter. Atria Investments LLC now owns 25,185 shares of the company’s stock worth $1,032,000 after buying an additional 209 shares during the last quarter. State of Alaska Department of Revenue raised its position in shares of Aramark by 6.4% in the second quarter. State of Alaska Department of Revenue now owns 17,231 shares of the company’s stock valued at $706,000 after buying an additional 1,032 shares in the last quarter. Simplex Trading LLC purchased a new position in shares of Aramark during the second quarter valued at about $127,000. Neuberger Berman Group LLC raised its position in shares of Aramark by 9.7% in the first quarter. Neuberger Berman Group LLC now owns 522,500 shares of the company’s stock valued at $19,265,000 after buying an additional 46,302 shares in the last quarter. Finally, Wellington Management Group LLP raised its position in shares of Aramark by 3.9% in the first quarter. Wellington Management Group LLP now owns 5,026,984 shares of the company’s stock valued at $185,345,000 after buying an additional 190,656 shares in the last quarter. 95.72% of the stock is owned by institutional investors and hedge funds.
Aramark Company Profile
Aramark is a global provider of food, facilities and uniform services to education, healthcare, business and industry, and sports, leisure and corrections clients. The Company operates through three segments: Food and Support Services North America (FSS North America), Food and Support Services International (FSS International), and Uniform and Career Apparel (Uniform).
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