ARAMARK (ARMK) Fundamental Analysis & Valuation
NYSE:ARMK • US03852U1060
41.08 USD
+0.22 (+0.54%)
At close: Mar 4, 2026
41.08 USD
0 (0%)
After Hours: 3/4/2026, 8:08:52 PM
This ARMK fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
ARMK gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 125 industry peers in the Hotels, Restaurants & Leisure industry. ARMK has only an average score on both its financial health and profitability. ARMK has a correct valuation and a medium growth rate.
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.
- ARMK had positive earnings in 4 of the past 5 years.
- ARMK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ARMK has a Return On Assets (2.34%) which is comparable to the rest of the industry.
- ARMK has a better Return On Equity (9.88%) than 70.40% of its industry peers.
- ARMK has a Return On Invested Capital (5.47%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for ARMK is significantly below the industry average of 10.78%.
| Industry Rank | Sector 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%
1.3 Margins
- ARMK has a Profit Margin (1.69%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of ARMK has grown nicely.
- ARMK has a worse Operating Margin (4.22%) than 68.80% 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 92.00% of its industry peers.
- ARMK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector 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%
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.
- 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.
2.2 Solvency
- ARMK has an Altman-Z score of 2.33. 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 (2.33) is better than 63.20% 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 in line with its industry peers.
- A Debt/Equity ratio of 1.94 is on the high side and indicates that ARMK has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.94, ARMK is in line with its industry, outperforming 48.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.94 | ||
| Debt/FCF | 26.65 | ||
| Altman-Z | 2.33 |
ROIC/WACC0.94
WACC5.84%
2.3 Liquidity
- ARMK has a Current Ratio of 1.27. 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 Current ratio of 1.27. This is in the better half of the industry: ARMK outperforms 63.20% 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's Quick ratio of 1.13 is fine compared to the rest of the industry. ARMK outperforms 61.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.13 |
3. ARMK Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 10.30% over the past year.
- 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.
- 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.
- ARMK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.89% yearly.
EPS Next Y23.73%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
EPS Next 5Y14.36%
Revenue Next Year6.19%
Revenue Next 2Y6.13%
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.
4. ARMK Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 22.57, the valuation of ARMK can be described as rather expensive.
- 60.80% of the companies in the same industry are more expensive than ARMK, based on the Price/Earnings ratio.
- ARMK's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.03.
- Based on the Price/Forward Earnings ratio of 15.55, the valuation of ARMK can be described as correct.
- 73.60% of the companies in the same industry are more expensive than ARMK, based on the Price/Forward Earnings ratio.
- ARMK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.11.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.57 | ||
| Fwd PE | 15.55 |
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 Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 46.05 | ||
| EV/EBITDA | 12.96 |
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.
- ARMK's earnings are expected to grow with 18.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.95
PEG (5Y)N/A
EPS Next 2Y20.48%
EPS Next 3Y18.56%
5. ARMK Dividend Analysis
5.1 Amount
- ARMK has a Yearly Dividend Yield of 1.15%.
- Compared to an average industry Dividend Yield of 1.10, 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 Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
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.
Dividend Growth(5Y)-1.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- ARMK pays out 36.13% of its income as dividend. This is a sustainable payout ratio.
DP36.13%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
ARMK Fundamentals: All Metrics, Ratios and Statistics
41.08
+0.22 (+0.54%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)02-10 2026-02-10/bmo
Earnings (Next)05-04 2026-05-04/bmo
Inst Owners100.66%
Inst Owner Change11.9%
Ins Owners0.51%
Ins Owner Change0.43%
Market Cap10.80B
Revenue(TTM)18.79B
Net Income(TTM)316.94M
Analysts83.81
Price Target47.45 (15.51%)
Short Float %2.97%
Short Ratio2.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
Yearly Dividend0.42
Dividend Growth(5Y)-1.01%
DP36.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date02-18 2026-02-18 (0.12)
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)4.18%
PT rev (3m)2.16%
EPS NQ rev (1m)-1.13%
EPS NQ rev (3m)1.37%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.44%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)0.73%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.57 | ||
| Fwd PE | 15.55 | ||
| P/S | 0.57 | ||
| P/FCF | 46.05 | ||
| P/OCF | 14.87 | ||
| P/B | 3.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.96 |
EPS(TTM)1.82
EY4.43%
EPS(NY)2.64
Fwd EY6.43%
FCF(TTM)0.89
FCFY2.17%
OCF(TTM)2.76
OCFY6.72%
SpS71.48
BVpS12.21
TBVpS-13.55
PEG (NY)0.95
PEG (5Y)N/A
Graham Number22.36
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 2.33 |
F-Score6
WACC5.84%
ROIC/WACC0.94
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 Y23.73%
EPS Next 2Y20.48%
EPS Next 3Y18.56%
EPS Next 5Y14.36%
Revenue 1Y (TTM)7.07%
Revenue growth 3Y4.26%
Revenue growth 5Y7.6%
Sales Q2Q%6.14%
Revenue Next Year6.19%
Revenue Next 2Y6.13%
Revenue Next 3Y5.94%
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 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 22.57 and the Price/Book (PB) ratio is 3.37.
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.