# Aramark (ARMK) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Hotels, Restaurants & Leisure. Price $56.78, market value $15.0 billion.

## Valuation
- **P/E (trailing): 39.7×** (5-yr avg 27.0×, 3-yr avg 26.4×). Aramark trades at 39.7× trailing earnings, well above its own five-year average of 27.0×: investors are paying up relative to the company's past. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 20.3×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.87**. A PEG of 0.87 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 0.8×**. Each dollar of revenue is priced at 0.8×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 4.4×**. The shares trade at 4.4× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 14.2×**. Enterprise value is 14.2× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 2.9%** (5-yr avg 4.8%). Free cash flow equals 2.9% of the market value, below its five-year average of 4.8%, so the shares are pricier on cash than usual.
- **Earnings yield: 2.5%**. The inverse of the P/E: 2.5% of the price is earned each year.

## Profitability
- **Operating margin: 4.4%**. 4.4% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 1.8%**. 1.8% of each dollar of sales reaches the bottom line.
- **Return on equity: 10.4%**. 10.4% on shareholders' equity is solid.
- **Return on invested capital: 8.7%**. Return on all capital, debt included, is 8.7%.
- **Return on assets: 2.9%**. Each dollar of assets produces 2.9% of profit.

## Growth
- **Revenue growth (1 yr): 6.4%** (3-yr 10.6%/yr, 5-yr 7.6%/yr). Revenue grew 6.4% over the last year, against 7.6% a year compounded over five years.
- **EPS growth (1 yr): 23.2%** (3-yr 17.6%/yr). Earnings per share rose 23.2%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 4.1%/yr**. Free cash flow has compounded at 4.1% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 1.72**. Debt is 1.72 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 3.4×**. It would take 3.4 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Current ratio: 0.99** (quick 0.99). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 0.85%** ($0.48 per share, trailing). Aramark yields 0.85%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 34%** (28% of free cash flow). 34% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 12**. 12 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 6.5%/yr** (1-yr 11.5%). The dividend has grown 6.5% a year over five years.

## Analyst view
- **Analyst consensus: strong_buy** (16 analysts). 16 analysts cover Aramark; the consensus is strong_buy, with an average price target of $67.97 (+20% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 46.3%** (YTD 54.9%, 3-mo 6.3%). The shares are up 46.3% over twelve months including dividends.
- **From 52-week high: -9.4%** (61.9% above the low). Trading 9% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 43**. An RSI of 43 is neutral.
- **Beta (1 yr): 0.63** (volatility 26%). Beta of 0.63 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=ARMK · Page: https://foliofundamentals.com/stocks/armk

Not investment advice.