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Aramark

DB:0AK
Snowflake Description

Very undervalued with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
0AK
DB
$4B
Market Cap
  1. Home
  2. DE
  3. Consumer Services
Company description

Aramark provides food, facilities, and uniform services to education, healthcare, business and industry, sports, leisure, and corrections clients in North America and internationally. The last earnings update was 62 days ago. More info.


Add to Portfolio Compare Print
  • Aramark has significant price volatility in the past 3 months.
0AK Share Price and Events
7 Day Returns
-13.9%
DB:0AK
-6.8%
DE Hospitality
-0.6%
DE Market
1 Year Returns
-40.7%
DB:0AK
-48.1%
DE Hospitality
-20.9%
DE Market
0AK Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Aramark (0AK) -13.9% -42.9% -58.5% -40.7% -52.3% -44.4%
DE Hospitality -6.8% -31.3% -57.6% -48.1% -63.2% -70.6%
DE Market -0.6% -18.6% -26.2% -20.9% -25.8% -31.8%
1 Year Return vs Industry and Market
  • 0AK outperformed the Hospitality industry which returned -48.1% over the past year.
  • 0AK underperformed the Market in Germany which returned -20.9% over the past year.
Price Volatility
0AK
Industry
5yr Volatility vs Market
Related Companies

0AK Value

 Is Aramark undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Aramark to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Aramark.

DB:0AK Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.3%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:0AK
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.78
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.782 (1 + (1- 21%) (177.77%))
1.59
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.59
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.59 * 5.44%)
8.26%

Discounted Cash Flow Calculation for DB:0AK using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Aramark is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:0AK DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.26%)
2020 368.98 Analyst x8 340.84
2021 564.94 Analyst x7 482.03
2022 605.82 Analyst x4 477.48
2023 594.00 Analyst x1 432.45
2024 652.00 Analyst x1 438.46
2025 670.08 Est @ 2.77% 416.24
2026 682.30 Est @ 1.82% 391.50
2027 690.21 Est @ 1.16% 365.83
2028 695.00 Est @ 0.69% 340.27
2029 697.57 Est @ 0.37% 315.47
Present value of next 10 years cash flows $4,000.00
DB:0AK DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $697.57 × (1 + -0.39%) ÷ (8.26% – -0.39%)
$8,034.20
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $8,034.20 ÷ (1 + 8.26%)10
$3,633.43
DB:0AK Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,000.00 + $3,633.43
$7,633.43
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $7,633.43 / 252.27
$30.26
DB:0AK Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:0AK represents 0.94706x of NYSE:ARMK
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.94706x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 30.26 x 0.94706
€28.66
Value per share (EUR) From above. €28.66
Current discount Discount to share price of €16.10
= -1 x (€16.10 - €28.66) / €28.66
43.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Aramark is available for.
Intrinsic value
44%
Share price is €16.1 vs Future cash flow value of €28.66
Current Discount Checks
For Aramark to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Aramark's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Aramark's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Aramark's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Aramark's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:0AK PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-27) in USD $1.39
NYSE:ARMK Share Price ** NYSE (2020-04-03) in USD $17
Germany Hospitality Industry PE Ratio Median Figure of 9 Publicly-Listed Hospitality Companies 21.1x
Germany Market PE Ratio Median Figure of 401 Publicly-Listed Companies 16.57x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Aramark.

DB:0AK PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:ARMK Share Price ÷ EPS (both in USD)

= 17 ÷ 1.39

12.24x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aramark is good value based on earnings compared to the DE Hospitality industry average.
  • Aramark is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Aramark's expected growth come at a high price?
Raw Data
DB:0AK PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.24x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
24.2%per year
Europe Hospitality Industry PEG Ratio Median Figure of 63 Publicly-Listed Hospitality Companies 0.96x
Germany Market PEG Ratio Median Figure of 256 Publicly-Listed Companies 1.17x

*Line of best fit is calculated by linear regression .

DB:0AK PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.24x ÷ 24.2%

0.51x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aramark is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Aramark's assets?
Raw Data
DB:0AK PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-27) in USD $13.80
NYSE:ARMK Share Price * NYSE (2020-04-03) in USD $17
Germany Hospitality Industry PB Ratio Median Figure of 12 Publicly-Listed Hospitality Companies 1.73x
Germany Market PB Ratio Median Figure of 572 Publicly-Listed Companies 1.44x
DB:0AK PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:ARMK Share Price ÷ Book Value per Share (both in USD)

= 17 ÷ 13.80

1.23x

* Primary Listing of Aramark.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aramark is good value based on assets compared to the DE Hospitality industry average.
X
Value checks
We assess Aramark's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. Aramark has a total score of 6/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

0AK Future Performance

 How is Aramark expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
24.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Aramark expected to grow at an attractive rate?
  • Aramark's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Aramark's earnings growth is expected to exceed the Germany market average.
  • Aramark's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:0AK Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:0AK Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 24.2%
DB:0AK Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 5.6%
Germany Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 28.9%
Germany Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.1%
Germany Market Revenue Growth Rate Market Cap Weighted Average 3.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:0AK Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:0AK Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-09-30 18,485 552 1
2023-09-30 17,058 457 2
2022-09-30 16,910 1,161 483 6
2021-09-30 16,321 1,057 439 12
2020-09-30 14,456 676 160 12
2020-04-06
DB:0AK Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-27 16,216 878 344
2019-09-27 16,227 984 449
2019-06-28 16,190 1,118 538
2019-03-29 16,151 1,123 528
2018-12-28 16,090 1,160 526
2018-09-28 15,790 1,052 568
2018-06-29 15,530 750 506
2018-03-30 15,152 647 498
2017-12-29 14,834 768 541
2017-09-29 14,604 1,053 374
2017-06-30 14,494 906 344
2017-03-31 14,488 1,044 324
2016-12-30 14,441 1,010 320

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Aramark's earnings are expected to grow significantly at over 20% yearly.
  • Aramark's revenue is expected to grow by 5.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:0AK Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Aramark Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:0AK Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-09-30
2023-09-30
2022-09-30 1.99 2.42 1.55 2.00
2021-09-30 1.80 2.14 1.33 7.00
2020-09-30 0.58 1.24 -0.10 7.00
2020-04-06
DB:0AK Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-27 1.39
2019-09-27 1.82
2019-06-28 2.18
2019-03-29 2.14
2018-12-28 2.14
2018-09-28 2.31
2018-06-29 2.06
2018-03-30 2.04
2017-12-29 2.21
2017-09-29 1.53
2017-06-30 1.41
2017-03-31 1.33
2016-12-30 1.31

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Aramark is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Aramark's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Aramark has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

0AK Past Performance

  How has Aramark performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Aramark's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Aramark's year on year earnings growth rate has been positive over the past 5 years.
  • Aramark's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Aramark's 1-year earnings growth is negative, it can't be compared to the DE Hospitality industry average.
Earnings and Revenue History
Aramark's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Aramark Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:0AK Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-27 16,215.59 343.63 584.87
2019-09-27 16,227.34 448.55 358.26
2019-06-28 16,189.70 538.45 343.70
2019-03-29 16,150.54 528.07 368.73
2018-12-28 16,089.86 526.28 374.79
2018-09-28 15,789.63 567.89 360.63
2018-06-29 15,530.16 505.57 362.71
2018-03-30 15,151.83 498.29 339.29
2017-12-29 14,834.15 540.87 323.67
2017-09-29 14,604.41 373.92 305.57
2017-06-30 14,494.11 344.13 299.16
2017-03-31 14,487.74 323.60 280.69
2016-12-30 14,440.94 319.80 274.67
2016-09-30 14,415.83 287.81 283.34
2016-07-01 14,417.96 261.33 282.31
2016-04-01 14,317.25 250.32 300.28
2016-01-01 14,337.06 243.79 303.00
2015-10-02 14,329.14 235.95 316.74
2015-07-03 14,730.95 223.49 336.71
2015-04-03 14,864.81 236.60 335.86
2015-01-02 14,772.19 189.69 356.52
2014-10-03 14,832.91 148.96 382.85
2014-06-27 14,401.12 144.48 352.46
2014-03-28 14,271.09 125.35 326.55
2013-12-27 14,172.82 72.33 286.46
2013-09-27 13,945.66 70.39 227.90
2013-06-28 13,830.84 88.67 215.56

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Aramark has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Aramark used its assets more efficiently than the DE Hospitality industry average last year based on Return on Assets.
  • Aramark's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Aramark's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Aramark has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

0AK Health

 How is Aramark's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Aramark's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Aramark is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Aramark's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Aramark's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Aramark Company Filings, last reported 3 months ago.

DB:0AK Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-27 3,461.58 7,060.15 264.62
2019-09-27 3,329.96 6,576.53 246.64
2019-06-28 3,295.99 7,146.19 220.06
2019-03-29 3,243.67 7,056.18 195.39
2018-12-28 3,227.94 7,239.37 249.88
2018-09-28 3,039.65 7,243.98 216.48
2018-06-29 2,855.82 7,733.24 167.76
2018-03-30 2,805.59 7,682.01 185.53
2017-12-29 2,732.28 6,937.17 185.66
2017-09-29 2,468.86 5,277.80 238.80
2017-06-30 2,332.61 5,449.41 154.67
2017-03-31 2,250.55 5,239.04 145.48
2016-12-30 2,248.37 5,435.53 146.95
2016-09-30 2,170.80 5,310.88 152.58
2016-07-01 2,099.30 5,426.91 196.51
2016-04-01 2,059.32 5,458.84 147.72
2016-01-01 1,979.76 5,579.68 115.36
2015-10-02 1,893.46 5,323.87 122.42
2015-07-03 1,876.31 5,661.57 117.84
2015-04-03 1,822.65 5,622.44 134.75
2015-01-02 1,764.82 5,850.64 120.81
2014-10-03 1,727.91 5,480.08 111.69
2014-06-27 1,729.73 5,741.54 122.42
2014-03-28 1,709.32 5,619.93 139.18
2013-12-27 1,683.33 5,691.33 115.60
2013-09-27 913.91 5,886.94 111.00
2013-06-28 839.62 6,217.91 97.82
  • Aramark's level of debt (204%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (327.6% vs 204% today).
  • Debt is not well covered by operating cash flow (12.4%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.5x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Aramark's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Aramark has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

0AK Dividends

 What is Aramark's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.59%
Current annual income from Aramark dividends. Estimated to be 2.7% next year.
If you bought €2,000 of Aramark shares you are expected to receive €52 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Aramark's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.7%).
  • Aramark's dividend is below the markets top 25% of dividend payers in Germany (4.86%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:0AK Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
Germany Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 11.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 316 Stocks 3.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.9%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 4.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:0AK Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-09-30 0.61 1.00
2023-09-30 0.48 2.00
2022-09-30 0.46 5.00
2021-09-30 0.45 8.00
2020-09-30 0.44 8.00
2020-04-06
DB:0AK Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2020-01-29 0.440 1.586
2019-11-26 0.440 0.997
2019-11-19 0.440 1.005
2019-07-31 0.440 1.057
2019-05-01 0.440 1.290
2019-01-30 0.440 1.423
2018-11-13 0.440 1.357
2018-08-01 0.420 1.060
2018-05-02 0.420 1.087
2018-01-31 0.420 1.047
2017-11-14 0.420 0.976
2017-08-02 0.412 1.002
2017-05-03 0.412 1.052
2017-02-01 0.412 1.140
2016-11-23 0.412 1.181
2016-11-15 0.412 1.205
2016-08-03 0.380 1.024
2016-05-04 0.380 1.122
2016-02-02 0.380 1.173
2015-12-01 0.380 1.176
2015-11-18 0.380 1.158
2015-08-04 0.345 1.108
2015-05-06 0.345 1.094
2015-02-03 0.345 1.095
2014-11-12 0.345 1.138
2014-08-06 0.300 1.123
2014-05-08 0.300 1.128
2014-02-05 0.300 1.071

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Aramark has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Aramark only paid a dividend in the past 6 years.
Current Payout to shareholders
What portion of Aramark's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (5.1x coverage).
X
Income/ dividend checks
We assess Aramark's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Aramark afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Aramark has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

0AK Management

 What is the CEO of Aramark's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Zillmer
AGE 64
TENURE AS CEO 0.5 years
CEO Bio

Mr. John J. Zillmer serves as an Industrial Advisor at CVC Capital Partners Limited. He serves as an Industrial Advisor since 2014 to the firm. He specializes in Chemical Distribution, Waste Management, Concessions at the firm. Mr. John J. Zillmer serves as Chief Executive Officer and Director at Aramark since October 6, 2019. Mr. Zillmer served as the Executive Chairman of Univar Inc. from May 7, 2012 to December 2012. Mr. Zillmer served in the managed services industry for 30 years. He served as Chief Executive Officer and President of Univar NV since 2009. He served as Chief Executive Officer and President of Univar USA Inc., since November 2009 till 2012. He served as the Chief Executive Officer and President of Univar Inc., since joining it in October 2009 until May 7, 2012. He served as Chief Executive Officer and President of Univar Corporation since October 2009. He served as the Chief Executive Officer and Executive Chairman of the Board of Allied Waste Industries Inc. from May 31, 2005 to December 2008. He served as an Executive Director of Allied Waste Industries Inc. since May 31, 2005. He served in various Senior Level Positions with Aramark Corporation from 1986 to 2004. He served Managerial positions with Saga Food Service Corporation. He served as an Executive Vice President and President of Food and Support Services division of Aramark Corporation from May 2000 to January 2004. He served as President of ARAMARK’s Food and Support Services International division from August 1999 to 2004 and ARAMARK’s Business Services division from May 1995 to August 1999. During his 18-year career with Aramark, Mr. Zillmer served a number of other senior management positions including serving as President of international activities and business services group. From 1976 to 1986, he served in general management and staff positions with Saga Corporation and Szabo Food Service Company. He served as Regional Vice President of Szabo Food Services until 1986. He held Managerial positions with Saga Food Service Corporation. He served as Chairman of Univar USA Inc. since May 2012. He has been Chairman of CSX Corporation since January 2019 and its Independent Director March 6, 2017. He has been an Independent Director of Ecolab Inc. since May 12, 2006. He served as a Director of Pathmark Stores, Inc. He also served as a Director at Performance Food Group Company since 2015 until November 2019. Mr. Zillmer has been an Independent Director at Veritiv Corporation since June 2014 and serves as its Presiding Director since 2019. He has also served as a Director of Liberty Capital Partners, a private equity and venture capital firm specializing in start-ups, early stage, growth equity, buyouts and acquisitions, since June 2004. He serves as a Member of Advisory Board at Liberty Capital Partners, Investment Arm. He served as Independent Non-Management Director of Reynolds American Inc. from July 12, 2007 to July 25, 2017. He served as a Director of Casella Waste Systems Inc. from August 10, 2004 to May 2005 and United Stationers Inc. (alternate name Essendant Inc.) from October 21, 2004 to May 14, 2008. He served as a Director of Univar Inc. since October 2009. Mr. Zillmer was named to National Association of Corporate Directors Directorship 100 in 2016 in recognition of his outstanding contributions to corporate governance. He holds an M.B.A. degree from the J.L. Kellogg Graduate School at Northwestern University and also studied from Marquette University.

CEO Compensation
  • Insufficient data for John to compare compensation growth.
  • Insufficient data for John to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Aramark management team in years:

0.5
Average Tenure
55
Average Age
  • The average tenure for the Aramark management team is less than 2 years, this suggests a new team.
Management Team

Lauren Harrington

TITLE
Senior VP & General Counsel
COMPENSATION
$2M
AGE
44
TENURE
1.1 yrs

Lynn McKee

TITLE
Executive Vice President of Human Resources
COMPENSATION
$3M
AGE
64
TENURE
15.9 yrs

Steve Bramlage

TITLE
Executive Advisor
COMPENSATION
$5M
AGE
49
TENURE
0.3 yrs

Keith Bethel

TITLE
Chief Growth Officer
COMPENSATION
$2M
AGE
52

John Zillmer

TITLE
CEO & Director
AGE
64
TENURE
0.5 yrs

Tom Ondrof

TITLE
Executive VP & CFO
AGE
55
TENURE
0.3 yrs

Carl Mittleman

TITLE
Chief Operating Officer of International
TENURE
0.2 yrs

Felise Kissell

TITLE
Investor Relations & Corporate Affairs Executive

Danna Vetter

TITLE
Chief Marketer

Joe Munnelly

TITLE
Chief Accounting Officer (Leave of Absence)
COMPENSATION
$2M
AGE
55
TENURE
12.6 yrs
Board of Directors Tenure

Average tenure and age of the Aramark board of directors in years:

0.6
Average Tenure
63
Average Age
  • The average tenure for the Aramark board of directors is less than 3 years, this suggests a new board.
Board of Directors

Steve Sadove

TITLE
Non-Executive Independent Chairman
COMPENSATION
$329K
AGE
67
TENURE
0.7 yrs

John Zillmer

TITLE
CEO & Director
AGE
64
TENURE
0.5 yrs

Paul Hilal

TITLE
Independent Vice Chairman of the Board
AGE
52
TENURE
0.5 yrs

Dan Heinrich

TITLE
Independent Director
COMPENSATION
$293K
AGE
63
TENURE
6.4 yrs

Irene Esteves

TITLE
Independent Director
COMPENSATION
$280K
AGE
60
TENURE
5.2 yrs

Ivey Cameron

TITLE
Independent Director
AGE
60
TENURE
0.5 yrs

Art Winkleblack

TITLE
Independent Director
AGE
61
TENURE
0.5 yrs

Rick Dreiling

TITLE
Independent Director
COMPENSATION
$260K
AGE
66
TENURE
4.2 yrs

Calvin Darden

TITLE
Independent Director
COMPENSATION
$260K
AGE
69
TENURE
2.3 yrs

Karen King

TITLE
Independent Director
AGE
63
TENURE
0.5 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Aramark individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
23. Mar 20 Buy Stephen Sadove Individual 23. Mar 20 23. Mar 20 5,000 €16.53 €82,650
23. Mar 20 Buy Karen King Individual 23. Mar 20 23. Mar 20 5,100 €17.88 €91,173
23. Mar 20 Buy Greg Creed Individual 23. Mar 20 23. Mar 20 6,000 €16.47 €98,812
13. Mar 20 Sell Mantle Ridge LP Company 11. Mar 20 12. Mar 20 -21,392,115 €23.51 €-500,132,941
12. Mar 20 Buy Marc Bruno Individual 12. Mar 20 12. Mar 20 23,400 €19.22 €449,750
11. Mar 20 Buy John Zillmer Individual 11. Mar 20 11. Mar 20 40,000 €22.91 €916,272
03. Mar 20 Buy Greg Creed Individual 02. Mar 20 02. Mar 20 3,000 €30.76 €92,294
22. Nov 19 Buy John Zillmer Individual 21. Nov 19 21. Nov 19 35,000 €38.57 €1,349,845
16. Aug 19 Sell Keith Bethel Individual 15. Aug 19 15. Aug 19 -7,500 €33.69 €-252,643
X
Management checks
We assess Aramark's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Aramark has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

0AK News

Simply Wall St News

0AK Company Info

Description

Aramark provides food, facilities, and uniform services to education, healthcare, business and industry, sports, leisure, and corrections clients in North America and internationally. It operates through three segments: Food and Support Services United States, Food and Support Services International, and Uniform and Career Apparel. The company offers managed services, including dining, catering, food service management, and convenience-oriented retail operations; non-clinical support services, such as patient food and nutrition, retail food, and procurement services; and plant operations and maintenance, custodial/housekeeping, energy management, grounds keeping, and capital project management services. It also provides on-site restaurants, catering, convenience stores, and executive dining services; beverage and vending services; and facility management services comprising landscaping, transportation, payment, and other facility consulting services relating to building operations. In addition, the company offers concessions, banquet, and catering services; retail services and merchandise sale, recreational, and lodging services; and facility management services at sports, entertainment, and recreational facilities. Further, the company offers correctional food, and food and facilities management services for parks; and operates commissaries, laundry facilities, and property rooms. Additionally, it provides design, sourcing and manufacturing, delivery, cleaning, maintenance, and marketing services for uniforms and accessories; provides managed restroom services; and rents uniforms, work clothing, outerwear, particulate-free garments, and non-garment items and related services that include mats, shop towels, and first aid supplies. The company was formerly known as ARAMARK Holdings Corporation and changed its name to Aramark in May 2014. Aramark was founded in 1959 and is based in Philadelphia, Pennsylvania.

Details
Name: Aramark
0AK
Exchange: DB
Founded: 1959
$3,975,060,319
252,267,858
Website: http://www.aramark.com
Address: Aramark
2400 Market Street,
Philadelphia,
Pennsylvania, 19103,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ARMK Common Stock New York Stock Exchange US USD 12. Dec 2013
DB 0AK Common Stock Deutsche Boerse AG DE EUR 12. Dec 2013
LSE 0HHB Common Stock London Stock Exchange GB USD 12. Dec 2013
BRSE 0AK Common Stock Berne Stock Exchange CH CHF 12. Dec 2013
Number of employees
Current staff
Staff numbers
233,400
Aramark employees.
Industry
Restaurants
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/06 00:41
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/04/04
Last earnings filing: 2020/02/04
Last earnings reported: 2019/12/27
Last annual earnings reported: 2019/09/27


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.