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Aramark
NYSE:ARMK

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Aramark
NYSE:ARMK
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Price: 44.95 USD -1.62% Market Closed
Market Cap: $11.8B

EV/GP

11.3
Current
17%
More Expensive
vs 3-y average of 9.6

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
11.3
=
Enterprise Value
$16.5B
/
Gross Profit
$1.6B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
11.3
=
Enterprise Value
$16.5B
/
Gross Profit
$1.6B

Valuation Scenarios

Aramark is trading above its 3-year average

If EV/GP returns to its 3-Year Average (9.6), the stock would be worth $38.5 (14% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-44%
Maximum Upside
No Upside Scenarios
Average Downside
28%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 11.3 $44.95
0%
3-Year Average 9.6 $38.5
-14%
5-Year Average 9.8 $39.1
-13%
Industry Average 6.3 $25.26
-44%
Country Average 6.5 $25.99
-42%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

Higher than 72% of companies in the United States of America
Percentile
72nd
Based on 9 428 companies
72nd percentile
11.3
Low
0 — 4.2
Typical Range
4.2 — 10.6
High
10.6 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 4.2
Median 6.5
70th Percentile 10.6
Max 1 764 211.7

Aramark
Glance View

Aramark, a name synonymous with service excellence, has carved a niche for itself in the competitive world of food, facilities, and uniform services. Originating from humble beginnings in the 1930s, the company has grown into a global giant by maintaining an unwavering focus on customer satisfaction and diverse service solutions. Aramark works with businesses, schools, hospitals, and leisure venues, tailoring its offerings to meet the unique needs of each sector. Whether it's managing high-volume dining operations at educational institutions, providing essential cleaning services at healthcare facilities, or offering uniform rentals and cleaning for industries, Aramark's multifaceted approach ensures a consistent stream of revenue. By emphasizing sustainability and innovation, the company continuously adapts its services to meet emerging trends and client demands. Beyond the mechanics of its core services, Aramark's business model thrives on its ability to form enduring partnerships with clients. Its collaborative approach involves understanding the specific challenges of each client and developing customized solutions that drive efficiency and enhance experience. This emphasis on partnership extends to its workforce, where a focus on training and development enhances service delivery and strengthens loyalty. The firm's financial health is buoyed by long-term contracts, which provide stability and predictability in cash flow. Moreover, Aramark's strategic acquisitions and global expansions have ensured a vast market presence, allowing it to tap into new opportunities and diversify its revenue base. This strategic focus on building strong relationships and continuously evolving to meet client needs is the cornerstone of Aramark's enduring success.

ARMK Intrinsic Value
55.21 USD
Undervaluation 19%
Intrinsic Value
Price $44.95
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