Food and facilities services provider Aramark (NYSE:ARMK) will be announcing earnings results this Tuesday before market hours. Here’s what to expect.
Aramark missed analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $5.05 billion, up 14.3% year on year. It was a slower quarter for the company, with a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.
Is Aramark a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Aramark’s revenue to grow 4.3% year on year to $4.75 billion, improving from the 3.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.51 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Aramark has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Aramark’s peers in the business process outsourcing & consulting segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Exponent delivered year-on-year revenue growth of 4.5%, beating analysts’ expectations by 1%, and Genpact reported revenues up 5.6%, topping estimates by 0.8%. Exponent traded up 12.7% following the results while Genpact was also up 7.1%.
Read our full analysis of Exponent’s results here and Genpact’s results here.
Debates around the economy’s health and the impact of potential tariffs and corporate tax cuts have caused much uncertainty in 2025. While some of the business process outsourcing & consulting stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.2% on average over the last month. Aramark is up 1.2% during the same time and is heading into earnings with an average analyst price target of $44.60 (compared to the current share price of $38.96).
Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.