In its upcoming report, $Aramark(ARMK-W)$ (ARMK) is predicted by Wall Street analysts to post quarterly earnings of $0.54 per share, reflecting a decline of 15.6% compared to the same period last year. Revenues are forecasted to be $4.44 billion, representing a year-over-year decrease of 9.4%.
The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
Bearing this in mind, let's now explore the average estimates of specific Aramark metrics that are commonly monitored and projected by Wall Street analysts.
Analysts expect 'Revenues- FSS International' to come in at $1.18 billion. The estimate indicates a change of +3.9% from the prior-year quarter.
Based on the collective assessment of analysts, 'Revenues- FSS United States' should arrive at $3.25 billion. The estimate suggests a change of +6.1% year over year.
The combined assessment of analysts suggests that 'Operating Income- FSS United States' will likely reach $234.69 million. Compared to the current estimate, the company reported $221.84 million in the same quarter of the previous year.
Analysts predict that the 'Operating Income- FSS International' will reach $48.78 million. The estimate is in contrast to the year-ago figure of $41.23 million.
It is projected by analysts that the 'Adjusted Operating Income- FSS United States' will reach $255.14 million. The estimate is in contrast to the year-ago figure of $234.12 million.
The consensus among analysts is that 'Adjusted Operating Income- FSS International' will reach $53.67 million. Compared to the present estimate, the company reported $52.39 million in the same quarter last year.
View all Key Company Metrics for Aramark here>>>
Shares of Aramark have demonstrated returns of +2% over the past month compared to the Zacks S&P 500 composite's +0.7% change. With a Zacks Rank #4 (Sell), ARMK is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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