ARMK - Aramark At An Inflection Point For Pricing Growth - Goldman Sachs Is Bullish | Benzinga
Goldman Sachs analyst Lizzie Dove initiated coverage on the shares of Aramark (NYSE:ARMK) with a Buy rating and a price target of $33.
The analysis of food input prices shows that it typically takes 18 months before caterers have managed to fully pass through inflation, suggesting that ARMK is on the precipice of an inflection point for pricing growth, says the analyst.
ARMK's segment exposure analysis shows that Education, Corrections and Healthcare segments typically face a longer-catch up, which would suggest upside in F24-25, writes the analyst.
The market may be under-estimating ARMK's revenue growth runway in the analyst's view.
The first-time outsourcing now represents about 50% contract wins versus 30% pre-COVID, a ...