Joshua Chan, an analyst from UBS, maintained the Buy rating on ARAMARK Holdings. The associated price target remains the same with $45.00.
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Joshua Chan has given his Buy rating due to a combination of factors that suggest a positive outlook for ARAMARK Holdings. Despite a less favorable MLB playoff season impacting short-term revenue, the overall financial health and strategic positioning of the company remain strong. The estimated revenue impact from fewer playoff games is not expected to significantly alter the full-year financial guidance.
Furthermore, the valuation of ARAMARK Holdings is attractive, with a price target set at $45 based on an 11.5X NTM EV/EBITDA multiple. This valuation reflects confidence in the company’s future earnings potential, particularly with an estimated EBITDA of approximately $1.55 billion by June 2027. These factors collectively support the Buy rating, indicating a belief in the company’s ability to deliver long-term value to shareholders.