Following a strong fiscal third-quarter earnings report last week, Jefferies raised its price target on Aramark to $70 from $62, while maintaining a Buy rating on the shares. The firm cited broad-based growth across all of the company's segments and sees potential for higher margins driven by contract maturation, operating leverage, and cost controls.
Separately, Aramark's Student Nutrition division announced new partnerships with more than a dozen school districts across the United States. The new contracts are aimed at enhancing the K-12 student dining experience with chef-inspired menus, local sourcing, and nutrition education programs, further expanding its footprint in the education sector.