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ARMK vs. AVY: A Head-to-Head Stock Comparison

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Here’s a clear look at ARMK and AVY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ARMK’s market capitalization stands at 11.21 billion USD, while AVY’s is 14.32 billion USD, indicating their market valuations are broadly comparable.

ARMK’s beta of 1.36 points to significantly higher volatility compared to AVY (beta: 0.89), suggesting ARMK has greater potential for both gains and losses relative to market movements.

SymbolARMKAVY
Company NameAramarkAvery Dennison Corporation
CountryUSUS
SectorIndustrialsIndustrials
IndustrySpecialty Business ServicesBusiness Equipment & Supplies
CEOJohn J. ZillmerDeon M. Stander
Price42.79 USD183.24 USD
Market Cap11.21 billion USD14.32 billion USD
Beta1.360.89
ExchangeNYSENYSE
IPO DateDecember 12, 2013April 4, 1977
ADRNoNo

Historical Performance

This chart compares the performance of ARMK and AVY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ARMK vs. AVY: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ARMK

11.52%

Specialty Business Services Industry

Max
30.24%
Q3
17.20%
Median
7.32%
Q1
4.37%
Min
-13.44%

ARMK’s Return on Equity of 11.52% is on par with the norm for the Specialty Business Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

AVY

30.48%

Business Equipment & Supplies Industry

Max
16.56%
Q3
16.56%
Median
12.99%
Q1
11.92%
Min
11.92%

AVY’s Return on Equity of 30.48% is exceptionally high, placing it well beyond the typical range for the Business Equipment & Supplies industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ARMK vs. AVY: A comparison of their ROE against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Return on Invested Capital

ARMK

5.32%

Specialty Business Services Industry

Max
22.69%
Q3
10.02%
Median
5.30%
Q1
1.55%
Min
-1.58%

ARMK’s Return on Invested Capital of 5.32% is in line with the norm for the Specialty Business Services industry, reflecting a standard level of efficiency in generating profits from its capital base.

AVY

13.21%

Business Equipment & Supplies Industry

Max
13.21%
Q3
11.67%
Median
10.45%
Q1
8.54%
Min
6.64%

In the upper quartile for the Business Equipment & Supplies industry, AVY’s Return on Invested Capital of 13.21% signifies a highly effective use of its capital to generate profits when compared to its peers.

ARMK vs. AVY: A comparison of their ROIC against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Net Profit Margin

ARMK

1.97%

Specialty Business Services Industry

Max
17.53%
Q3
11.60%
Median
5.65%
Q1
1.65%
Min
-5.21%

ARMK’s Net Profit Margin of 1.97% is aligned with the median group of its peers in the Specialty Business Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

AVY

7.98%

Business Equipment & Supplies Industry

Max
13.49%
Q3
7.98%
Median
5.35%
Q1
3.84%
Min
3.84%

AVY’s Net Profit Margin of 7.98% is aligned with the median group of its peers in the Business Equipment & Supplies industry. This indicates its ability to convert revenue into profit is typical for the sector.

ARMK vs. AVY: A comparison of their Net Profit Margin against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Operating Profit Margin

ARMK

4.38%

Specialty Business Services Industry

Max
29.40%
Q3
16.52%
Median
5.78%
Q1
1.54%
Min
-5.17%

ARMK’s Operating Profit Margin of 4.38% is around the midpoint for the Specialty Business Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

AVY

12.83%

Business Equipment & Supplies Industry

Max
17.67%
Q3
12.83%
Median
8.01%
Q1
7.07%
Min
5.16%

AVY’s Operating Profit Margin of 12.83% is around the midpoint for the Business Equipment & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.

ARMK vs. AVY: A comparison of their Operating Margin against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Profitability at a Glance

SymbolARMKAVY
Return on Equity (TTM)11.52%30.48%
Return on Assets (TTM)2.58%8.36%
Return on Invested Capital (TTM)5.32%13.21%
Net Profit Margin (TTM)1.97%7.98%
Operating Profit Margin (TTM)4.38%12.83%
Gross Profit Margin (TTM)7.86%28.79%

Financial Strength

Current Ratio

ARMK

1.21

Specialty Business Services Industry

Max
2.21
Q3
1.84
Median
1.52
Q1
0.94
Min
0.26

ARMK’s Current Ratio of 1.21 aligns with the median group of the Specialty Business Services industry, indicating that its short-term liquidity is in line with its sector peers.

AVY

1.03

Business Equipment & Supplies Industry

Max
1.76
Q3
1.76
Median
1.65
Q1
1.19
Min
1.03

AVY’s Current Ratio of 1.03 falls into the lower quartile for the Business Equipment & Supplies industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ARMK vs. AVY: A comparison of their Current Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Debt-to-Equity Ratio

ARMK

2.27

Specialty Business Services Industry

Max
1.02
Q3
0.93
Median
0.62
Q1
0.22
Min
0.03

With a Debt-to-Equity Ratio of 2.27, ARMK operates with exceptionally high leverage compared to the Specialty Business Services industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

AVY

1.59

Business Equipment & Supplies Industry

Max
0.69
Q3
0.69
Median
0.61
Q1
0.21
Min
0.01

With a Debt-to-Equity Ratio of 1.59, AVY operates with exceptionally high leverage compared to the Business Equipment & Supplies industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ARMK vs. AVY: A comparison of their D/E Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Interest Coverage Ratio

ARMK

2.33

Specialty Business Services Industry

Max
15.61
Q3
6.91
Median
3.29
Q1
0.04
Min
-8.58

ARMK’s Interest Coverage Ratio of 2.33 is positioned comfortably within the norm for the Specialty Business Services industry, indicating a standard and healthy capacity to cover its interest payments.

AVY

9.41

Business Equipment & Supplies Industry

Max
12.58
Q3
10.20
Median
8.76
Q1
6.65
Min
2.29

AVY’s Interest Coverage Ratio of 9.41 is positioned comfortably within the norm for the Business Equipment & Supplies industry, indicating a standard and healthy capacity to cover its interest payments.

ARMK vs. AVY: A comparison of their Interest Coverage against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Financial Strength at a Glance

SymbolARMKAVY
Current Ratio (TTM)1.211.03
Quick Ratio (TTM)1.080.68
Debt-to-Equity Ratio (TTM)2.271.59
Debt-to-Asset Ratio (TTM)0.510.41
Net Debt-to-EBITDA Ratio (TTM)4.742.32
Interest Coverage Ratio (TTM)2.339.41

Growth

The following charts compare key year-over-year (YoY) growth metrics for ARMK and AVY. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ARMK vs. AVY: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ARMK vs. AVY: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ARMK vs. AVY: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ARMK

0.96%

Specialty Business Services Industry

Max
4.40%
Q3
1.37%
Median
0.74%
Q1
0.00%
Min
0.00%

ARMK’s Dividend Yield of 0.96% is consistent with its peers in the Specialty Business Services industry, providing a dividend return that is standard for its sector.

AVY

1.95%

Business Equipment & Supplies Industry

Max
19.11%
Q3
8.38%
Median
3.82%
Q1
2.68%
Min
2.04%

AVY’s Dividend Yield of 1.95% is below the typical range for the Business Equipment & Supplies industry. This indicates that shareholder returns are likely driven more by potential capital appreciation than by dividend income.

ARMK vs. AVY: A comparison of their Dividend Yield against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Dividend Payout Ratio

ARMK

30.38%

Specialty Business Services Industry

Max
79.38%
Q3
51.62%
Median
23.75%
Q1
1.08%
Min
0.00%

ARMK’s Dividend Payout Ratio of 30.38% is within the typical range for the Specialty Business Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AVY

40.30%

Business Equipment & Supplies Industry

Max
233.86%
Q3
93.40%
Median
43.44%
Q1
39.85%
Min
38.49%

AVY’s Dividend Payout Ratio of 40.30% is within the typical range for the Business Equipment & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ARMK vs. AVY: A comparison of their Payout Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Dividend at a Glance

SymbolARMKAVY
Dividend Yield (TTM)0.96%1.95%
Dividend Payout Ratio (TTM)30.38%40.30%

Valuation

Price-to-Earnings Ratio

ARMK

32.56

Specialty Business Services Industry

Max
52.23
Q3
42.83
Median
32.04
Q1
16.00
Min
2.24

ARMK’s P/E Ratio of 32.56 is within the middle range for the Specialty Business Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AVY

20.71

Business Equipment & Supplies Industry

Max
19.85
Q3
17.85
Median
14.65
Q1
11.60
Min
10.05

At 20.71, AVY’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Business Equipment & Supplies industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

ARMK vs. AVY: A comparison of their P/E Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Forward P/E to Growth Ratio

ARMK

2.42

Specialty Business Services Industry

Max
4.93
Q3
3.34
Median
2.19
Q1
0.14
Min
0.06

ARMK’s Forward PEG Ratio of 2.42 is within the middle range of its peers in the Specialty Business Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

AVY

2.17

Business Equipment & Supplies Industry

Max
2.08
Q3
1.58
Median
1.08
Q1
0.82
Min
0.55

AVY’s Forward PEG Ratio of 2.17 is exceptionally high for the Business Equipment & Supplies industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

ARMK vs. AVY: A comparison of their Forward PEG Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Price-to-Sales Ratio

ARMK

0.64

Specialty Business Services Industry

Max
6.26
Q3
3.60
Median
1.90
Q1
0.73
Min
0.34

In the lower quartile for the Specialty Business Services industry, ARMK’s P/S Ratio of 0.64 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

AVY

1.64

Business Equipment & Supplies Industry

Max
1.62
Q3
1.57
Median
0.91
Q1
0.37
Min
0.20

With a P/S Ratio of 1.64, AVY trades at a valuation that eclipses even the highest in the Business Equipment & Supplies industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ARMK vs. AVY: A comparison of their P/S Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Price-to-Book Ratio

ARMK

3.75

Specialty Business Services Industry

Max
3.69
Q3
3.69
Median
2.13
Q1
1.55
Min
0.59

The P/B Ratio is often not a primary valuation metric for the Specialty Business Services industry.

AVY

6.67

Business Equipment & Supplies Industry

Max
2.90
Q3
2.90
Median
1.32
Q1
1.26
Min
0.55

At 6.67, AVY’s P/B Ratio is at an extreme premium to the Business Equipment & Supplies industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ARMK vs. AVY: A comparison of their P/B Ratio against their respective Specialty Business Services and Business Equipment & Supplies industry benchmarks.

Valuation at a Glance

SymbolARMKAVY
Price-to-Earnings Ratio (P/E, TTM)32.5620.71
Forward PEG Ratio (TTM)2.422.17
Price-to-Sales Ratio (P/S, TTM)0.641.64
Price-to-Book Ratio (P/B, TTM)3.756.67
Price-to-Free Cash Flow Ratio (P/FCF, TTM)30.2224.22
EV-to-EBITDA (TTM)13.7312.49
EV-to-Sales (TTM)0.972.01