Seek Returns logo

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

Updated on

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

Company Profile

ARMK is a standard domestic listing, while ZTO trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolARMKZTO
Company NameAramarkZTO Express (Cayman) Inc.
CountryUnited StatesChina
GICS SectorConsumer DiscretionaryIndustrials
GICS IndustryHotels, Restaurants & LeisureAir Freight & Logistics
Market Capitalization10.25 billion USD15.17 billion USD
ExchangeNYSENYSE
Listing DateDecember 12, 2013October 27, 2016
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of ARMK and ZTO 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. ZTO: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolARMKZTO
5-Day Price Return1.56%-1.53%
13-Week Price Return-8.11%6.32%
26-Week Price Return11.33%-5.67%
52-Week Price Return2.85%2.50%
Month-to-Date Return1.56%0.34%
Year-to-Date Return4.53%-2.18%
10-Day Avg. Volume2.08M1.58M
3-Month Avg. Volume1.96M2.53M
3-Month Volatility23.43%37.44%
Beta1.130.76

Profitability

Return on Equity (TTM)

ARMK

11.83%

Hotels, Restaurants & Leisure Industry

Max
84.03%
Q3
40.12%
Median
17.38%
Q1
7.45%
Min
-33.94%

ARMK’s Return on Equity of 11.83% is on par with the norm for the Hotels, Restaurants & Leisure industry, indicating its profitability relative to shareholder equity is typical for the sector.

ZTO

13.99%

Air Freight & Logistics Industry

Max
35.27%
Q3
18.63%
Median
11.99%
Q1
7.41%
Min
2.11%

ZTO’s Return on Equity of 13.99% is on par with the norm for the Air Freight & Logistics industry, indicating its profitability relative to shareholder equity is typical for the sector.

ARMK vs. ZTO: A comparison of their Return on Equity (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Net Profit Margin (TTM)

ARMK

2.02%

Hotels, Restaurants & Leisure Industry

Max
25.61%
Q3
14.65%
Median
8.66%
Q1
3.36%
Min
-9.83%

Falling into the lower quartile for the Hotels, Restaurants & Leisure industry, ARMK’s Net Profit Margin of 2.02% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

ZTO

18.81%

Air Freight & Logistics Industry

Max
7.92%
Q3
5.98%
Median
4.11%
Q1
2.45%
Min
0.50%

ZTO’s Net Profit Margin of 18.81% is exceptionally high, placing it well beyond the typical range for the Air Freight & Logistics industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

ARMK vs. ZTO: A comparison of their Net Profit Margin (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Operating Profit Margin (TTM)

ARMK

4.44%

Hotels, Restaurants & Leisure Industry

Max
45.80%
Q3
22.44%
Median
14.98%
Q1
6.59%
Min
-15.28%

ARMK’s Operating Profit Margin of 4.44% is in the lower quartile for the Hotels, Restaurants & Leisure industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

ZTO

23.34%

Air Freight & Logistics Industry

Max
11.33%
Q3
8.19%
Median
5.82%
Q1
3.63%
Min
1.06%

ZTO’s Operating Profit Margin of 23.34% is exceptionally high, placing it well above the typical range for the Air Freight & Logistics industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ARMK vs. ZTO: A comparison of their Operating Profit Margin (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Profitability at a Glance

SymbolARMKZTO
Return on Equity (TTM)11.83%13.99%
Return on Assets (TTM)2.77%9.33%
Net Profit Margin (TTM)2.02%18.81%
Operating Profit Margin (TTM)4.44%23.34%
Gross Profit Margin (TTM)8.55%27.48%

Financial Strength

Current Ratio (MRQ)

ARMK

1.29

Hotels, Restaurants & Leisure Industry

Max
2.73
Q3
1.63
Median
1.12
Q1
0.73
Min
0.18

ARMK’s Current Ratio of 1.29 aligns with the median group of the Hotels, Restaurants & Leisure industry, indicating that its short-term liquidity is in line with its sector peers.

ZTO

1.21

Air Freight & Logistics Industry

Max
1.73
Q3
1.33
Median
1.15
Q1
0.95
Min
0.61

ZTO’s Current Ratio of 1.21 aligns with the median group of the Air Freight & Logistics industry, indicating that its short-term liquidity is in line with its sector peers.

ARMK vs. ZTO: A comparison of their Current Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ARMK

2.04

Hotels, Restaurants & Leisure Industry

Max
11.29
Q3
4.71
Median
1.65
Q1
0.27
Min
0.00

ARMK’s Debt-to-Equity Ratio of 2.04 is typical for the Hotels, Restaurants & Leisure industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ZTO

0.29

Air Freight & Logistics Industry

Max
1.57
Q3
1.25
Median
0.77
Q1
0.32
Min
0.00

Falling into the lower quartile for the Air Freight & Logistics industry, ZTO’s Debt-to-Equity Ratio of 0.29 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ARMK vs. ZTO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Interest Coverage Ratio (TTM)

ARMK

2.07

Hotels, Restaurants & Leisure Industry

Max
21.72
Q3
11.40
Median
4.02
Q1
1.19
Min
-11.84

ARMK’s Interest Coverage Ratio of 2.07 is positioned comfortably within the norm for the Hotels, Restaurants & Leisure industry, indicating a standard and healthy capacity to cover its interest payments.

ZTO

--

Air Freight & Logistics Industry

Max
49.07
Q3
23.59
Median
8.92
Q1
6.34
Min
-0.60

Interest Coverage Ratio data for ZTO is currently unavailable.

ARMK vs. ZTO: A comparison of their Interest Coverage Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Financial Strength at a Glance

SymbolARMKZTO
Current Ratio (MRQ)1.291.21
Quick Ratio (MRQ)1.061.02
Debt-to-Equity Ratio (MRQ)2.040.29
Interest Coverage Ratio (TTM)2.07--

Growth

Revenue Growth

ARMK vs. ZTO: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ARMK vs. ZTO: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ARMK

1.06%

Hotels, Restaurants & Leisure Industry

Max
6.81%
Q3
2.73%
Median
0.74%
Q1
0.00%
Min
0.00%

ARMK’s Dividend Yield of 1.06% is consistent with its peers in the Hotels, Restaurants & Leisure industry, providing a dividend return that is standard for its sector.

ZTO

0.00%

Air Freight & Logistics Industry

Max
6.28%
Q3
3.20%
Median
1.90%
Q1
0.55%
Min
0.00%

ZTO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ARMK vs. ZTO: A comparison of their Dividend Yield (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Dividend Payout Ratio (TTM)

ARMK

29.94%

Hotels, Restaurants & Leisure Industry

Max
128.39%
Q3
61.60%
Median
21.91%
Q1
0.00%
Min
0.00%

ARMK’s Dividend Payout Ratio of 29.94% is within the typical range for the Hotels, Restaurants & Leisure industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ZTO

0.00%

Air Freight & Logistics Industry

Max
160.95%
Q3
92.80%
Median
60.17%
Q1
4.60%
Min
0.00%

ZTO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ARMK vs. ZTO: A comparison of their Dividend Payout Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Dividend at a Glance

SymbolARMKZTO
Dividend Yield (TTM)1.06%0.00%
Dividend Payout Ratio (TTM)29.94%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

ARMK

28.34

Hotels, Restaurants & Leisure Industry

Max
56.96
Q3
33.82
Median
21.30
Q1
15.75
Min
6.06

ARMK’s P/E Ratio of 28.34 is within the middle range for the Hotels, Restaurants & Leisure industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ZTO

12.12

Air Freight & Logistics Industry

Max
30.08
Q3
23.03
Median
18.40
Q1
12.84
Min
5.90

In the lower quartile for the Air Freight & Logistics industry, ZTO’s P/E Ratio of 12.12 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

ARMK vs. ZTO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Price-to-Sales Ratio (TTM)

ARMK

0.57

Hotels, Restaurants & Leisure Industry

Max
7.19
Q3
3.99
Median
1.93
Q1
1.26
Min
0.17

In the lower quartile for the Hotels, Restaurants & Leisure industry, ARMK’s P/S Ratio of 0.57 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.

ZTO

2.28

Air Freight & Logistics Industry

Max
2.28
Q3
1.40
Median
0.63
Q1
0.46
Min
0.19

With a P/S Ratio of 2.28, ZTO trades at a valuation that eclipses even the highest in the Air Freight & Logistics industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ARMK vs. ZTO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Price-to-Book Ratio (MRQ)

ARMK

3.58

Hotels, Restaurants & Leisure Industry

Max
24.89
Q3
11.60
Median
4.91
Q1
2.29
Min
0.37

ARMK’s P/B Ratio of 3.58 is within the conventional range for the Hotels, Restaurants & Leisure industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ZTO

1.59

Air Freight & Logistics Industry

Max
5.68
Q3
3.23
Median
1.97
Q1
1.31
Min
0.80

ZTO’s P/B Ratio of 1.59 is within the conventional range for the Air Freight & Logistics industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ARMK vs. ZTO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Hotels, Restaurants & Leisure and Air Freight & Logistics industry benchmarks.

Valuation at a Glance

SymbolARMKZTO
Price-to-Earnings Ratio (TTM)28.3412.12
Price-to-Sales Ratio (TTM)0.572.28
Price-to-Book Ratio (MRQ)3.581.59
Price-to-Free Cash Flow Ratio (TTM)9.5110.10