Aramark Holdings (ARMK)vsDolby Laboratories (DLB)
ARMK
Aramark Holdings
$58.55
+3.15%
INDUSTRIALS · Cap: $15.18B
DLB
Dolby Laboratories
$64.48
+2.97%
INDUSTRIALS · Cap: $5.84B
Smart Verdict
WallStSmart Research — data-driven comparison
Aramark Holdings generates 1365% more annual revenue ($19.85B vs $1.35B). DLB leads profitability with a 16.7% profit margin vs 1.9%. ARMK appears more attractively valued with a PEG of 0.88. ARMK earns a higher WallStSmart Score of 64/100 (C+).
ARMK
Buy64
out of 100
Grade: C+
DLB
Hold44
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-44.8%
Fair Value
$39.30
Current Price
$58.55
$19.25 premium
Margin of Safety
+35.1%
Fair Value
$106.46
Current Price
$64.48
$41.98 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 33.3% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Areas to Watch
Grey zone — moderate risk
1.9% margin — thin
Operating margin of 4.4%
Elevated debt levels
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Revenue declined 3.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : ARMK
The strongest argument for ARMK centers on PEG Ratio, EPS Growth. PEG of 0.88 suggests the stock is reasonably priced for its growth.
Bull Case : DLB
The strongest argument for DLB centers on Debt/Equity, Altman Z-Score, Price/Book. Profitability is solid with margins at 16.7% and operating margin at 12.6%.
Bear Case : ARMK
The primary concerns for ARMK are Altman Z-Score, Profit Margin, Operating Margin. A P/E of 40.3x leaves little room for execution misses. Debt-to-equity of 1.91 is elevated, increasing financial risk.
Bear Case : DLB
The primary concerns for DLB are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
ARMK profiles as a value stock while DLB is a declining play — different risk/reward profiles.
ARMK carries more volatility with a beta of 1.19 — expect wider price swings.
ARMK is growing revenue faster at 9.3% — sustainability is the question.
DLB generates stronger free cash flow (148M), providing more financial flexibility.
Bottom Line
ARMK scores higher overall (64/100 vs 44/100). DLB offers better value entry with a 35.1% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Aramark Holdings
INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA
Aramark provides uniform food, facilities, and services to education, health, business and industrial, sports, recreation, and correctional clients in the United States and internationally. The company is headquartered in Philadelphia, Pennsylvania.
Visit Website →Dolby Laboratories
INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA
Dolby Laboratories, Inc. creates imaging and audio technologies that transform entertainment and communications in the theater, home, work, and mobile devices. The company is headquartered in San Francisco, California.
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