Why Aramark (ARMK) Skyrocketed On Tuesday

We recently published a list of Here’s What Fueled These 10 Firms’ Surge. In this article, we are going to take a look at where Aramark (NYSE:ARMK) stands against other Tuesday’s best-performing stocks.

The stock market ended the trading session in the red on Tuesday, with all major indices giving up earlier gains, as investors sold off positions while waiting for the results of the Federal Reserve’s policy decision, while digesting President Donald Trump’s new tariff policies.

Among all the major indices, the Dow Jones fell the heaviest, down 0.95 percent. The tech-heavy Nasdaq followed with a 0.87-percent decline, while the S&P 500 finished with a 0.77-percent drop.

Beyond the major indices, 10 firms stood out with strong gains amid a flurry of fresh developments, including new partnerships, optimistic outlooks, and impressive earnings performance. In this article, we name Tuesday’s 10 best-performing stocks and detail the reasons behind their gains.

To come up with the list, we considered only the stocks with a $2-billion market capitalization and $5-million trading volume.

Aramark (NYSE:ARMK)

Aramark extended its winning streak for a third day on Tuesday, jumping 10.06 percent to finish at $37.64 apiece as investors cheered the company’s impressive earnings performance during the second quarter of fiscal year 2025 alongside an optimistic outlook.

In its latest earnings release, Aramark (NYSE:ARMK) said net income attributable to shareholders more than doubled to $167.47 million from the $81.98 million registered in the same period last year. Revenues grew by 2.3 percent to $8.8 billion from $8.6 billion year-on-year.

Meanwhile, Aramark (NYSE:ARMK) declared cash dividends of 10.5 cents per common stock for shareholders as of record date May 14, 2025. The dividends will be payable on May 28, 2025.

Looking ahead, the company reaffirmed its full-year fiscal 2025 growth outlook. Organic revenues were expected to grow between 7.5 percent and 9.5 percent, while adjusted earnings per share were pegged at 23 to 28 percent.

“We are highly confident in realizing the growth opportunities immediately ahead for the business, driven by our extensive strategic and operational capabilities,” said Aramark (NYSE:ARMK) CEO John Zillmer.

Overall, ARMK ranks 7th on our list of Tuesday’s best-performing stocks. While we acknowledge the potential of ARMK as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ARMK but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.