Cintas Co. (NASDAQ:CTAS) Receives Consensus Recommendation of “Hold” from Brokerages

Cintas Co. (NASDAQ:CTAS) has been assigned a consensus rating of “Hold” from the sixteen brokerages that are presently covering the firm, MarketBeat reports. Two analysts have rated the stock with a sell recommendation, eight have given a hold recommendation and six have given a buy recommendation to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $742.36.

Several research analysts have recently weighed in on the stock. Baird R W cut shares of Cintas from a “strong-buy” rating to a “hold” rating in a report on Friday, July 19th. Redburn Atlantic began coverage on shares of Cintas in a research note on Friday. They issued a “neutral” rating and a $670.00 target price for the company. Truist Financial lifted their price target on Cintas from $775.00 to $850.00 and gave the company a “buy” rating in a research note on Friday, July 19th. Stifel Nicolaus upped their price objective on Cintas from $667.00 to $798.00 and gave the stock a “hold” rating in a research report on Friday, July 19th. Finally, Barclays lifted their target price on Cintas from $700.00 to $850.00 and gave the company an “overweight” rating in a research report on Friday, July 19th.

Insider Activity at Cintas

In other news, Director Gerald S. Adolph sold 1,100 shares of Cintas stock in a transaction that occurred on Wednesday, July 24th. The stock was sold at an average price of $765.72, for a total transaction of $842,292.00. Following the completion of the transaction, the director now directly owns 31,452 shares in the company, valued at approximately $24,083,425.44. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 15.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Cintas

Large investors have recently modified their holdings of the stock. Simplicity Solutions LLC raised its holdings in Cintas by 117.7% in the 4th quarter. Simplicity Solutions LLC now owns 3,224 shares of the business services provider’s stock valued at $1,943,000 after acquiring an additional 1,743 shares during the period. Louisiana State Employees Retirement System bought a new position in shares of Cintas during the fourth quarter worth approximately $8,015,000. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in Cintas by 91.2% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 48,642 shares of the business services provider’s stock worth $29,315,000 after purchasing an additional 23,197 shares during the last quarter. QRG Capital Management Inc. lifted its holdings in Cintas by 111.5% during the 2nd quarter. QRG Capital Management Inc. now owns 7,355 shares of the business services provider’s stock worth $5,151,000 after purchasing an additional 3,878 shares during the last quarter. Finally, Bleakley Financial Group LLC boosted its stake in Cintas by 117.7% in the 4th quarter. Bleakley Financial Group LLC now owns 3,224 shares of the business services provider’s stock valued at $1,943,000 after purchasing an additional 1,743 shares during the period. 63.46% of the stock is owned by institutional investors.

Cintas Price Performance

Shares of CTAS stock opened at $759.63 on Thursday. The company has a quick ratio of 1.52, a current ratio of 1.74 and a debt-to-equity ratio of 0.47. Cintas has a 12-month low of $474.74 and a 12-month high of $773.95. The firm has a fifty day moving average of $722.91 and a 200-day moving average of $676.94. The firm has a market capitalization of $77.07 billion, a price-to-earnings ratio of 52.46, a price-to-earnings-growth ratio of 4.06 and a beta of 1.31.

Shares of Cintas are scheduled to split on the morning of Thursday, September 12th. The 4-1 split was announced on Thursday, May 2nd. The newly minted shares will be distributed to shareholders after the market closes on Wednesday, September 11th.

Cintas (NASDAQ:CTAS) last announced its quarterly earnings results on Thursday, July 18th. The business services provider reported $3.99 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.80 by $0.19. Cintas had a return on equity of 37.82% and a net margin of 16.38%. The company had revenue of $2.47 billion during the quarter, compared to the consensus estimate of $2.47 billion. During the same period in the prior year, the company earned $3.33 earnings per share. The company’s revenue for the quarter was up 8.2% compared to the same quarter last year. On average, equities research analysts forecast that Cintas will post 16.62 earnings per share for the current year.

Cintas announced that its Board of Directors has initiated a share buyback plan on Tuesday, July 23rd that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the business services provider to purchase up to 1.3% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board believes its shares are undervalued.

Cintas Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 3rd. Stockholders of record on Thursday, August 15th will be given a $1.56 dividend. This represents a $6.24 dividend on an annualized basis and a dividend yield of 0.82%. The ex-dividend date of this dividend is Thursday, August 15th. This is an increase from Cintas’s previous quarterly dividend of $1.35. Cintas’s dividend payout ratio (DPR) is 43.09%.

Cintas Company Profile

Cintas Corporation provides corporate identity uniforms and related business services primarily in the United States, Canada, and Latin America. It operates through Uniform Rental and Facility Services, First Aid and Safety Services, and All Other segments. The company rents and services uniforms and other garments, including flame resistant clothing, mats, mops and shop towels, and other ancillary items; and provides restroom cleaning services and supplies, as well as sells uniforms.