Cintas Corp. (NASDAQ:CTAS) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a note issued to investors on Tuesday.
According to Zacks, “Cintas procures raw materials from a wide variety of domestic and international suppliers, making it susceptible to market risks which are beyond its control. In addition, the company has to continually invest in value drivers to fend competition, which further weakens its profitability. Moreover, persistent challenging macroeconomic environment has mostly driven customers to perform certain in-house services instead of outsourcing these services to Cintas, which have resulted in loss of businesses. However, Cintas’ investment strategy takes a holistic view of the rapidly evolving market and deploys a dynamic capital allocation approach to focus on the relative value of the various sectors within the broader industry. The acquisition of rival G&K Services Inc. is likely to fuel its growth momentum, catering to over one billion business customers with an extended product portfolio and additional processing capacity.”
A number of other brokerages have also recently weighed in on CTAS. Nomura restated a “buy” rating and issued a $135.00 price target (up previously from $124.00) on shares of Cintas Corp. in a research report on Thursday, August 25th. Macquarie assumed coverage on Cintas Corp. in a research report on Thursday, August 25th. They issued a “neutral” rating and a $130.00 price target for the company. KeyCorp raised their price target on Cintas Corp. from $110.00 to $130.00 and gave the company an “overweight” rating in a research report on Wednesday, August 17th. Robert W. Baird upgraded Cintas Corp. from a “neutral” rating to an “outperform” rating and raised their price target for the company from $111.00 to $140.00 in a research report on Wednesday, August 17th. Finally, Morgan Stanley restated an “underweight” rating and issued a $80.00 price target (up previously from $75.00) on shares of Cintas Corp. in a research report on Wednesday, August 17th. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating and four have given a buy rating to the stock. Cintas Corp. presently has a consensus rating of “Hold” and an average price target of $115.40.
Cintas Corp. (NASDAQ:CTAS) traded up 0.21% during trading on Tuesday, reaching $113.43. 278,880 shares of the company’s stock were exchanged. The stock has a market capitalization of $11.82 billion, a PE ratio of 18.17 and a beta of 0.85. The stock has a 50-day moving average of $113.79 and a 200-day moving average of $99.30. Cintas Corp. has a 52 week low of $80.00 and a 52 week high of $119.94.
Cintas Corp. (NASDAQ:CTAS) last announced its quarterly earnings results on Tuesday, July 19th. The company reported $1.08 earnings per share for the quarter, beating analysts’ consensus estimates of $1.00 by $0.08. Cintas Corp. had a return on equity of 24.16% and a net margin of 14.14%. The business earned $1.27 billion during the quarter, compared to analysts’ expectations of $1.25 billion. During the same quarter last year, the business posted $0.86 earnings per share. On average, equities research analysts anticipate that Cintas Corp. will post $4.42 EPS for the current year.
In other news, Director Gerald S. Adolph sold 2,000 shares of Cintas Corp. stock in a transaction dated Monday, July 25th. The stock was sold at an average price of $108.12, for a total value of $216,240.00. Following the transaction, the director now directly owns 11,590 shares of the company’s stock, valued at approximately $1,253,110.80. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 19.10% of the stock is owned by insiders.
Several institutional investors have recently added to or reduced their stakes in the stock. BlackRock Institutional Trust Company N.A. raised its position in Cintas Corp. by 19.7% in the first quarter. BlackRock Institutional Trust Company N.A. now owns 2,926,414 shares of the company’s stock valued at $262,821,000 after buying an additional 480,916 shares in the last quarter. BlackRock Group LTD raised its position in Cintas Corp. by 17.2% in the first quarter. BlackRock Group LTD now owns 925,137 shares of the company’s stock valued at $83,086,000 after buying an additional 136,073 shares in the last quarter. BlackRock Inc. raised its position in Cintas Corp. by 29.0% in the first quarter. BlackRock Inc. now owns 506,783 shares of the company’s stock valued at $45,514,000 after buying an additional 114,024 shares in the last quarter. Franklin Resources Inc. raised its position in Cintas Corp. by 1.2% in the first quarter. Franklin Resources Inc. now owns 1,796,341 shares of the company’s stock valued at $161,330,000 after buying an additional 21,199 shares in the last quarter. Finally, Prudential Financial Inc. raised its position in Cintas Corp. by 5.2% in the first quarter. Prudential Financial Inc. now owns 123,605 shares of the company’s stock valued at $11,101,000 after buying an additional 6,110 shares in the last quarter. 65.78% of the stock is currently owned by institutional investors and hedge funds.
Cintas Corp. Company Profile
Cintas Corporation is a provider of corporate identity uniforms through rental and sales programs, as well as a provider of related business services, including entrance mats, restroom cleaning services and supplies, carpet and tile cleaning services, first aid and safety services and fire protection products and services.
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