Cintas Corporation (NASDAQ:CTAS) Stock Has Consensus Target Price of $218.50 According to Analysts

Key Points

• Analysts maintain a Moderate Buy consensus on Cintas, with 10 buy, 6 hold, and 1 sell rating among 17 firms. The average 12-month price target is $218.50.
• Institutional investors increased their positions, with BlackRock, Bank of New York Mellon, Legal & General, Bank of America, and Deutsche Bank among major buyers; institutions collectively own 63.46% of the stock.
• Cintas exceeded quarterly expectations, reporting $1.39 in EPS and $3.01 billion in revenue, while revenue grew 10.9% year over year. The company also raised its quarterly dividend to $0.52 per share, equivalent to a 1.0% annual yield.

Cintas Corporation (NASDAQ:CTAS - Get Free Report) has earned a consensus rating of "Moderate Buy" from the seventeen brokerages that are covering the firm, MarketBeat reports. One investment analyst has rated the stock with a sell rating, six have issued a hold rating and ten have assigned a buy rating to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $218.50.

A number of analysts have weighed in on CTAS shares. Jefferies Financial Group increased their target price on Cintas from $200.00 to $210.00 and gave the stock a "hold" rating in a research note on Thursday, July 16th. Wells Fargo & Company reissued an "overweight" rating and set a $250.00 target price (up from $245.00) on shares of Cintas in a research note on Thursday, July 16th. Bank of America upgraded shares of Cintas from a "neutral" rating to a "buy" rating and upped their price target for the stock from $200.00 to $230.00 in a report on Thursday, July 16th. UBS Group reaffirmed a "buy" rating and issued a $235.00 price target (up from $230.00) on shares of Cintas in a research note on Thursday, September 24th. Finally, Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Cintas in a research note on Thursday, September 10th.

Hedge Funds Weigh In On Cintas

Institutional investors have recently modified their holdings of the stock. BlackRock Inc. bought a new position in Cintas in the second quarter worth approximately $4,520,425,000. Bank of New York Mellon Corp purchased a new position in Cintas during the 2nd quarter valued at about $644,334,000. Legal & General Group Plc bought a new stake in shares of Cintas in the 2nd quarter valued at about $386,159,000. Bank of America Corp DE bought a new stake in shares of Cintas in the 2nd quarter valued at about $233,111,000. Finally, Deutsche Bank AG purchased a new stake in shares of Cintas in the 2nd quarter worth approximately $204,831,000. 63.46% of the stock is owned by hedge funds and other institutional investors.

Cintas Trading Up 0.3%

NASDAQ CTAS traded up $0.63 during trading on Friday, hitting $213.69. The stock had a trading volume of 1,822,045 shares, compared to its average volume of 2,015,325. Cintas has a one year low of $161.16 and a one year high of $219.16. The stock has a 50 day simple moving average of $200.99 and a 200 day simple moving average of $187.24. The stock has a market capitalization of $84.85 billion, a price-to-earnings ratio of 42.15, a P/E/G ratio of 3.39 and a beta of 0.92. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.29 and a current ratio of 1.45.

Cintas (NASDAQ:CTAS - Get Free Report) last released its earnings results on Wednesday, September 23rd. The business services provider reported $1.39 EPS for the quarter, beating analysts' consensus estimates of $1.35 by $0.04. Cintas had a return on equity of 42.57% and a net margin of 17.82%. The firm had revenue of $3.01 billion for the quarter, compared to analysts' expectations of $2.98 billion. During the same quarter in the prior year, the firm posted $1.20 earnings per share. The company's quarterly revenue was up 10.9% on a year-over-year basis. Cintas has set its FY 2027 guidance at 5.450-5.540 EPS. Sell-side analysts predict that Cintas will post 5.52 earnings per share for the current year.

Cintas Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Friday, August 14th were paid a $0.52 dividend. The ex-dividend date was Friday, August 14th. This represents a $2.08 dividend on an annualized basis and a yield of 1.0%. This is an increase from Cintas's previous quarterly dividend of $0.45. Cintas's payout ratio is currently 41.03%.

Cintas Company Profile

Cintas Corporation NASDAQ: CTAS provides workplace services to businesses and organizations across North America. The company's primary business is uniform rental and facility services, including the design, rental, cleaning and delivery of uniforms, work apparel and related garments.

Its offerings also include restroom and hygiene services, floor-care products, mats, towels, and other facility supplies. Through its First Aid & Safety segment, Cintas provides first-aid products, safety equipment and training.

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