California State Teachers Retirement System Raises Holdings in Cintas Corporation $CTAS

Key Points

• CalSTRS dramatically increased its Cintas stake by 16,328.1% in the second quarter, purchasing 88.7 million additional shares. It now owns 89.2 million shares, or approximately 22.3% of the company, valued at $15.2 billion.
• Cintas exceeded quarterly expectations, reporting $1.29 in EPS and $2.91 billion in revenue, with revenue up 8.9% year over year. The company also raised its quarterly dividend from $0.45 to $0.52 per share.
• Analysts maintain a generally positive view, with a consensus rating of “Moderate Buy” and an average price target of $212.31, compared with shares trading around $200.47.

California State Teachers Retirement System grew its holdings in Cintas Corporation (NASDAQ:CTAS - Free Report) by 16,328.1% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 89,228,560 shares of the business services provider's stock after purchasing an additional 88,685,413 shares during the period. California State Teachers Retirement System owned about 22.30% of Cintas worth $15,175,993,000 as of its most recent SEC filing.

Several other hedge funds have also recently modified their holdings of the business. BlackRock Inc. purchased a new stake in shares of Cintas during the second quarter valued at $4,520,425,000. State Street Corp raised its position in Cintas by 1.4% in the 4th quarter. State Street Corp now owns 15,311,491 shares of the business services provider's stock worth $2,879,632,000 after buying an additional 210,477 shares during the last quarter. Geode Capital Management LLC lifted its stake in Cintas by 1.1% during the 4th quarter. Geode Capital Management LLC now owns 9,293,485 shares of the business services provider's stock valued at $1,746,453,000 after acquiring an additional 97,220 shares during the period. Norges Bank bought a new position in Cintas during the 4th quarter valued at about $923,672,000. Finally, Morgan Stanley boosted its holdings in shares of Cintas by 0.8% during the 4th quarter. Morgan Stanley now owns 4,393,116 shares of the business services provider's stock valued at $826,214,000 after acquiring an additional 36,666 shares during the last quarter. Hedge funds and other institutional investors own 63.46% of the company's stock.

Cintas Stock Performance

Shares of Cintas stock opened at $200.47 on Tuesday. The company's fifty day simple moving average is $198.09 and its 200-day simple moving average is $185.62. The stock has a market capitalization of $80.22 billion, a PE ratio of 53.60, a P/E/G ratio of 3.24 and a beta of 0.91. Cintas Corporation has a 1-year low of $161.16 and a 1-year high of $219.16. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.43 and a quick ratio of 1.27.

Cintas (NASDAQ:CTAS - Get Free Report) last posted its quarterly earnings data on Wednesday, July 15th. The business services provider reported $1.29 EPS for the quarter, topping the consensus estimate of $1.24 by $0.05. Cintas had a return on equity of 42.05% and a net margin of 17.75%.The firm had revenue of $2.91 billion during the quarter, compared to analyst estimates of $2.87 billion. During the same period in the prior year, the business posted $1.09 EPS. Cintas's revenue was up 8.9% on a year-over-year basis. Cintas has set its FY 2027 guidance at 5.360-5.500 EPS. As a group, equities analysts anticipate that Cintas Corporation will post 5.49 earnings per share for the current year.

Cintas Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Friday, August 14th will be given a $0.52 dividend. The ex-dividend date is Friday, August 14th. This is a positive change from Cintas's previous quarterly dividend of $0.45. This represents a $2.08 dividend on an annualized basis and a yield of 1.0%. Cintas's dividend payout ratio (DPR) is currently 55.61%.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on CTAS shares. The Goldman Sachs Group reiterated a "buy" rating and issued a $231.00 price target on shares of Cintas in a research note on Wednesday, July 15th. Truist Financial decreased their target price on shares of Cintas from $255.00 to $225.00 and set a "buy" rating for the company in a research note on Monday, June 15th. Robert W. Baird raised their price target on Cintas from $200.00 to $214.00 and gave the stock an "outperform" rating in a research note on Thursday, July 16th. Wells Fargo & Company reaffirmed an "overweight" rating and issued a $250.00 price objective (up from $245.00) on shares of Cintas in a report on Thursday, July 16th. Finally, Weiss Ratings raised Cintas from a "hold (c)" rating to a "hold (c+)" rating in a report on Friday, July 10th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $212.31.

Cintas Profile

Cintas Corporation NASDAQ: CTAS is a provider of business services and products focused on workplace appearance, safety and facility maintenance. The company is best known for its uniform rental and corporate apparel programs, which include rental, leasing and direct-purchase options, laundering and garment repair. Cintas markets its services to a wide range of end-users, including manufacturing, food service, healthcare, hospitality, retail and government customers.

Beyond uniforms, Cintas offers a suite of facility services and products designed to help organizations maintain clean, safe and compliant workplaces.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.