Franklin Resources Inc. Sells 96,182 Shares of Cintas Corporation $CTAS

Key Points

• Franklin Resources trimmed its Cintas stake by 3.5%, selling 96,182 shares and retaining 2,617,151 shares (about 0.65% of the company) valued at roughly $537.2 million.
• Cintas agreed to acquire UniFirst for about $5.5 billion ($310 per share), projecting roughly $375 million in annual cost synergies; the deal has activist/shareholder support but faces a UniFirst shareholder investigation that could slow or change the terms.
• Analyst sentiment is improving—several firms upgraded CTAS and raised targets, leaving an average rating of Moderate Buy and an average price target of $220.25.

Franklin Resources Inc. decreased its position in Cintas Corporation (NASDAQ:CTAS - Free Report) by 3.5% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 2,617,151 shares of the business services provider's stock after selling 96,182 shares during the period. Franklin Resources Inc. owned about 0.65% of Cintas worth $537,196,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also bought and sold shares of the company. Brighton Jones LLC grew its stake in shares of Cintas by 9.3% during the 4th quarter. Brighton Jones LLC now owns 1,268 shares of the business services provider's stock worth $232,000 after acquiring an additional 108 shares during the period. Sivia Capital Partners LLC increased its holdings in Cintas by 42.3% in the 2nd quarter. Sivia Capital Partners LLC now owns 1,441 shares of the business services provider's stock worth $321,000 after acquiring an additional 428 shares during the last quarter. AGF Management Ltd. bought a new stake in Cintas in the 2nd quarter valued at about $622,000. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in Cintas during the second quarter valued at about $7,139,000. Finally, Allworth Financial LP lifted its holdings in Cintas by 46.3% during the second quarter. Allworth Financial LP now owns 17,626 shares of the business services provider's stock valued at $3,928,000 after purchasing an additional 5,581 shares during the last quarter. 63.46% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several research firms have recently weighed in on CTAS. Argus upgraded shares of Cintas to a "strong-buy" rating in a research note on Wednesday, January 21st. Robert W. Baird upgraded shares of Cintas from a "neutral" rating to an "outperform" rating and set a $250.00 price target on the stock in a research note on Wednesday. Wells Fargo & Company raised shares of Cintas from a "cautious" rating to an "overweight" rating and raised their price objective for the stock from $205.00 to $245.00 in a report on Wednesday, January 14th. Bank of America started coverage on shares of Cintas in a research note on Tuesday, February 17th. They issued a "neutral" rating and a $215.00 price objective for the company. Finally, Sanford C. Bernstein started coverage on shares of Cintas in a report on Wednesday, November 12th. They set a "market perform" rating and a $200.00 target price on the stock. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $220.25.

Cintas News Roundup

Here are the key news stories impacting Cintas this week:

• Positive Sentiment: Cintas agreed to acquire UniFirst for $310 per share in a deal valuing the target at roughly $5.5B; management projects roughly $375M of annual cost synergies as the companies combine routes, facilities and purchasing power — a clear long‑term earnings/scale rationale. Cintas to Acquire UniFirst in $5.5 Billion Transaction
• Positive Sentiment: Large UniFirst shareholders and activists have signaled support for a sale, and Engine Capital publicly called the deal the right transaction — reducing activist/closing risk and improving odds the merger completes. Engine Capital Issues Statement Regarding Sale
• Positive Sentiment: Analyst support is rising: Robert W. Baird upgraded CTAS to outperform with a $250 price target and Truist issued a buy — both signal confidence the deal and Cintas’s growth story justify higher multiples (positive for sentiment and investor demand).
• Neutral Sentiment: Investors have access to granular M&A detail — a Seeking Alpha transcript of the M&A call is available for those modeling timing, integration assumptions and regulatory commentary. Cintas Corporation M&A Call Transcript
• Neutral Sentiment: Upcoming earnings-season attention remains a background catalyst (investors will weigh the deal impact against Cintas’s organic execution and FY26 guidance). See the earnings event page for dates and estimates. Will Cintas (CTAS) beat quarterly earnings?
• Negative Sentiment: A law firm announced an investigation into UniFirst’s board over whether the sale provided fair value to UNF shareholders — potential litigation or proxy conflict could slow closing or change terms. SHAREHOLDER NOTICE: Brodsky & Smith Announces an Investigation of UniFirst
• Negative Sentiment: Short-interest data show elevated short positions as of late February (~8.19M shares; ~2.4% of float, ~4.8 days to cover), which raises the risk of bearish pressure or volatility while the deal and integration risks are digested.
• Negative Sentiment: Market reaction was mixed on the announcement (UniFirst shares jumped; Cintas initially dipped on the cash/stock mix and near-term execution costs), underscoring short-term skepticism even if long-term synergies are credible. Cintas (CTAS) Closes $5.5B Acquisition of Uniform Rival UniFirst (UNF)

Cintas Stock Up 1.0%

CTAS stock opened at $198.34 on Thursday. The stock has a 50-day simple moving average of $194.87 and a two-hundred day simple moving average of $193.60. Cintas Corporation has a twelve month low of $180.39 and a twelve month high of $229.24. The firm has a market capitalization of $79.31 billion, a PE ratio of 57.83, a PEG ratio of 3.54 and a beta of 0.95. The company has a quick ratio of 1.49, a current ratio of 1.71 and a debt-to-equity ratio of 0.54.

Cintas (NASDAQ:CTAS - Get Free Report) last announced its quarterly earnings results on Thursday, December 18th. The business services provider reported $1.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.20 by $0.01. The firm had revenue of $2.80 billion for the quarter, compared to the consensus estimate of $2.77 billion. Cintas had a net margin of 17.58% and a return on equity of 41.07%. The company's revenue for the quarter was up 9.3% on a year-over-year basis. During the same period in the prior year, the firm posted $1.09 earnings per share. Cintas has set its FY 2026 guidance at 4.810-4.880 EPS. On average, equities analysts predict that Cintas Corporation will post 4.31 EPS for the current fiscal year.

Cintas Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, March 13th. Shareholders of record on Friday, February 13th will be paid a $0.45 dividend. The ex-dividend date is Friday, February 13th. This represents a $1.80 annualized dividend and a yield of 0.9%. Cintas's dividend payout ratio is currently 52.48%.

Cintas Company 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.

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