Gulf International Bank UK Ltd Trims Position in Cintas Corporation (NASDAQ:CTAS)

Key Points

• Gulf International Bank UK Ltd reduced its stake in Cintas Corporation by 28.2%, holding 20,597 shares valued at $4.23 million at the end of the first quarter.
• Cintas reported a quarterly revenue of $2.67 billion, exceeding expectations, with an EPS of $1.09, beating the consensus estimate of $1.07.
• The company declared a quarterly dividend of $0.45 per share, representing a positive increase from its previous dividend of $0.39, with a current dividend yield of 0.8%.

Gulf International Bank UK Ltd lowered its stake in shares of Cintas Corporation (NASDAQ:CTAS - Free Report) by 28.2% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 20,597 shares of the business services provider's stock after selling 8,073 shares during the quarter. Gulf International Bank UK Ltd's holdings in Cintas were worth $4,233,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in the stock. Pinnacle Wealth Management Advisory Group LLC grew its holdings in shares of Cintas by 3.9% during the first quarter. Pinnacle Wealth Management Advisory Group LLC now owns 1,256 shares of the business services provider's stock worth $258,000 after buying an additional 47 shares during the last quarter. MJP Associates Inc. ADV grew its holdings in shares of Cintas by 2.1% during the fourth quarter. MJP Associates Inc. ADV now owns 2,412 shares of the business services provider's stock worth $441,000 after buying an additional 50 shares during the last quarter. Kathmere Capital Management LLC grew its holdings in shares of Cintas by 4.1% during the first quarter. Kathmere Capital Management LLC now owns 1,293 shares of the business services provider's stock worth $266,000 after buying an additional 51 shares during the last quarter. Pinnacle Associates Ltd. grew its holdings in shares of Cintas by 4.1% during the first quarter. Pinnacle Associates Ltd. now owns 1,291 shares of the business services provider's stock worth $265,000 after buying an additional 51 shares during the last quarter. Finally, Johnson Financial Group Inc. grew its holdings in shares of Cintas by 7.7% during the fourth quarter. Johnson Financial Group Inc. now owns 728 shares of the business services provider's stock worth $146,000 after buying an additional 52 shares during the last quarter. Hedge funds and other institutional investors own 63.46% of the company's stock.

Insider Activity at Cintas

In related news, CEO Todd M. Schneider sold 17,301 shares of the company's stock in a transaction that occurred on Monday, July 28th. The stock was sold at an average price of $220.90, for a total value of $3,821,790.90. Following the sale, the chief executive officer owned 622,712 shares of the company's stock, valued at approximately $137,557,080.80. This represents a 2.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Ronald W. Tysoe sold 5,084 shares of the company's stock in a transaction that occurred on Wednesday, July 30th. The shares were sold at an average price of $223.47, for a total value of $1,136,121.48. Following the completion of the sale, the director directly owned 21,945 shares in the company, valued at approximately $4,904,049.15. The trade was a 18.81% decrease in their position. The disclosure for this sale can be found here. 15.00% of the stock is owned by corporate insiders.

Cintas Price Performance

Shares of NASDAQ:CTAS traded down $4.81 during trading on Friday, hitting $216.55. 1,398,396 shares of the stock were exchanged, compared to its average volume of 1,365,709. The company has a fifty day moving average price of $220.86 and a two-hundred day moving average price of $212.13. The company has a market cap of $87.27 billion, a PE ratio of 49.10, a P/E/G ratio of 3.73 and a beta of 1.03. The company has a current ratio of 2.09, a quick ratio of 1.82 and a debt-to-equity ratio of 0.52. Cintas Corporation has a 12-month low of $180.78 and a 12-month high of $229.24.

Cintas (NASDAQ:CTAS - Get Free Report) last announced its quarterly earnings results on Thursday, July 17th. The business services provider reported $1.09 EPS for the quarter, topping the consensus estimate of $1.07 by $0.02. Cintas had a return on equity of 41.21% and a net margin of 17.53%. The business had revenue of $2.67 billion for the quarter, compared to analyst estimates of $2.63 billion. During the same quarter in the previous year, the company earned $3.99 EPS. The company's quarterly revenue was up 8.0% on a year-over-year basis. On average, analysts forecast that Cintas Corporation will post 4.31 EPS for the current year.

Cintas Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Friday, August 15th will be paid a $0.45 dividend. This represents a $1.80 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Friday, August 15th. This is an increase from Cintas's previous quarterly dividend of $0.39. Cintas's dividend payout ratio is currently 35.37%.

Analyst Ratings Changes

A number of research firms recently issued reports on CTAS. The Goldman Sachs Group raised their price target on Cintas from $233.00 to $257.00 and gave the stock a "buy" rating in a report on Wednesday, July 2nd. Redburn Atlantic lowered Cintas from a "neutral" rating to a "sell" rating and set a $171.00 price objective on the stock. in a report on Thursday, May 1st. Wells Fargo & Company raised Cintas from an "underweight" rating to an "equal weight" rating and lifted their price objective for the company from $196.00 to $221.00 in a report on Tuesday, July 1st. JPMorgan Chase & Co. started coverage on Cintas in a report on Monday, July 14th. They issued an "overweight" rating and a $239.00 price objective on the stock. Finally, Royal Bank Of Canada reaffirmed a "sector perform" rating and issued a $240.00 price objective (up previously from $215.00) on shares of Cintas in a report on Monday, June 9th. Two research analysts have rated the stock with a sell rating, five have assigned a hold rating, six have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Cintas currently has a consensus rating of "Hold" and an average target price of $224.54.

About Cintas

Cintas Corporation engages in the provision of 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.