Meeder Asset Management Inc. Raises Stake in Cintas Corporation (NASDAQ:CTAS)

Key Points

• Meeder Asset Management Inc. significantly increased its stake in Cintas Corporation by 8,900.0% during the first quarter, now owning 17,100 shares valued at approximately $3.5 million.
• Several institutional investors have also raised their stakes in Cintas, with a total of 63.46% of the stock owned by hedge funds and institutional investors.
• Cintas reported a quarterly revenue of $2.67 billion and an EPS of $1.09, exceeding analysts' expectations for both metrics.

Meeder Asset Management Inc. raised its holdings in Cintas Corporation (NASDAQ:CTAS - Free Report) by 8,900.0% during the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 17,100 shares of the business services provider's stock after buying an additional 16,910 shares during the quarter. Meeder Asset Management Inc.'s holdings in Cintas were worth $3,515,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in CTAS. Pinnacle Wealth Management Advisory Group LLC boosted its stake in shares of Cintas by 3.9% during the 1st quarter. Pinnacle Wealth Management Advisory Group LLC now owns 1,256 shares of the business services provider's stock valued at $258,000 after purchasing an additional 47 shares in the last quarter. MJP Associates Inc. ADV boosted its position in Cintas by 2.1% during the 4th quarter. MJP Associates Inc. ADV now owns 2,412 shares of the business services provider's stock valued at $441,000 after acquiring an additional 50 shares in the last quarter. Kathmere Capital Management LLC boosted its position 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 valued at $266,000 after purchasing an additional 51 shares in the last quarter. Pinnacle Associates Ltd. boosted its position 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 valued at $265,000 after purchasing an additional 51 shares in the last quarter. Finally, Wellspring Financial Advisors LLC boosted its position in shares of Cintas by 4.6% during the fourth quarter. Wellspring Financial Advisors LLC now owns 1,171 shares of the business services provider's stock valued at $214,000 after purchasing an additional 52 shares in the last quarter. 63.46% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other 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 transaction of $3,821,790.90. Following the transaction, 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 ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Martin Mucci purchased 1,200 shares of the business's stock in a transaction dated Monday, July 21st. The stock was bought at an average price of $222.55 per share, for a total transaction of $267,060.00. Following the completion of the acquisition, the director owned 2,621 shares of the company's stock, valued at approximately $583,303.55. The trade was a 84.45% increase in their position. The disclosure for this purchase can be found here. Corporate insiders own 15.00% of the company's stock.

Cintas Stock Performance

Cintas stock traded up $0.45 during trading on Wednesday, reaching $223.13. The company had a trading volume of 1,539,276 shares, compared to its average volume of 1,713,041. Cintas Corporation has a 52 week low of $180.78 and a 52 week high of $229.24. The firm's 50-day simple moving average is $221.39 and its 200 day simple moving average is $209.85. The firm has a market capitalization of $90.10 billion, a price-to-earnings ratio of 50.60, a price-to-earnings-growth ratio of 3.46 and a beta of 1.05. 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 (NASDAQ:CTAS - Get Free Report) last issued its earnings results on Thursday, July 17th. The business services provider reported $1.09 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.07 by $0.02. The company had revenue of $2.67 billion for the quarter, compared to the consensus estimate of $2.63 billion. Cintas had a return on equity of 41.21% and a net margin of 17.53%. The firm's quarterly revenue was up 8.0% on a year-over-year basis. During the same quarter last year, the company earned $3.99 EPS. Sell-side analysts forecast that Cintas Corporation will post 4.31 earnings per share for the current fiscal year.

Cintas Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 15th will be given a dividend of $0.45 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a $1.80 annualized dividend and a dividend yield of 0.81%. This is an increase from Cintas's previous quarterly dividend of $0.39. Cintas's payout ratio is currently 35.37%.

Analyst Ratings Changes

Several equities research analysts recently commented on CTAS shares. Morgan Stanley boosted their price objective on shares of Cintas from $213.00 to $220.00 and gave the stock an "equal weight" rating in a research note on Friday, July 18th. JPMorgan Chase & Co. started coverage on Cintas in a research report on Monday, July 14th. They issued an "overweight" rating and a $239.00 price target on the stock. UBS Group boosted their price target on Cintas from $240.00 to $255.00 and gave the stock a "buy" rating in a research report on Friday, July 18th. Royal Bank Of Canada reissued a "sector perform" rating and issued a $240.00 target price (up from $215.00) on shares of Cintas in a report on Monday, June 9th. Finally, Argus upgraded shares of Cintas to a "strong-buy" rating in a research note on Wednesday, April 16th. Two analysts have rated the stock with a sell rating, five have issued a hold rating, six have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, Cintas currently has an average rating of "Hold" and a consensus price target 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.