Trexquant Investment LP Cuts Stock Holdings in Cintas Corporation $CTAS

Key Points

• Trexquant Investment LP has reduced its stake in Cintas Corporation by 9.7%, owning 210,419 shares valued at approximately $43.25 million, which represents 0.5% of its investment portfolio.
• Cintas reported a quarterly earnings per share of $1.09, surpassing estimates, with a revenue of $2.67 billion, an 8% increase compared to the same quarter last year.
• The company has announced an increase in its quarterly dividend to $0.45 per share, up from $0.39, with a payout ratio of 40.82% and a dividend yield of 0.8%.

Trexquant Investment LP lowered its stake in Cintas Corporation (NASDAQ:CTAS - Free Report) by 9.7% during the first quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 210,419 shares of the business services provider's stock after selling 22,609 shares during the quarter. Cintas comprises approximately 0.5% of Trexquant Investment LP's investment portfolio, making the stock its 14th biggest holding. Trexquant Investment LP owned 0.05% of Cintas worth $43,247,000 as of its most recent SEC filing.

A number of other institutional investors have also recently bought and sold shares of CTAS. Vanguard Group Inc. raised its holdings in shares of Cintas by 1.3% in the first quarter. Vanguard Group Inc. now owns 37,859,304 shares of the business services provider's stock valued at $7,781,223,000 after purchasing an additional 491,307 shares during the last quarter. Nuveen LLC acquired a new position in shares of Cintas in the first quarter valued at $1,877,760,000. Northern Trust Corp increased its holdings in shares of Cintas by 0.7% in the first quarter. Northern Trust Corp now owns 4,095,506 shares of the business services provider's stock valued at $841,749,000 after purchasing an additional 28,469 shares during the last quarter. Royal Bank of Canada increased its holdings in shares of Cintas by 3.3% in the fourth quarter. Royal Bank of Canada now owns 3,655,835 shares of the business services provider's stock valued at $667,919,000 after purchasing an additional 115,268 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in shares of Cintas by 11.7% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,818,147 shares of the business services provider's stock valued at $514,875,000 after acquiring an additional 295,226 shares in the last quarter. Institutional investors own 63.46% of the company's stock.

Cintas Price Performance

Shares of CTAS traded up $1.71 during mid-day trading on Monday, reaching $210.03. The company had a trading volume of 1,768,762 shares, compared to its average volume of 1,713,109. The company's 50 day simple moving average is $219.22 and its 200 day simple moving average is $212.93. Cintas Corporation has a 1-year low of $180.78 and a 1-year high of $229.24. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.82 and a current ratio of 2.09. The company has a market capitalization of $84.64 billion, a price-to-earnings ratio of 47.63, a P/E/G ratio of 3.62 and a beta of 1.01.

Cintas (NASDAQ:CTAS - Get Free Report) last posted its earnings results on Thursday, July 17th. The business services provider reported $1.09 earnings per share for the quarter, topping analysts' consensus estimates of $1.07 by $0.02. Cintas had a net margin of 17.53% and a return on equity of 41.21%. The firm had revenue of $2.67 billion for the quarter, compared to analyst estimates of $2.63 billion. During the same period in the previous year, the firm posted $3.99 EPS. The company's revenue for the quarter was up 8.0% compared to the same quarter last year. Cintas has set its FY 2026 guidance at 4.710-4.85 EPS. Analysts expect that Cintas Corporation will post 4.31 EPS for the current year.

Cintas Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 15th will be paid a $0.45 dividend. The ex-dividend date is Friday, August 15th. This represents a $1.80 annualized dividend and a dividend yield of 0.9%. This is an increase from Cintas's previous quarterly dividend of $0.39. Cintas's dividend payout ratio (DPR) is presently 40.82%.

Wall Street Analyst Weigh In

Several equities analysts recently commented on the stock. UBS Group upped their price target on shares of Cintas from $240.00 to $255.00 and gave the company a "buy" rating in a research note on Friday, July 18th. The Goldman Sachs Group upped their price target on shares of Cintas from $233.00 to $257.00 and gave the company a "buy" rating in a research note on Wednesday, July 2nd. Morgan Stanley increased 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. Robert W. Baird increased their price objective on shares of Cintas from $227.00 to $230.00 and gave the stock a "neutral" rating in a research note on Friday, July 18th. Finally, Royal Bank Of Canada reiterated a "sector perform" rating and set a $240.00 price objective on shares of Cintas in a research note on Thursday, August 21st. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $224.54.

Insider Activity

In other Cintas news, CEO Todd M. Schneider sold 17,301 shares of the business's stock in a transaction on Monday, July 28th. The shares were sold at an average price of $220.90, for a total transaction of $3,821,790.90. Following the completion of the sale, the chief executive officer owned 622,712 shares in the company, valued at approximately $137,557,080.80. The trade was a 2.70% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Martin Mucci purchased 1,200 shares of the firm's stock in a transaction on Monday, July 21st. The shares were acquired at an average price of $222.55 per share, with a total value of $267,060.00. Following the purchase, the director directly owned 2,621 shares in the company, valued at $583,303.55. This represents a 84.45% increase in their position. The disclosure for this purchase can be found here. 15.00% of the stock is currently owned by company insiders.

Cintas Company Profile

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.