CTAS vs. EMR, PH, JCI, GWW, ROK, ABB, ETN, IR, DOV, and ITW
Should you be buying Cintas stock or one of its competitors? The main competitors of Cintas include Emerson Electric (EMR), Parker-Hannifin (PH), Johnson Controls International (JCI), W.W. Grainger (GWW), Rockwell Automation (ROK), ABB (ABB), Eaton (ETN), Ingersoll Rand (IR), Dover (DOV), and Illinois Tool Works (ITW). These companies are all part of the "industrial products" sector.
Cintas vs.
Emerson Electric (NYSE:EMR) and Cintas (NASDAQ:CTAS) are both large-cap industrial products companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, profitability, institutional ownership, community ranking, valuation, earnings, dividends and media sentiment.
Emerson Electric has a beta of 1.39, indicating that its stock price is 39% more volatile than the S&P 500. Comparatively, Cintas has a beta of 1.34, indicating that its stock price is 34% more volatile than the S&P 500.
Emerson Electric received 168 more outperform votes than Cintas when rated by MarketBeat users. However, 60.90% of users gave Cintas an outperform vote while only 58.20% of users gave Emerson Electric an outperform vote.
Emerson Electric has a net margin of 25.18% compared to Cintas' net margin of 15.35%. Cintas' return on equity of 37.89% beat Emerson Electric's return on equity.
Emerson Electric currently has a consensus price target of $98.64, indicating a potential upside of 17.85%. Cintas has a consensus price target of $479.00, indicating a potential upside of 7.97%. Given Emerson Electric's higher possible upside, equities analysts clearly believe Emerson Electric is more favorable than Cintas.
In the previous week, Emerson Electric had 2 more articles in the media than Cintas. MarketBeat recorded 15 mentions for Emerson Electric and 13 mentions for Cintas. Cintas' average media sentiment score of 0.70 beat Emerson Electric's score of 0.56 indicating that Cintas is being referred to more favorably in the news media.
Emerson Electric pays an annual dividend of $2.08 per share and has a dividend yield of 2.5%. Cintas pays an annual dividend of $4.60 per share and has a dividend yield of 1.0%. Emerson Electric pays out 26.4% of its earnings in the form of a dividend. Cintas pays out 37.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Emerson Electric has increased its dividend for 66 consecutive years and Cintas has increased its dividend for 39 consecutive years. Emerson Electric is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Emerson Electric has higher revenue and earnings than Cintas. Emerson Electric is trading at a lower price-to-earnings ratio than Cintas, indicating that it is currently the more affordable of the two stocks.
71.6% of Emerson Electric shares are owned by institutional investors. Comparatively, 61.9% of Cintas shares are owned by institutional investors. 0.3% of Emerson Electric shares are owned by company insiders. Comparatively, 15.1% of Cintas shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Summary
Emerson Electric beats Cintas on 12 of the 21 factors compared between the two stocks.
New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding CTAS and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
