Bank of America Initiates Coverage on Cintas (NASDAQ:CTAS)

Bank of America began coverage on shares of Cintas (NASDAQ:CTAS) in a research note issued on Tuesday. The firm set a “neutral” rating and a $215.00 price target on the business services provider’s stock. Bank of America‘s price target would indicate a potential upside of 11.15% from the stock’s previous close.

A number of other research analysts have also commented on the company. Weiss Ratings reiterated a “hold (c+)” rating on shares of Cintas in a report on Monday, December 29th. Citigroup reaffirmed a “sell” rating and set a $181.00 target price (up previously from $176.00) on shares of Cintas in a research report on Monday, December 22nd. UBS Group reiterated a “buy” rating on shares of Cintas in a research note on Friday, December 19th. Royal Bank Of Canada restated a “sector perform” rating and issued a $206.00 price target on shares of Cintas in a research report on Friday, December 19th. Finally, Argus raised shares of Cintas to a “strong-buy” rating in a research report on Wednesday, January 21st. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average price target of $218.17.

Cintas Stock Performance

Shares of CTAS opened at $193.44 on Tuesday. The company has a market capitalization of $77.35 billion, a PE ratio of 56.40, a price-to-earnings-growth ratio of 3.31 and a beta of 0.95. The company has a debt-to-equity ratio of 0.54, a current ratio of 1.71 and a quick ratio of 1.49. Cintas has a one year low of $180.39 and a one year high of $229.24. The company’s fifty day moving average price is $191.14 and its 200 day moving average price is $195.98.

Cintas (NASDAQ:CTAS) last posted its quarterly earnings data on Thursday, December 18th. The business services provider reported $1.21 EPS for the quarter, topping analysts’ consensus estimates of $1.20 by $0.01. Cintas had a return on equity of 41.07% and a net margin of 17.58%.The business had revenue of $2.80 billion for the quarter, compared to analyst estimates of $2.77 billion. During the same period in the previous year, the company posted $1.09 earnings per share. The firm’s revenue for the quarter was up 9.3% on a year-over-year basis. Cintas has set its FY 2026 guidance at 4.810-4.880 EPS. As a group, analysts expect that Cintas will post 4.31 earnings per share for the current year.

Cintas announced that its board has authorized a stock repurchase plan on Tuesday, October 28th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the business services provider to purchase up to 1.3% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its stock is undervalued.

Institutional Trading of Cintas

A number of large investors have recently bought and sold shares of the stock. Norges Bank bought a new stake in shares of Cintas in the 4th quarter worth about $923,672,000. Two Sigma Investments LP lifted its holdings in Cintas by 5,641.3% during the 3rd quarter. Two Sigma Investments LP now owns 1,016,671 shares of the business services provider’s stock valued at $208,682,000 after purchasing an additional 998,963 shares during the last quarter. SG Americas Securities LLC boosted its position in Cintas by 2,653.0% in the fourth quarter. SG Americas Securities LLC now owns 1,003,031 shares of the business services provider’s stock valued at $188,640,000 after buying an additional 966,597 shares in the last quarter. Voloridge Investment Management LLC grew its stake in Cintas by 275.2% during the third quarter. Voloridge Investment Management LLC now owns 1,123,237 shares of the business services provider’s stock worth $230,556,000 after buying an additional 823,885 shares during the last quarter. Finally, Freestone Grove Partners LP increased its holdings in shares of Cintas by 5,341.8% during the third quarter. Freestone Grove Partners LP now owns 747,109 shares of the business services provider’s stock worth $153,352,000 after buying an additional 733,380 shares in the last quarter. 63.46% of the stock is currently owned by institutional investors.

About Cintas

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.