Financial Analysis: Raksul (OTCMKTS:RKSLF) vs. Cintas (NASDAQ:CTAS)

Raksul (OTCMKTS:RKSLF) and Cintas (NASDAQ:CTAS) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, valuation, dividends, institutional ownership, profitability, earnings and risk.

Valuation and Earnings

This table compares Raksul and Cintas’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Raksul	N/A	N/A	N/A	N/A	N/A
Cintas	$9.60 billion	8.28	$1.57 billion	$14.48	54.06

Cintas has higher revenue and earnings than Raksul.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Raksul and Cintas, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Raksul	0	0	0	0	N/A
Cintas	2	8	6	0	2.25

Cintas has a consensus price target of $742.36, suggesting a potential downside of 4.85%. Given Cintas’ higher probable upside, analysts plainly believe Cintas is more favorable than Raksul.

Profitability

This table compares Raksul and Cintas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Raksul	N/A	N/A	N/A
Cintas	16.38%	37.82%	17.62%

Institutional and Insider Ownership

63.5% of Cintas shares are owned by institutional investors. 15.1% of Cintas shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Cintas beats Raksul on 8 of the 8 factors compared between the two stocks.

About Raksul

Raksul Inc. provides printing services in Japan. The company offers printing for office/industry supplies, such as labels, clothing, stationary, mobile phone peripherals, bags, and cardboard and packaging materials; and flyers, business cards, booklets, envelopes, postcards, etc. It also provides local advertising services through inserted leaflets, posting, direct mails, TV commercials, and websites. In addition, the company operates advertising, TV commercial-related, logistics, and corporate IT platforms. Raksul Inc. was incorporated in 2009 and is headquartered in Tokyo, Japan.

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. In addition, the company offers first aid and safety services, and fire protection products and services. It provides its products and services through its distribution network and local delivery routes, or local representatives to small service and manufacturing companies, as well as major corporations. The company was founded in 1968 and is based in Cincinnati, Ohio. Cintas Corporation was formerly a subsidiary of Cintas Corporation.