Cintas (NASDAQ:CTAS) Hits New 52-Week High – Here’s What Happened

Cintas Co. (NASDAQ:CTAS) shares hit a new 52-week high on Wednesday . The stock traded as high as $216.00 and last traded at $215.01, with a volume of 73528 shares trading hands. The stock had previously closed at $208.99.

Wall Street Analyst Weigh In

Several brokerages recently commented on CTAS. Truist Financial lifted their target price on shares of Cintas from $212.50 to $225.00 and gave the stock a “buy” rating in a report on Tuesday, September 17th. Redburn Atlantic started coverage on Cintas in a research report on Friday, August 9th. They issued a “neutral” rating and a $167.50 target price on the stock. Jefferies Financial Group dropped their price target on Cintas from $730.00 to $200.00 and set a “hold” rating for the company in a report on Thursday, September 26th. Royal Bank of Canada boosted their price target on Cintas from $181.00 to $215.00 and gave the company a “sector perform” rating in a research note on Thursday, September 26th. Finally, Stifel Nicolaus increased their price objective on Cintas from $166.75 to $199.50 and gave the stock a “hold” rating in a research report on Friday, July 19th. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating and seven have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $199.63.

Cintas Stock Up 3.8 %

The stock has a 50 day moving average price of $218.11 and a 200 day moving average price of $192.62. The stock has a market capitalization of $87.53 billion, a price-to-earnings ratio of 52.78, a price-to-earnings-growth ratio of 4.05 and a beta of 1.32. The company has a quick ratio of 1.33, a current ratio of 1.53 and a debt-to-equity ratio of 0.50.

Cintas (NASDAQ:CTAS) last announced its quarterly earnings results on Wednesday, September 25th. The business services provider reported $1.10 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.00 by $0.10. The firm had revenue of $2.50 billion during the quarter, compared to analysts’ expectations of $2.49 billion. Cintas had a net margin of 16.80% and a return on equity of 39.56%. The company’s revenue was up 6.8% on a year-over-year basis. During the same period in the prior year, the company posted $3.70 EPS. As a group, analysts forecast that Cintas Co. will post 4.23 EPS for the current year.

Cintas Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, December 13th. Shareholders of record on Friday, November 15th will be given a dividend of $0.39 per share. This represents a $1.56 dividend on an annualized basis and a yield of 0.72%. The ex-dividend date is Friday, November 15th. Cintas’s dividend payout ratio is presently 39.39%.

Cintas declared that its board has initiated a stock repurchase program on Tuesday, July 23rd that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the business services provider to reacquire up to 1.3% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board believes its shares are undervalued.

Institutional Investors Weigh In On Cintas

A number of institutional investors have recently modified their holdings of CTAS. Impax Asset Management Group plc lifted its holdings in Cintas by 211.1% in the third quarter. Impax Asset Management Group plc now owns 2,429,272 shares of the business services provider’s stock valued at $499,236,000 after buying an additional 1,648,350 shares during the period. Alecta Tjanstepension Omsesidigt raised its position in shares of Cintas by 300.0% in the 3rd quarter. Alecta Tjanstepension Omsesidigt now owns 1,630,000 shares of the business services provider’s stock worth $335,552,000 after acquiring an additional 1,222,500 shares in the last quarter. Los Angeles Capital Management LLC lifted its stake in shares of Cintas by 211.6% in the 3rd quarter. Los Angeles Capital Management LLC now owns 1,140,595 shares of the business services provider’s stock valued at $234,826,000 after purchasing an additional 774,551 shares during the period. Sumitomo Mitsui Trust Group Inc. boosted its position in shares of Cintas by 291.9% during the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 889,402 shares of the business services provider’s stock valued at $183,110,000 after purchasing an additional 662,431 shares in the last quarter. Finally, Congress Asset Management Co. grew its stake in Cintas by 295.6% during the third quarter. Congress Asset Management Co. now owns 784,589 shares of the business services provider’s stock worth $161,531,000 after purchasing an additional 586,271 shares during the period. 63.46% of the stock is owned by institutional investors.

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.