Cintas Story

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CTAS -- USA Stock  

USD 322.67  3.40  1.04%

Cintas Cash Flow Per Share is relatively stable at the moment as compared to the past year. Cintas reported last year Cash Flow Per Share of 12.49. As of 12/22/2020, Revenue to Assets is likely to grow to 1.04, while Revenue Per Employee is likely to drop slightly above 152.2 K. Cintas is scheduled to announce its earnings today. The next earnings report is expected on the 18th of March 2021. Although many conservative investors are getting more into industrials space, we should study Cintas' latest fundamentals in more details. We will look into reasons why it is still very possible for the company to generate above-average returns. We currently estimate Cintas as fairly valued. The real value is approaching 340.84 per share.
Published over three weeks ago
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Will Cintas (NASDAQ:CTAS) basic indicators remain weak in January?
Macroaxis provides advice on Cintas to complement and cross-verify current analyst consensus on Cintas. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. This firm dividends can provide a clue to the current value of the stock. Cintas one year expected dividend income is about $0.85 per share.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Cintas income statement, its balance sheet, and the statement of cash flows. Potential Cintas investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Cintas investors may use each financial statement separately, they are all related. The changes in Cintas's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Cintas's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of Cintas fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Cintas performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Cintas shares is the value that is considered the true value of the share. If the intrinsic value Cintas is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Cintas. Please read more on our fundamental analysis page.

What is Cintas Asset Breakdown?

Cintas reports assets on its Balance Sheet. It represents the amount of Cintas resources that either has an existing economic value or will provide some form of benefits in the future. To get a better handle on how balance sheet or income statements item affect Cintas volatility, please check the breakdown of all its fundamentals

Are Cintas Earnings Expected to grow?

The future earnings power of Cintas involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Cintas factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Cintas stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Cintas expected earnings.

And What about dividends?

A dividend is the distribution of a portion of Cintas earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Cintas dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Cintas one year expected dividend income is about $0.85 per share.
Cintas Dividend Yield is relatively stable at the moment as compared to the past year. Cintas reported last year Dividend Yield of 0.009. As of 01/19/2021, Dividends per Basic Common Share is likely to grow to 3.16, while Payment of Dividends and Other Cash Distributions is likely to drop (247.5 M).
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-241.2 M-247.5 M
Dividend Yield 0.009  0.009874 
Dividends per Basic Common Share 2.93  3.16 
Investing in stocks that pay dividends, such as stock of Cintas, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Cintas must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Cintas. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions. It is good to see analyst projects for Cintas, but it might be worth checking our own buy vs. sell analysis

Cintas Gross Profit

Cintas Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Cintas previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Cintas Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

Breaking down Cintas Indicators

Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Cintas is not uncomon. There are few distinct groups of Cintas stakehholders that the SEC considers insiders. Investors usually gain information through their work as corporate directors, officers, or employees. If these individuals share the information with a friend, family, or business partner and the person who receives the information exchanges stock in the company, he or shie is also an insider. Let's take a look at how the ownership of Cintas is distributed among investors.

Ownership Allocation

Cintas retains a total of 104.62 Million outstanding shares. Over half of Cintas outstanding shares are owned by other corporate entities. These other corporate entities are typically referred to corporate investors that acquire positions in a given instrument to benefit from reduced trade commissions. Consequently, these institutions are subject to different rules and regulation than regular investors in Cintas. Please watch out for any change in the institutional holdings of Cintas as this could mean something significant has changed or about to change at the company. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.

Retail Investors
17.62%
Insiders
15.44%
Institutions
66.94%
Retail Investors17.62
Insiders15.44
Institutions66.94
 2017 2018 2019 2020 (projected)
Consolidated Income842.59 M884.98 M876.04 M758.89 M
Direct Expenses3.57 B3.76 B3.85 B3.22 B

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Cintas has an asset utilization ratio of 171.04 percent. This connotes that the company is making $1.71 for each dollar of assets. An increasing asset utilization means that Cintas is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets
2.3 B
Assets Non Current
4.8 B
Goodwill
B
Current Assets2.27 Billion22.43
Assets Non Current4.85 Billion47.95
Goodwill2.99 Billion29.55
Tax Assets6.9 Million0.0683

Will Cintas pull back in January 2021?

Latest treynor ratio is at 0.11. As of the 22nd of December, Cintas shows the Mean Deviation of 1.43, downside deviation of 1.68, and Risk Adjusted Performance of 0.0913. Cintas technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We were able to analyze nineteen technical drivers for Cintas, which can be compared to its rivals. Please confirm Cintas coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to decide if Cintas is priced correctly, providing market reflects its regular price of 348.0 per share. Given that Cintas has jensen alpha of (0.06), we suggest you to validate Cintas's prevailing market performance to make sure the company can sustain itself at a future point.

Our Conclusion on Cintas

While other companies within the specialty business services industry are still a little expensive, even after the recent corrections, Cintas may offer a potential longer-term growth to retail investors. To conclude, as of the 22nd of December 2020, our analysis shows that Cintas responds to the market. The enterprise is fairly valued and projects very small chance of financial distress for the next 2 years. Our actual 30 days buy-or-sell advice on the enterprise is Strong Hold.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Cintas. Please refer to our Terms of Use for any information regarding our disclosure principles.

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