Cintas (NASDAQ:CTAS) Price Target Raised to $215.00 at Royal Bank of Canada

Cintas (NASDAQ:CTAS) had its target price lifted by research analysts at Royal Bank of Canada from $181.00 to $215.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage currently has a “sector perform” rating on the business services provider’s stock. Royal Bank of Canada’s price target would suggest a potential upside of 6.25% from the company’s previous close.

Other equities analysts have also recently issued research reports about the company. StockNews.com upgraded Cintas from a “hold” rating to a “buy” rating in a research report on Friday, June 14th. Wells Fargo & Company raised Cintas to a “strong sell” rating in a report on Tuesday, August 13th. Redburn Atlantic initiated coverage on Cintas in a research note on Friday, August 9th. They set a “neutral” rating and a $167.50 price target for the company. Barclays lowered their price objective on shares of Cintas from $850.00 to $210.00 and set an “overweight” rating on the stock in a research report on Friday, September 13th. Finally, Robert W. Baird upped their price objective on shares of Cintas from $194.00 to $209.00 and gave the stock a “neutral” rating in a research report on Thursday. Two analysts have rated the stock with a sell rating, nine have assigned a hold rating and seven have issued a buy rating to the company. According to MarketBeat, Cintas presently has an average rating of “Hold” and a consensus target price of $199.63.

Cintas Price Performance

CTAS stock opened at $202.35 on Thursday. The business has a 50 day simple moving average of $208.63 and a 200-day simple moving average of $183.66. The company has a market capitalization of $20.53 billion, a P/E ratio of 13.97, a PEG ratio of 4.09 and a beta of 1.32. Cintas has a twelve month low of $119.69 and a twelve month high of $211.57. The company has a current ratio of 1.74, a quick ratio of 1.52 and a debt-to-equity ratio of 0.47.

Cintas (NASDAQ:CTAS) last issued its quarterly earnings results on Wednesday, September 25th. The business services provider reported $1.10 earnings per share for the quarter, topping analysts’ consensus estimates 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 16.38% and a return on equity of 37.82%. Cintas’s quarterly revenue was up 6.8% compared to the same quarter last year. During the same quarter in the prior year, the business earned $3.70 EPS. As a group, equities analysts anticipate that Cintas will post 4.16 EPS for the current year.

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

Insider Activity

In related news, Director Gerald S. Adolph sold 4,400 shares of the company’s stock in a transaction that occurred on Wednesday, July 24th. The stock was sold at an average price of $191.43, for a total value of $842,292.00. Following the sale, the director now owns 125,808 shares in the company, valued at approximately $24,083,425.44. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Insiders own 15.10% of the company’s stock.

Hedge Funds Weigh In On Cintas

Several hedge funds have recently added to or reduced their stakes in CTAS. Nisa Investment Advisors LLC increased its stake in shares of Cintas by 2.2% during the 2nd quarter. Nisa Investment Advisors LLC now owns 39,097 shares of the business services provider’s stock worth $27,378,000 after purchasing an additional 838 shares in the last quarter. QRG Capital Management Inc. increased its position in Cintas by 111.5% during the second quarter. QRG Capital Management Inc. now owns 7,355 shares of the business services provider’s stock worth $5,151,000 after buying an additional 3,878 shares in the last quarter. Thoroughbred Financial Services LLC raised its holdings in shares of Cintas by 105.7% in the second quarter. Thoroughbred Financial Services LLC now owns 5,020 shares of the business services provider’s stock worth $3,515,000 after acquiring an additional 2,580 shares during the last quarter. Journey Advisory Group LLC raised its holdings in shares of Cintas by 17.1% in the second quarter. Journey Advisory Group LLC now owns 6,442 shares of the business services provider’s stock worth $4,511,000 after acquiring an additional 940 shares during the last quarter. Finally, Bensler LLC lifted its position in shares of Cintas by 4.7% in the second quarter. Bensler LLC now owns 14,349 shares of the business services provider’s stock valued at $10,048,000 after acquiring an additional 646 shares in the last quarter. 63.46% of the stock is currently owned by hedge funds and other institutional investors.

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.