Cintas Co. Declares Quarterly Dividend of $0.39 (NASDAQ:CTAS)

Cintas Co. (NASDAQ:CTAS) declared a quarterly dividend on Tuesday, October 29th,RTT News reports. Stockholders of record on Friday, November 15th will be given a dividend of 0.39 per share by the business services provider on Friday, December 13th. This represents a $1.56 annualized dividend and a dividend yield of 0.70%. The ex-dividend date is Friday, November 15th.

Cintas has increased its dividend by an average of 92.6% per year over the last three years and has increased its dividend annually for the last 42 consecutive years. Cintas has a dividend payout ratio of 33.3% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Cintas to earn $4.63 per share next year, which means the company should continue to be able to cover its $1.56 annual dividend with an expected future payout ratio of 33.7%.

Cintas Stock Down 0.5 %

CTAS stock opened at $223.62 on Thursday. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.53 and a quick ratio of 1.33. Cintas has a fifty-two week low of $135.07 and a fifty-two week high of $227.35. The stock has a market capitalization of $90.19 billion, a P/E ratio of 56.47, a P/E/G ratio of 4.43 and a beta of 1.32. The business has a 50-day moving average of $220.30 and a 200-day moving average of $194.58.

Cintas (NASDAQ:CTAS) last announced its quarterly earnings data on Wednesday, September 25th. The business services provider reported $1.10 earnings per share for the quarter, beating the consensus estimate of $1.00 by $0.10. Cintas had a return on equity of 39.56% and a net margin of 16.80%. The company had revenue of $2.50 billion during the quarter, compared to analysts’ expectations of $2.49 billion. During the same quarter last year, the company earned $3.70 EPS. Cintas’s revenue for the quarter was up 6.8% compared to the same quarter last year. On average, sell-side analysts anticipate that Cintas will post 4.23 earnings per share for the current fiscal year.

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

Analysts Set New Price Targets

Several analysts have issued reports on CTAS shares. Morgan Stanley upped their price objective on Cintas from $170.00 to $185.00 and gave the company an “equal weight” rating in a research note on Thursday, September 26th. Barclays boosted their price objective on shares of Cintas from $210.00 to $245.00 and gave the company an “overweight” rating in a report on Friday, September 27th. The Goldman Sachs Group raised their price target on Cintas from $212.00 to $236.00 and gave the stock a “buy” rating in a research report on Thursday, September 26th. Stifel Nicolaus boosted their price objective on shares of Cintas from $166.75 to $199.50 and gave the company a “hold” rating in a research report on Friday, July 19th. Finally, Jefferies Financial Group reduced their target price on Cintas from $730.00 to $200.00 and set a “hold” rating on the stock in a report on Thursday, September 26th. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating and seven have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, Cintas currently has an average rating of “Hold” and a consensus price target of $199.63.

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.