Assessing the Risk and Potential of Cintas Corporation’s (CTAS) Stock

The stock of Cintas Corporation (CTAS) has seen a -2.36% decrease in the past week, with a -19.08% drop in the past month, and a -10.38% decrease in the past quarter. The volatility ratio for the week is 1.50%, and the volatility levels for the past 30 days are at 2.16% for CTAS. The simple moving average for the last 20 days is -9.78% for CTAS stock, with a simple moving average of -3.88% for the last 200 days.

Is It Worth Investing in Cintas Corporation (NASDAQ: CTAS) Right Now?

Cintas Corporation (NASDAQ: CTAS) has a higher price-to-earnings ratio of 44.07x compared to its average ratio, The 36-month beta value for CTAS is at 1.36. Analysts have varying views on the stock, with 4 analysts rating it as a “buy,” 4 rating it as “overweight,” 10 as “hold,” and 3 as “sell.”

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The public float for CTAS is 342.48M, and currently, shorts hold a 1.73% of that float. The average trading volume for CTAS on January 01, 2025 was 1.62M shares.

CTAS) stock’s latest price update

Cintas Corporation (NASDAQ: CTAS)’s stock price has decreased by -0.53 compared to its previous closing price of 183.68. However, the company has seen a -2.36% decrease in its stock price over the last five trading sessions. zacks.com reported 2024-12-31 that Atmos Energy, Brown & Brown and Cintas are included in this Analyst Blog.

Analysts’ Opinion of CTAS

Many brokerage firms have already submitted their reports for CTAS stocks, with Wells Fargo repeating the rating for CTAS by listing it as a “Underweight.” The predicted price for CTAS in the upcoming period, according to Wells Fargo is $735 based on the research report published on August 13, 2024 of the previous year 2024.

Redburn Atlantic, on the other hand, stated in their research note that they expect to see CTAS reach a price target of $670. The rating they have provided for CTAS stocks is “Neutral” according to the report published on August 09th, 2024.

Robert W. Baird gave a rating of “Neutral” to CTAS, setting the target price at $775 in the report published on July 19th of the previous year.

CTAS Trading at -13.32% from the 50-Day Moving Average

After a stumble in the market that brought CTAS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -19.91% of loss for the given period.

Volatility was left at 2.16%, however, over the last 30 days, the volatility rate increased by 1.50%, as shares sank -17.94% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -14.63% lower at present.

During the last 5 trading sessions, CTAS fell by -2.36%, which changed the moving average for the period of 200-days by +16.48% in comparison to the 20-day moving average, which settled at $202.50. In addition, Cintas Corporation saw 21.26% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at CTAS starting from Schneider Todd M., who sale 6,896 shares at the price of $764.05 back on Jul 29 ’24. After this action, Schneider Todd M. now owns 146,936 shares of Cintas Corporation, valued at $5,268,889 using the latest closing price.

Schneider Todd M., the Officer of Cintas Corporation, proposed sale 6,896 shares at $763.06 during a trade that took place back on Jul 29 ’24, which means that Schneider Todd M. is holding shares at $5,262,062 based on the most recent closing price.

Stock Fundamentals for CTAS

Current profitability levels for the company are sitting at:

  • 0.22 for the present operating margin
  • 0.49 for the gross margin

The net margin for Cintas Corporation stands at 0.17. The total capital return value is set at 0.34. Equity return is now at value 41.21, with 18.79 for asset returns.

Based on Cintas Corporation (CTAS), the company’s capital structure generated 0.16 points at debt to capital in total, while cash flow to debt ratio is standing at 2.76. The debt to equity ratio resting at 0.19. The interest coverage ratio of the stock is 21.8.

Currently, EBITDA for the company is 2.52 billion with net debt to EBITDA at 0.28. When we switch over and look at the enterprise to sales, we see a ratio of 7.48. The receivables turnover for the company is 7.25for trailing twelve months and the total asset turnover is 1.15. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.58.

Conclusion

In conclusion, Cintas Corporation (CTAS) has had a mixed performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

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