In this article we will dive into CINTAS CORP (NASDAQ:CTAS) as a possible candidate for quality investing. Investors should always do their own research, but we noticed CINTAS CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.
Highlighting Notable Quality Metrics of NASDAQ:CTAS.
CINTAS CORP has demonstrated significant revenue growth over the past 5 years, with a 6.84% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
CINTAS CORP exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 61.96% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
With a favorable Debt/Free Cash Flow Ratio of 1.48, CINTAS CORP showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
CINTAS CORP demonstrates consistent Profit Quality over the past 5 years, with a strong 108.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
CINTAS CORP has consistently achieved strong EBIT growth over the past 5 years, with a 12.5% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
The EBIT 5-year growth of CINTAS CORP has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.
How does the complete fundamental picture look for NASDAQ:CTAS?
ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.
Overall CTAS gets a fundamental rating of 7 out of 10. We evaluated CTAS against 83 industry peers in the Commercial Services & Supplies industry. CTAS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CTAS is quite expensive at the moment. It does show a decent growth rate. With these ratings, CTAS could be worth investigating further for quality investing!.
More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.
Keep in mind
This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.