184.88 USD
-3.19 (-1.7%)
184.88 USD
0 (0%)
CTAS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 80 industry peers in the Commercial Services & Supplies industry. Both the health and profitability get an excellent rating, making CTAS a very profitable company, without any liquidiy or solvency issues. CTAS is valied quite expensively at the moment, while it does show a decent growth rate. This makes CTAS very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year CTAS was profitable.
CTAS had a positive operating cash flow in the past year.
Each year in the past 5 years CTAS has been profitable.
In the past 5 years CTAS always reported a positive cash flow from operatings.
1.2 Ratios
CTAS's Return On Assets of 18.75% is amongst the best of the industry. CTAS outperforms 100.00% of its industry peers.
CTAS's Return On Equity of 38.79% is amongst the best of the industry. CTAS outperforms 96.25% of its industry peers.
CTAS has a better Return On Invested Capital (23.16%) than 96.25% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CTAS is significantly above the industry average of 10.60%.
The 3 year average ROIC (21.68%) for CTAS is below the current ROIC(23.16%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.75% | ||
| ROE | 38.79% | ||
| ROIC | 23.16% |
ROA(3y)17.06%
ROA(5y)15.93%
ROE(3y)36.52%
ROE(5y)35.33%
ROIC(3y)21.68%
ROIC(5y)20.31%
1.3 Margins
CTAS's Profit Margin of 17.48% is amongst the best of the industry. CTAS outperforms 97.50% of its industry peers.
CTAS's Profit Margin has improved in the last couple of years.
CTAS has a Operating Margin of 22.89%. This is amongst the best in the industry. CTAS outperforms 97.50% of its industry peers.
In the last couple of years the Operating Margin of CTAS has grown nicely.
CTAS has a better Gross Margin (50.10%) than 90.00% of its industry peers.
CTAS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.89% | ||
| PM (TTM) | 17.48% | ||
| GM | 50.1% |
OM growth 3Y3.91%
OM growth 5Y6.07%
PM growth 3Y3.71%
PM growth 5Y7.35%
GM growth 3Y2.66%
GM growth 5Y1.86%
2. Health
2.1 Basic Checks
CTAS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
CTAS has less shares outstanding than it did 1 year ago.
CTAS has less shares outstanding than it did 5 years ago.
CTAS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 12.61 indicates that CTAS is not in any danger for bankruptcy at the moment.
CTAS has a better Altman-Z score (12.61) than 95.00% of its industry peers.
CTAS has a debt to FCF ratio of 1.43. This is a very positive value and a sign of high solvency as it would only need 1.43 years to pay back of all of its debts.
CTAS has a Debt to FCF ratio of 1.43. This is amongst the best in the industry. CTAS outperforms 85.00% of its industry peers.
A Debt/Equity ratio of 0.51 indicates that CTAS is somewhat dependend on debt financing.
CTAS has a Debt to Equity ratio (0.51) which is in line with its industry peers.
Even though the debt/equity ratio score it not favorable for CTAS, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 12.61 |
ROIC/WACC2.68
WACC8.65%
2.3 Liquidity
A Current Ratio of 2.24 indicates that CTAS has no problem at all paying its short term obligations.
CTAS has a better Current ratio (2.24) than 75.00% of its industry peers.
A Quick Ratio of 1.94 indicates that CTAS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.94, CTAS is in the better half of the industry, outperforming 78.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.24 | ||
| Quick Ratio | 1.94 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.63% over the past year.
The Earnings Per Share has been growing by 16.84% on average over the past years. This is quite good.
CTAS shows a small growth in Revenue. In the last year, the Revenue has grown by 7.75%.
The Revenue has been growing slightly by 7.85% on average over the past years.
EPS 1Y (TTM)11.63%
EPS 3Y15.77%
EPS 5Y16.84%
EPS Q2Q%11.01%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y9.6%
Revenue growth 5Y7.85%
Sales Q2Q%9.3%
3.2 Future
CTAS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.27% yearly.
Based on estimates for the next years, CTAS will show a small growth in Revenue. The Revenue will grow by 7.57% on average per year.
EPS Next Y12.71%
EPS Next 2Y11.73%
EPS Next 3Y11.2%
EPS Next 5Y10.27%
Revenue Next Year8.68%
Revenue Next 2Y7.99%
Revenue Next 3Y7.65%
Revenue Next 5Y7.57%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
CTAS is valuated quite expensively with a Price/Earnings ratio of 39.93.
CTAS's Price/Earnings ratio is in line with the industry average.
CTAS is valuated expensively when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
CTAS is valuated quite expensively with a Price/Forward Earnings ratio of 33.58.
CTAS's Price/Forward Earnings ratio is in line with the industry average.
CTAS's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.93 | ||
| Fwd PE | 33.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CTAS is valued a bit more expensive than 60.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CTAS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.81 | ||
| EV/EBITDA | 26.21 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of CTAS may justify a higher PE ratio.
PEG (NY)3.14
PEG (5Y)2.37
EPS Next 2Y11.73%
EPS Next 3Y11.2%
5. Dividend
5.1 Amount
With a yearly dividend of 0.96%, CTAS is not a good candidate for dividend investing.
CTAS's Dividend Yield is a higher than the industry average which is at 0.90.
With a Dividend Yield of 0.96, CTAS pays less dividend than the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
5.2 History
The dividend of CTAS is nicely growing with an annual growth rate of 18.49%!
CTAS has paid a dividend for at least 10 years, which is a reliable track record.
CTAS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)18.49%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
CTAS pays out 34.21% of its income as dividend. This is a sustainable payout ratio.
CTAS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP34.21%
EPS Next 2Y11.73%
EPS Next 3Y11.2%
184.88
-3.19 (-1.7%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners66.98%
Inst Owner Change0%
Ins Owners1.65%
Ins Owner Change0.07%
Market Cap74.30B
Revenue(TTM)10.34B
Net Income(TTM)1.84B
Analysts70.37
Price Target220.68 (19.36%)
Short Float %2.11%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
Yearly Dividend1.51
Dividend Growth(5Y)18.49%
DP34.21%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.48%
Min EPS beat(2)-0.85%
Max EPS beat(2)-0.11%
EPS beat(4)2
Avg EPS beat(4)2.33%
Min EPS beat(4)-0.85%
Max EPS beat(4)5.32%
EPS beat(8)6
Avg EPS beat(8)4.01%
EPS beat(12)9
Avg EPS beat(12)2.95%
EPS beat(16)13
Avg EPS beat(16)3.44%
Revenue beat(2)0
Avg Revenue beat(2)-0.81%
Min Revenue beat(2)-1.23%
Max Revenue beat(2)-0.39%
Revenue beat(4)0
Avg Revenue beat(4)-1.29%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)-0.39%
Revenue beat(8)0
Avg Revenue beat(8)-1.28%
Revenue beat(12)1
Avg Revenue beat(12)-1.05%
Revenue beat(16)4
Avg Revenue beat(16)-0.58%
PT rev (1m)-1.2%
PT rev (3m)-1.46%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)-0.9%
EPS NY rev (1m)0.62%
EPS NY rev (3m)0.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.21%
Revenue NY rev (1m)0.39%
Revenue NY rev (3m)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.93 | ||
| Fwd PE | 33.58 | ||
| P/S | 7.04 | ||
| P/FCF | 43.81 | ||
| P/OCF | 35.15 | ||
| P/B | 15.62 | ||
| P/tB | 85.63 | ||
| EV/EBITDA | 26.21 |
EPS(TTM)4.63
EY2.5%
EPS(NY)5.51
Fwd EY2.98%
FCF(TTM)4.22
FCFY2.28%
OCF(TTM)5.26
OCFY2.84%
SpS26.27
BVpS11.83
TBVpS2.16
PEG (NY)3.14
PEG (5Y)2.37
Graham Number35.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.75% | ||
| ROE | 38.79% | ||
| ROCE | 29.01% | ||
| ROIC | 23.16% | ||
| ROICexc | 23.55% | ||
| ROICexgc | 44.83% | ||
| OM | 22.89% | ||
| PM (TTM) | 17.48% | ||
| GM | 50.1% | ||
| FCFM | 16.06% |
ROA(3y)17.06%
ROA(5y)15.93%
ROE(3y)36.52%
ROE(5y)35.33%
ROIC(3y)21.68%
ROIC(5y)20.31%
ROICexc(3y)22.42%
ROICexc(5y)21.1%
ROICexgc(3y)45.31%
ROICexgc(5y)44.66%
ROCE(3y)27.16%
ROCE(5y)25.44%
ROICexgc growth 3Y4.19%
ROICexgc growth 5Y9.87%
ROICexc growth 3Y7.31%
ROICexc growth 5Y10.45%
OM growth 3Y3.91%
OM growth 5Y6.07%
PM growth 3Y3.71%
PM growth 5Y7.35%
GM growth 3Y2.66%
GM growth 5Y1.86%
F-Score7
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 0.83 | ||
| Cap/Depr | 82.77% | ||
| Cap/Sales | 3.96% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.35% | ||
| Profit Quality | 91.91% | ||
| Current Ratio | 2.24 | ||
| Quick Ratio | 1.94 | ||
| Altman-Z | 12.61 |
F-Score7
WACC8.65%
ROIC/WACC2.68
Cap/Depr(3y)83.77%
Cap/Depr(5y)69.7%
Cap/Sales(3y)3.99%
Cap/Sales(5y)3.41%
Profit Quality(3y)98.91%
Profit Quality(5y)102.51%
High Growth Momentum
Growth
EPS 1Y (TTM)11.63%
EPS 3Y15.77%
EPS 5Y16.84%
EPS Q2Q%11.01%
EPS Next Y12.71%
EPS Next 2Y11.73%
EPS Next 3Y11.2%
EPS Next 5Y10.27%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y9.6%
Revenue growth 5Y7.85%
Sales Q2Q%9.3%
Revenue Next Year8.68%
Revenue Next 2Y7.99%
Revenue Next 3Y7.65%
Revenue Next 5Y7.57%
EBIT growth 1Y13.5%
EBIT growth 3Y13.89%
EBIT growth 5Y14.4%
EBIT Next Year31.7%
EBIT Next 3Y15.74%
EBIT Next 5Y12.98%
FCF growth 1Y34.88%
FCF growth 3Y10.65%
FCF growth 5Y10.61%
OCF growth 1Y30.07%
OCF growth 3Y12.1%
OCF growth 5Y10.89%
CINTAS CORP / CTAS FAQ
Can you provide the ChartMill fundamental rating for CINTAS CORP?
ChartMill assigns a fundamental rating of 7 / 10 to CTAS.
What is the valuation status for CTAS stock?
ChartMill assigns a valuation rating of 2 / 10 to CINTAS CORP (CTAS). This can be considered as Overvalued.
Can you provide the profitability details for CINTAS CORP?
CINTAS CORP (CTAS) has a profitability rating of 10 / 10.
What is the financial health of CINTAS CORP (CTAS) stock?
The financial health rating of CINTAS CORP (CTAS) is 9 / 10.
Can you provide the dividend sustainability for CTAS stock?
The dividend rating of CINTAS CORP (CTAS) is 5 / 10 and the dividend payout ratio is 34.21%.