Cintas (CTAS) AI Stock Analysis

• Market Cap: $73.53B
• Dividend Yield: 0.91%
• Average Volume (3M): 2.10M
• Price to Earnings (P/E): 40.7
• Beta (1Y): 0.78
• Revenue Growth: 8.21%
• EPS Growth: 13.56%
• Country: US
• Employees: 46,500
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 1.20
• Shares Outstanding: 401,866,670
• 10 Day Avg. Volume: 1,321,817
• 30 Day Avg. Volume: 2,101,711
• PEG Ratio: 3.08
• Price to Book (P/B): 19.51
• Price to Sales (P/S): 8.84
• P/FCF Ratio: 52.02
• Enterprise Value/Market Cap: 1.20
• Enterprise Value/Revenue: 8.38
• Enterprise Value/Gross Profit: 16.73
• Enterprise Value/Ebitda: 29.95
• 1Y Price Target: $213.00
• Price Target Upside: 14.80% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: $202.00 ▲(8.87% Upside)

Cintas's overall stock score is driven by strong financial performance and positive earnings call outcomes, highlighting revenue growth and increased guidance. However, bearish technical indicators and high valuation metrics temper the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Cash Flow Generation

Robust cash flow generation supports financial flexibility, allowing Cintas to invest in growth opportunities and manage debt effectively.

Dividend Growth

Consistent dividend increases reflect strong cash flow and management's commitment to returning value to shareholders, enhancing investor confidence.

Negative Factors

Uniform Direct Sale Decline

Decline in Uniform Direct Sale may indicate competitive pressures or market saturation, potentially impacting revenue diversification.

Higher Tax Rate

An increased tax rate reduces net income, potentially impacting profitability and cash available for reinvestment or shareholder returns.

SAP Implementation Costs

Implementation costs can pressure margins, affecting short-term profitability and requiring careful management to realize long-term efficiency gains.

Cintas Business Overview & Revenue Model

Company Description

Cintas Corporation (CTAS) is a leading provider of corporate identity uniform and workplace supplies, offering a wide range of products and services designed to enhance the image and safety of businesses. The company operates primarily in the uniform rental and facility services sectors, supplying businesses with uniforms, mats, restroom supplies, and first aid products. Cintas serves a diverse array of industries, including healthcare, hospitality, and manufacturing, focusing on delivering high-quality service and robust solutions to enhance workplace efficiency and employee safety.

How the Company Makes Money

Cintas generates revenue primarily through its uniform rental and leasing services, which involve providing customers with uniforms on a rental basis, including regular cleaning and maintenance. Additional revenue streams include the sale of promotional products, facility services such as mat and restroom supply rentals, and first aid and safety products. The company also benefits from long-term contracts with customers, ensuring a steady stream of income. Key partnerships with various suppliers and manufacturers enhance its product offerings, while the company's focus on customer service and tailored solutions helps drive customer retention and growth in its client base.

Cintas Financial Statement Overview

Summary

Cintas demonstrates strong financial health with consistent revenue and profit growth, efficient operations, and a solid balance sheet. Despite minor fluctuations in margins and free cash flow growth, the company's overall financial position remains robust, supporting its competitive position in the specialty business services industry.

Income Statement

Cintas has demonstrated consistent revenue growth with a TTM growth rate of 2.09%. The company maintains strong profitability with a gross profit margin of 37.15% and a net profit margin of 17.54% in the TTM. EBIT and EBITDA margins are healthy, indicating efficient operations. However, the slight decline in gross profit margin from the previous annual report suggests potential cost pressures.

Balance Sheet

The balance sheet shows a stable financial position with a debt-to-equity ratio of 0.56, indicating moderate leverage. The return on equity is impressive at 40.41%, reflecting strong profitability. The equity ratio of 48.34% suggests a balanced capital structure. However, the slight increase in total debt warrants monitoring.

Cash Flow

Cintas exhibits robust cash flow generation with an operating cash flow to net income ratio of 1.40 and a free cash flow to net income ratio of 0.80. Despite a slight decline in free cash flow growth in the TTM, the company maintains strong cash flow coverage, supporting its financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.56B	10.34B	9.60B	8.82B	7.85B	7.12B
Gross Profit	5.29B	5.17B	4.69B	4.17B	3.63B	3.31B
EBITDA	2.95B	2.86B	2.52B	2.22B	1.99B	1.77B
Net Income	1.85B	1.81B	1.57B	1.35B	1.24B	1.11B
Balance Sheet
Total Assets	9.84B	9.83B	9.48B	8.83B	8.43B	8.56B
Cash, Cash Equivalents and Short-Term Investments	138.14M	263.97M	342.01M	124.15M	90.47M	493.64M
Total Debt	2.68B	2.65B	2.67B	2.67B	2.97B	2.72B
Total Liabilities	5.08B	5.14B	5.16B	4.96B	5.12B	4.87B
Stockholders Equity	4.76B	4.68B	4.32B	3.86B	3.31B	3.69B
Cash Flow
Free Cash Flow	1.70B	1.76B	1.67B	1.27B	1.30B	1.22B
Operating Cash Flow	2.11B	2.17B	2.08B	1.60B	1.54B	1.36B
Investing Cash Flow	-625.53M	-623.64M	-608.63M	-388.67M	-402.63M	-137.22M
Financing Cash Flow	-1.45B	-1.62B	-1.25B	-1.17B	-1.54B	-879.87M

Cintas Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 185.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CTAS, the sentiment is Neutral. The current price of 185.54 is above the 20-day moving average (MA) of 184.62, below the 50-day MA of 187.78, and below the 200-day MA of 205.21, indicating a neutral trend. The MACD of -0.91 indicates Negative momentum. The RSI at 49.87 is Neutral, neither overbought nor oversold. The STOCH value of 32.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CTAS.

Cintas Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTAS	70 Outperform	$73.53B	40.66	42.04%	0.91%	8.21%	13.56%
UNF	68 Neutral	$3.12B	22.54	6.93%	0.79%	0.20%	2.72%
ECL	66 Neutral	$72.83B	36.99	21.73%	0.98%	1.38%	-2.54%
ABM	66 Neutral	$2.71B	24.05	6.32%	2.31%	4.27%	-24.06%
ARMK	64 Neutral	$9.71B	30.24	10.55%	1.17%	6.35%	24.07%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
VSTS	58 Neutral	$940.21M	―	-4.55%	1.95%	-2.53%	-291.35%

Cintas Corporate Events

Cintas Shareholders Vote on Key Governance Matters

On October 28, 2025, Cintas Corporation held its 2025 Annual Meeting of Shareholders, where several key matters were voted on. Shareholders elected new directors, approved executive compensation, ratified Ernst & Young LLP as the independent auditor for fiscal 2026, and rejected a proposal to allow shareholders to call special meetings. These decisions reflect the company’s ongoing governance and operational strategies, potentially impacting its future direction and stakeholder relations.