Cintas Target of Unusually Large Options Trading (NASDAQ:CTAS)

Cintas Corporation (NASDAQ:CTAS) was the target of unusually large options trading on Tuesday. Traders acquired 4,665 call options on the company. This is an increase of 196% compared to the typical daily volume of 1,574 call options.

Cintas Stock Down 0.8%

NASDAQ:CTAS traded down $1.62 during trading hours on Tuesday, hitting $202.39. 271,818 shares of the company traded hands, compared to its average volume of 2,195,248. The company has a quick ratio of 1.27, a current ratio of 1.43 and a debt-to-equity ratio of 0.28. The firm’s 50-day simple moving average is $183.73 and its 200-day simple moving average is $184.14. Cintas has a one year low of $161.16 and a one year high of $226.75. The company has a market cap of $80.99 billion, a PE ratio of 54.11, a PEG ratio of 3.30 and a beta of 0.91.

Cintas (NASDAQ:CTAS) last announced its earnings results on Wednesday, July 15th. The business services provider reported $1.29 EPS for the quarter, beating the consensus estimate of $1.24 by $0.05. Cintas had a net margin of 17.75% and a return on equity of 42.05%. The company had revenue of $2.91 billion during the quarter, compared to the consensus estimate of $2.87 billion. During the same quarter in the prior year, the company posted $1.09 earnings per share. The firm’s revenue for the quarter was up 8.9% on a year-over-year basis. Cintas has set its FY 2027 guidance at 5.360-5.500 EPS. Equities analysts predict that Cintas will post 5.49 earnings per share for the current year.

Cintas Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Friday, August 14th will be paid a $0.52 dividend. This represents a $2.08 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Friday, August 14th. This is a boost from Cintas’s previous quarterly dividend of $0.45. Cintas’s dividend payout ratio (DPR) is presently 48.13%.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on CTAS shares. Bank of America raised Cintas from a “neutral” rating to a “buy” rating and raised their price objective for the company from $200.00 to $230.00 in a research note on Thursday, July 16th. Robert W. Baird increased their target price on Cintas from $200.00 to $214.00 and gave the stock an “outperform” rating in a report on Thursday, July 16th. Argus raised shares of Cintas to a “strong-buy” rating in a research report on Friday, July 17th. Weiss Ratings upgraded shares of Cintas from a “hold (c)” rating to a “hold (c+)” rating in a research note on Friday, July 10th. Finally, UBS Group restated a “buy” rating and set a $230.00 price objective (up from $228.00) on shares of Cintas in a report on Thursday, July 16th. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $212.31.

Institutional Trading of Cintas

A number of institutional investors and hedge funds have recently modified their holdings of CTAS. Riverbridge Partners LLC boosted its holdings in Cintas by 7.7% during the 1st quarter. Riverbridge Partners LLC now owns 229,158 shares of the business services provider’s stock valued at $38,760,000 after acquiring an additional 16,437 shares during the period. SEB Asset Management AB bought a new stake in Cintas in the first quarter valued at approximately $22,366,000. Northwestern Mutual Wealth Management Co. lifted its position in Cintas by 2,286.3% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 736,620 shares of the business services provider’s stock valued at $138,536,000 after purchasing an additional 705,751 shares during the last quarter. Suncoast Equity Management boosted its stake in shares of Cintas by 53.7% during the fourth quarter. Suncoast Equity Management now owns 23,845 shares of the business services provider’s stock valued at $4,485,000 after purchasing an additional 8,330 shares during the period. Finally, Mizuho Markets Americas LLC grew its holdings in shares of Cintas by 9,200.6% in the fourth quarter. Mizuho Markets Americas LLC now owns 117,745 shares of the business services provider’s stock worth $22,144,000 after purchasing an additional 116,479 shares during the last quarter. 63.46% of the stock is owned by hedge funds and other institutional investors.

Cintas Company Profile

Cintas Corporation (NASDAQ: CTAS) is a provider of business services and products focused on workplace appearance, safety and facility maintenance. The company is best known for its uniform rental and corporate apparel programs, which include rental, leasing and direct-purchase options, laundering and garment repair. Cintas markets its services to a wide range of end-users, including manufacturing, food service, healthcare, hospitality, retail and government customers.

Beyond uniforms, Cintas offers a suite of facility services and products designed to help organizations maintain clean, safe and compliant workplaces.