Cabot Wealth Management Inc. Boosts Stock Position in Cintas Corporation (NASDAQ:CTAS)

Cabot Wealth Management Inc. increased its stake in shares of Cintas Corporation (NASDAQ:CTAS) by 0.6% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 71,788 shares of the business services provider’s stock after purchasing an additional 459 shares during the quarter. Cintas makes up approximately 1.9% of Cabot Wealth Management Inc.’s holdings, making the stock its 16th largest holding. Cabot Wealth Management Inc.’s holdings in Cintas were worth $14,755,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Geode Capital Management LLC increased its position in Cintas by 2.7% during the 4th quarter. Geode Capital Management LLC now owns 8,468,080 shares of the business services provider’s stock worth $1,544,822,000 after purchasing an additional 219,809 shares in the last quarter. Invesco Ltd. increased its position in Cintas by 6.1% during the 4th quarter. Invesco Ltd. now owns 5,118,479 shares of the business services provider’s stock worth $935,146,000 after purchasing an additional 296,059 shares in the last quarter. Norges Bank purchased a new stake in Cintas during the 4th quarter worth about $877,216,000. Northern Trust Corp increased its position in Cintas by 13.1% during the 4th quarter. Northern Trust Corp now owns 4,067,037 shares of the business services provider’s stock worth $743,048,000 after purchasing an additional 472,069 shares in the last quarter. Finally, Royal Bank of Canada grew its holdings in Cintas by 3.3% in the 4th quarter. Royal Bank of Canada now owns 3,655,835 shares of the business services provider’s stock valued at $667,919,000 after buying an additional 115,268 shares during the period. Hedge funds and other institutional investors own 63.46% of the company’s stock.

Cintas Stock Performance

Cintas stock opened at $218.65 on Friday. The stock’s 50 day moving average price is $217.23 and its 200 day moving average price is $205.56. The firm has a market capitalization of $88.29 billion, a PE ratio of 50.64, a price-to-earnings-growth ratio of 3.44 and a beta of 1.07. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.50 and a current ratio of 1.72. Cintas Corporation has a one year low of $172.20 and a one year high of $229.24.

Cintas (NASDAQ:CTAS) last released its quarterly earnings results on Wednesday, March 26th. The business services provider reported $1.13 EPS for the quarter, topping the consensus estimate of $1.05 by $0.08. Cintas had a return on equity of 41.30% and a net margin of 17.53%. The firm had revenue of $2.61 billion for the quarter, compared to analyst estimates of $2.60 billion. During the same period in the previous year, the company posted $3.84 EPS. Cintas’s revenue for the quarter was up 8.4% on a year-over-year basis. As a group, sell-side analysts expect that Cintas Corporation will post 4.31 EPS for the current fiscal year.

Cintas Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 13th. Investors of record on Thursday, May 15th were given a dividend of $0.39 per share. This represents a $1.56 annualized dividend and a dividend yield of 0.71%. The ex-dividend date of this dividend was Thursday, May 15th. Cintas’s dividend payout ratio is currently 36.11%.

Analysts Set New Price Targets

Several research firms have commented on CTAS. Wells Fargo & Company lifted their price target on Cintas from $184.00 to $196.00 and gave the company an “underweight” rating in a report on Thursday, March 27th. The Goldman Sachs Group lifted their price target on Cintas from $211.00 to $233.00 and gave the company a “buy” rating in a report on Thursday, March 27th. Bank of America began coverage on Cintas in a report on Thursday, April 10th. They issued a “buy” rating and a $250.00 price target for the company. Citigroup began coverage on Cintas in a report on Monday, February 24th. They issued a “sell” rating and a $161.00 price target for the company. Finally, Morgan Stanley lifted their price target on Cintas from $195.00 to $213.00 and gave the company an “equal weight” rating in a report on Thursday, March 27th. Three equities research analysts have rated the stock with a sell rating, six have assigned a hold rating, five have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $215.81.

Insider Activity at Cintas

In related news, COO Jim Rozakis sold 2,000 shares of the company’s stock in a transaction that occurred on Monday, April 7th. The stock was sold at an average price of $190.37, for a total transaction of $380,740.00. Following the sale, the chief operating officer now directly owns 256,528 shares of the company’s stock, valued at approximately $48,835,235.36. This represents a 0.77% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Ronald W. Tysoe sold 8,521 shares of the company’s stock in a transaction that occurred on Monday, April 14th. The shares were sold at an average price of $208.96, for a total value of $1,780,548.16. Following the sale, the director now directly owns 27,029 shares in the company, valued at approximately $5,647,979.84. This represents a 23.97% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 15.00% of the company’s stock.

About Cintas

Cintas Corporation engages in the provision of corporate identity uniforms and related business services primarily in the United States, Canada, and Latin America. It operates through Uniform Rental and Facility Services, First Aid and Safety Services, and All Other segments. The company rents and services uniforms and other garments, including flame resistant clothing, mats, mops and shop towels, and other ancillary items; and provides restroom cleaning services and supplies, as well as sells uniforms.