Skip to main content

CTAS STOCK WRITE UP


CTAS (CINTAS CORPORATION)

  • P/E: 26.8
  • GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.02
  • SECTOR: CONSUMER SERVICES
  • ASSETS-LIABILITIES: 2.09
  • DIVIDEND: 1.06%

CTAS is a company providing uniforms to major companies. They report 7/20/17 after the market close. The company is profitable, and has acquired smaller businesses to grow its revenue, while selling a paper-shredding company it had previously acquired.
The company has more cash than debt. Inventories increased by 9%, and revenue increased by 5.3%. Income before taxes grew 2.5%, and $642,000 in losses from discontinued operations and a $9 million acquisition expense reduced the profit improvement to just under 2%. The majority of revenue is derived from uniform rental services. According to wikinvest, CTAS has 30% of market share for uniform rentals due to its commitment to providing specialized products to fit customer needs.
Cintas was founded as The Acme Industrial Laundry Company in 1929 by Richard T Farmer, and changed its name upon its IPO in 1983. Scott Farmer is the founder's son, and has been CEO since 2003. Cintas acquired G&K, another uniform rental company, in a deal that closed 3/21/2017. Shred-it, a document shredding company, was sold by Cintas in 2016, and losses from the discontinuation of that service were realized in Q2 2017.
CTAS' largest competitor is UNF (Unifirst Corporation). It trades at a slight premium to UNF, and CTAS' revenue grew 14% between 2013-2016, compared to 7% for UNF in the same period. CTAS has beat, or met expectations in each of the last 7 quarters, with the exception of 1 quarterly report. CTAS has a dividend yield with ten times the value of UNF's.
Reporting 7/20/17 after the close, CTAS will try to continue its trend of earnings beats. CTAS' share price has risen 9% year-to-date at the time of writing this article. After its last three quarterly earnings reports, CTAS dropped $5, $3, and $3 in the following month.

SOURCES:








Labels:

Comments

  1. UnknownSeptember 22, 2018 at 8:08 AM

    Thanks of all

    https://www.strikerstockresearch.com/blog/basics-of-share-market-2

    ReplyDelete
  2. UnknownSeptember 22, 2018 at 8:09 AM

    hello,
    wonderful post thanks for all.
    https://www.strikerstockresearch.com/blog/stock-research-in-india/

    ReplyDelete
  3. UnknownSeptember 22, 2018 at 8:10 AM

    hello,
    thanks for all.
    https://www.strikerstockresearch.com/blog/mcx-crude-oil-tips/

    ReplyDelete
  4. UnknownSeptember 22, 2018 at 8:10 AM

    hello,
    thanks for this use full information.
    https://www.strikerstockresearch.com/blog/stocks-to-buy-today/

    ReplyDelete
  5. UnknownSeptember 22, 2018 at 8:11 AM

    hello,
    Great post ,thank you for sharing
    https://www.strikerstockresearch.com/blog/stock-advice/

    ReplyDelete

Post a Comment

Popular posts from this blog

PXD STOCK WRITE UP

 PXD (PIONEER NATURAL RESOURCES) P/E: N/A GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.67 SECTOR: ENERGY MINERALS ASSETS-LIABILITIES: 1.58 DIVIDEND: .04% Pioneer Natural Resources has recently made the jaw-dropping switch from negative EPS to positive with its last quarter. Situated in the largest oil-producing region in the US, the company is utilizing its good fortune to produce profits. The company has a good balance sheet, a wealth of resources, and a business model which has afforded it growth. This last quarter does not mark the first occasion on which Pioneer has posted a profit. In 2014, and 2012, Pioneer posted a positive EPS for the full year. While the 2016 oil and gas revenues have grown from 2015, the 2014 and 2012 levels were higher. The company's revenue from oil and gas is largely based on market prices. In order to mitigate the market volatility, Pioneer has made efforts to reduce their cost of production, according to their earnin...
1 comment
Read more

CLS STOCK WRITE UP

CLS (CELESTICA) P/E: 15.1 GAAP DILUTED EPS Y-O-Y GROWTH LAST QUARTER: $.14 SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 1.78 DIVIDEND: none Celestica, a spinoff from IBM, manufactures electronics and provides supply chain services for a variety of businesses. The company has successfully improved upon its operating margins and revenue during its last fiscal year. Reporting April 20 th before market open, the company will try to beat Wall street expectations of $.28 and its own guidance of $.24-$.3. Celestica provides services for the communications, consumer, server, and storage industries, as well as working in diversified companies. This wide array of services gives Celestica the opportunity to expand on revenue when one of its segments is lagging. Rather than developing new products to boost revenue, Celestica must rely on increasing customer satisfaction by managing supply chains well for its clients. In order to showcase their services,...
Post a Comment
Read more

GOOG STOCK WRITE UP

GOOG (ALPHABET INC) P/E: 31.7 GAAP DILUTED EPS GROWTH Q4 '15 to Q4 '16: $.50 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 5.8 DIVIDEND: NONE This stock is a new addition to my portfolio. The price-to-earnings multiple is higher than my target price-to-earnings multiple, but I decided to purchase the stock due to its solid year-over-year EPS growth, positive chart alignment, positive cash flow, ubiquitous market presence, and rapid growth in the technology sector. I believe this stock will head much higher, and that its earnings will keep up with the rapid pace of its growth to ensure its stability. Google became a popular product due to its excellent search engine. As a result of its success, with approximately 80.5% of global market share according to a recent survey, Google has built a strong revenue base through its advertising services. However, Google has taken the challenge of expanding its services beyond the search engine field i...
Post a Comment
Read more