Cintas Corporation designs, manufactures and implements corporate identity uniform programs, and provides entrance mats, restroom supplies, first aid, safety and fire protection products and services. The company was founded in 1968 and is based in Cincinnati, Ohio.
CTAS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Cintas Corp. To summarize, we found that Cintas Corp ranked in the 40th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 36.67%. As for the metrics that stood out in our discounted cash flow analysis of Cintas Corp, consider:
The company has produced more trailing twelve month cash flow than 86.73% of its sector Industrials.
The business' balance sheet reveals debt to be 9% of the company's capital (with equity being the remaining amount). Approximately only 23.33% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
CTAS's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 44.97% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ALLE, AME, HEI, LMT, and MRCY can be thought of as valuation peers to CTAS, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.