Cintas (CTAS) Upgraded to Buy: Here's Why

27.03.25 17:00 Uhr

Werte in diesem Artikel
Aktien

189,80 EUR -1,55 EUR -0,81%

Indizes

19.278,5 PKT -3,0 PKT -0,02%

17.299,3 PKT -23,7 PKT -0,14%

5.611,9 PKT 30,9 PKT 0,55%

Cintas (CTAS) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.As such, the Zacks rating upgrade for Cintas is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.For Cintas, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.Harnessing the Power of Earnings Estimate RevisionsEmpirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>>.Earnings Estimate Revisions for CintasFor the fiscal year ending May 2025, this uniform rental company is expected to earn $4.32 per share, which is a change of 14% from the year-ago reported number.Analysts have been steadily raising their estimates for Cintas. Over the past three months, the Zacks Consensus Estimate for the company has increased 2.2%.Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of 'buy' and 'sell' ratings for its entire universe of more than 4000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a 'Strong Buy' rating and the next 15% get a 'Buy' rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.You can learn more about the Zacks Rank here >>>The upgrade of Cintas to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cintas Corporation (CTAS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks

In eigener Sache

Übrigens: Cintas und andere US-Aktien sind bei finanzen.net ZERO sogar bis 23 Uhr handelbar (ohne Ordergebühren, zzgl. Spreads). Jetzt kostenlos Depot eröffnen und als Geschenk eine Gratisaktie erhalten.

Ausgewählte Hebelprodukte auf Cintas

Mit Knock-outs können spekulative Anleger überproportional an Kursbewegungen partizipieren. Wählen Sie einfach den gewünschten Hebel und wir zeigen Ihnen passende Open-End Produkte auf Cintas

NameHebelKOEmittent
NameHebelKOEmittent
Wer­bung

Quelle: Zacks

Nachrichten zu Cintas Corp.

Wer­bung

Analysen zu Cintas Corp.

DatumRatingAnalyst
20.07.2018Cintas OverweightBarclays Capital
23.03.2018Cintas HoldStifel, Nicolaus & Co., Inc.
27.09.2017Cintas HoldStifel, Nicolaus & Co., Inc.
21.07.2017Cintas HoldStifel, Nicolaus & Co., Inc.
23.03.2017Cintas OverweightBarclays Capital
DatumRatingAnalyst
20.07.2018Cintas OverweightBarclays Capital
23.03.2018Cintas HoldStifel, Nicolaus & Co., Inc.
27.09.2017Cintas HoldStifel, Nicolaus & Co., Inc.
21.07.2017Cintas HoldStifel, Nicolaus & Co., Inc.
23.03.2017Cintas OverweightBarclays Capital
DatumRatingAnalyst
23.02.2017Cintas HoldDeutsche Bank AG
23.03.2016Cintas Sector PerformRBC Capital Markets
22.12.2015Cintas Equal WeightBarclays Capital
22.12.2015Cintas Sector PerformRBC Capital Markets
25.09.2015Cintas Sector PerformRBC Capital Markets
DatumRatingAnalyst

Keine Analysen im Zeitraum eines Jahres in dieser Kategorie verfügbar.

Eventuell finden Sie Nachrichten die älter als ein Jahr sind im Archiv

Um die Übersicht zu verbessern, haben Sie die Möglichkeit, die Analysen für Cintas Corp. nach folgenden Kriterien zu filtern.

Alle: Alle Empfehlungen

Buy: Kaufempfehlungen wie z.B. "kaufen" oder "buy"
Hold: Halten-Empfehlungen wie z.B. "halten" oder "neutral"
Sell: Verkaufsempfehlungn wie z.B. "verkaufen" oder "reduce"
mehr Analysen