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Strategies & Market Trends : Young and Older Folk Portfolio

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From: chowder12/3/2021 6:01:26 AM
1 Recommendation

Recommended By
peterad

   of 21903
 
Re: Watch List Candidate ... CTAS is one of those low yield, high dividend growth companies. It currently has the following:

Yield: 0.88%
1 Year DG: 27%
5 Year DG: 37%
20 year DG: 17%

Dividend Safety Score: 97

Estimated Earnings Date: 12/12/21

If CTAS comes out with a beat and raise I'm gonna git some.

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Cintas (CTAS) Moves 3.5% Higher: Will This Strength Last?

Cintas (CTAS) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price...

By Zacks Equity Research December 3, 2021

This story originally appeared on Zacks
Cintas Corporation (CTAS) shares rallied 3.5% in the last trading session to close at $432.17. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 4.6% loss over the past four weeks.


- Zacks

Cintas’ rally is largely driven by optimism over the company’s strong momentum in its first aid cabinet service, uniform direct sale and fire protection services businesses. Strength across the healthcare and hygiene end markets, backed by healthy demand for its personal protective equipment, bodes well for the company.

This uniform rental company is expected to post quarterly earnings of $2.62 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $1.91 billion, up 8.5% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Cintas, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on CTAS going forward to see if this recent jump can turn into more strength down the road.
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