Cintas Earnings: Company Finishes Fiscal 2024 on a Strong Note
Wide-moat Cintas reported fiscal 2024 fourth-quarter results (ended May), with solid growth across all three business segments. We are raising our discounted cash flow-derived fair value estimate to $520 per share from $480 due in part to lifting our long-term (stage 2) EBI growth rate assumption in our DCF model. Note that newly established fiscal 2025 revenue and EPS guidance was largely in line with our model forecasts. However, we think the stock is rich relative to our long-term free cash flow forecasts.