Cintas Q4 Likely to Beat Estimates Amid Headwinds, RBC Says

MT Newswires Live05-29

Cintas (CTAS) is expected to beat fiscal Q4 estimates amid headwinds from higher energy costs, RBC Capital Markets said in a Thursday note.

The report said incremental margins in the low-to-mid 30% range can offset headwinds from energy costs and some 8% organic growth despite tougher year-over-year comparisons.

"Strong momentum should drive the upper end of FY27 guidance above our and consensus estimates," the note said.

On the UniFirst (UNF) acquisition, the note said deal closing is highly probable without requiring branch divestitures.

RBC has a sector perform rating and $206 price target on Cintas.

Price: 172.55, Change: -0.52, Percent Change: -0.30

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