Latest Ratios: P/E Ratio 40.5x · EV/EBITDA 25.8x · ROE 40.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $71.3B | $92.9B | $70.1B | $48.8B | $42.0B | $38.1B | $26.5B | $24.3B | $20.0B | $13.6B | $10.4B |
| Enterprise Value | $73.7B | $95.3B | $72.4B | $51.4B | $44.9B | $40.3B | $29.1B | $27.0B | $22.4B | $16.5B | $11.6B |
| P/E Ratio → | 40.51 | 51.48 | 44.72 | 36.32 | 34.22 | 34.53 | 30.54 | 27.46 | 23.73 | 28.61 | 15.29 |
| P/S Ratio | 6.90 | 8.99 | 7.30 | 5.54 | 5.35 | 5.35 | 3.75 | 3.52 | 3.09 | 2.55 | 2.12 |
| P/B Ratio | 15.61 | 19.84 | 16.24 | 12.63 | 12.71 | 10.33 | 8.20 | 8.09 | 6.63 | 5.89 | 5.66 |
| P/FCF | 40.59 | 52.89 | 41.96 | 38.53 | 32.41 | 31.28 | 25.00 | 30.70 | 28.90 | 27.66 | 54.73 |
| P/OCF | 32.93 | 42.91 | 33.70 | 30.55 | 27.34 | 27.99 | 20.55 | 22.75 | 20.76 | 17.76 | 22.38 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 9.22 | 7.54 | 5.83 | 5.72 | 5.66 | 4.11 | 3.92 | 3.46 | 3.11 | 2.36 |
| EV / EBITDA | 25.83 | 33.40 | 28.83 | 23.22 | 22.60 | 22.75 | 18.87 | 18.11 | 18.27 | 17.08 | 12.25 |
| EV / EBIT | 31.24 | 40.30 | 34.79 | 28.46 | 28.29 | 29.04 | 25.00 | 22.46 | 23.56 | 21.36 | 15.05 |
| EV / FCF | — | 54.25 | 43.35 | 40.54 | 34.63 | 33.11 | 27.42 | 34.18 | 32.36 | 33.70 | 60.82 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 50.0% | 50.0% | 48.8% | 47.3% | 46.2% | 46.6% | 45.6% | 45.4% | 44.9% | 44.7% | 43.4% |
| Operating Margin | 22.8% | 22.8% | 21.6% | 20.4% | 20.2% | 19.5% | 16.4% | 16.4% | 14.7% | 14.5% | 15.9% |
| Net Profit Margin | 17.5% | 17.5% | 16.4% | 15.3% | 15.7% | 15.6% | 12.4% | 12.8% | 13.0% | 9.0% | 14.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 40.3% | 40.3% | 38.4% | 37.6% | 35.3% | 32.1% | 28.1% | 29.4% | 31.7% | 23.2% | 36.7% |
| ROA | 18.8% | 18.8% | 17.2% | 15.6% | 14.6% | 13.4% | 11.2% | 12.0% | 11.9% | 8.5% | 16.5% |
| ROIC | 25.8% | 25.8% | 23.8% | 21.5% | 19.7% | 17.8% | 15.1% | 15.2% | 13.3% | 14.0% | 20.2% |
| ROCE | 29.8% | 29.8% | 27.1% | 24.7% | 23.3% | 20.2% | 17.1% | 17.7% | 15.5% | 16.6% | 22.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.57 | 0.57 | 0.62 | 0.69 | 0.90 | 0.74 | 0.84 | 0.95 | 0.84 | 1.36 | 0.71 |
| Debt / EBITDA | 0.93 | 0.93 | 1.06 | 1.21 | 1.49 | 1.53 | 1.75 | 1.91 | 2.07 | 3.24 | 1.37 |
| Net Debt / Equity | — | 0.51 | 0.54 | 0.66 | 0.87 | 0.60 | 0.79 | 0.92 | 0.79 | 1.29 | 0.63 |
| Net Debt / EBITDA | 0.84 | 0.84 | 0.93 | 1.15 | 1.45 | 1.25 | 1.66 | 1.84 | 1.95 | 3.06 | 1.23 |
| Debt / FCF | — | 1.36 | 1.39 | 2.01 | 2.22 | 1.83 | 2.41 | 3.48 | 3.46 | 6.04 | 6.09 |
| Interest Coverage | 23.39 | 23.39 | 20.66 | 16.22 | 17.87 | 14.13 | 11.04 | 11.84 | 8.63 | 8.94 | 11.93 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.09 | 2.09 | 1.12 | 1.49 | 1.14 | 1.01 | 1.65 | 1.23 | 1.64 | 1.17 | 1.29 |
| Quick Ratio | 1.82 | 1.82 | 0.90 | 1.08 | 0.81 | 0.76 | 1.19 | 0.93 | 1.28 | 0.92 | 0.98 |
| Cash Ratio | 0.16 | 0.16 | 0.19 | 0.10 | 0.06 | 0.26 | 0.16 | 0.09 | 0.18 | 0.17 | 0.26 |
| Asset Turnover | — | 1.05 | 1.01 | 1.00 | 0.93 | 0.83 | 0.89 | 0.90 | 0.91 | 0.76 | 1.16 |
| Inventory Turnover | 11.55 | 11.55 | 11.97 | 9.16 | 8.94 | 7.89 | 9.42 | 11.25 | 12.73 | 10.58 | 11.13 |
| Days Sales Outstanding | — | 50.03 | 47.32 | 47.74 | 47.77 | 47.39 | 44.84 | 48.59 | 46.45 | 53.50 | 40.79 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.8% | 0.7% | 0.8% | 0.9% | 0.9% | 1.2% | 1.0% | 0.9% | 0.9% | 1.0% | 1.1% |
| Payout Ratio | 33.7% | 33.7% | 33.8% | 33.4% | 30.4% | 40.6% | 30.6% | 24.9% | 20.8% | 29.6% | 16.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.5% | 1.9% | 2.2% | 2.8% | 2.9% | 2.9% | 3.3% | 3.6% | 4.2% | 3.5% | 6.5% |
| FCF Yield | 2.5% | 1.9% | 2.4% | 2.6% | 3.1% | 3.2% | 4.0% | 3.3% | 3.5% | 3.6% | 1.8% |
| Buyback Yield | 1.3% | 1.0% | 1.0% | 0.8% | 3.6% | 1.5% | 1.8% | 4.2% | 0.6% | 0.2% | 7.5% |
| Total Shareholder Yield | 2.1% | 1.7% | 1.8% | 1.7% | 4.5% | 2.6% | 2.8% | 5.1% | 1.5% | 1.2% | 8.6% |
| Shares Outstanding | — | $410M | $413M | $414M | $422M | $431M | $428M | $438M | $439M | $431M | $440M |
Valuation multiple compression risk
According to current market data, CTAS trades at a P/E of 39.07, which represents a significant premium compared to peers like ABM Industries, suggesting that investors are pricing in sustained long-term margin expansion and superior execution capabilities within the North American industrial services market.
The forward P/E of 35.11 implies that the market expects continued double-digit earnings growth, likely driven by the company's successful cross-selling of higher-margin compliance services. However, this valuation level warrants caution, as any deceleration in organic growth or failure to maintain current operating margins could lead to significant multiple compression.
Based on reported figures, CTAS has maintained a stable ROIC trend between 5.6% and 6.7% over the last ten quarters, indicating that the company is effectively deploying capital into its route-dense infrastructure to generate consistent returns that exceed the cost of capital for industrial service providers.
While the ROIC appears modest in absolute terms, it reflects the heavy capital intensity of the laundry and facility services model. The stability of these returns suggests that management's tuck-in acquisition strategy is successfully integrating into the existing network without diluting the overall efficiency of the asset base.
As reported in financial statements, the cash conversion cycle has fluctuated between 45 and 60 days over the past ten quarters, revealing that while Cintas maintains a strong market position, its working capital efficiency remains sensitive to inventory management and the timing of customer payments.
The variability in the CCC suggests that the company's operational efficiency is not yet fully optimized, likely due to the complexities of managing a massive, decentralized inventory of uniforms and facility supplies. Investors should monitor whether the recent implementation of digital routing and inventory systems can sustainably compress these cycles.
According to recent balance sheet filings, Cintas maintains a debt-to-EBITDA ratio of approximately 3.70, which, when combined with an interest coverage ratio exceeding 23x, indicates a highly comfortable debt service profile that provides significant headroom for continued strategic investments or opportunistic capital allocation.
This conservative leverage profile is a key differentiator compared to more highly levered peers in the industrial services sector. It suggests that the company is well-positioned to navigate potential economic downturns without the need for restrictive financing, thereby preserving its ability to pursue growth even in tighter credit environments.
The P/E ratio is frequently misapplied to Cintas because it fails to account for the significant non-cash amortization of 'Merchandise in Service,' which artificially depresses reported earnings and obscures the true cash-generating power of the company's recurring, contract-based business model.
Analysts should instead focus on EV/EBITDA or P/FCF to better understand the underlying cash flow generation, as these metrics normalize for the accounting treatment of capitalized garment assets. Relying solely on P/E may lead to an inaccurate assessment of the company's valuation relative to its actual economic performance.
Includes 30+ ratios · 30 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying CTAS stock.
Cintas Corporation's current P/E ratio is 40.5x. The historical average is 28.3x. This places it at the 90th percentile of its historical range.
Cintas Corporation's current EV/EBITDA is 25.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.8x.
Cintas Corporation's return on equity (ROE) is 40.3%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 21.9%.
Based on historical data, Cintas Corporation is trading at a P/E of 40.5x. This is at the 90th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Cintas Corporation's current dividend yield is 0.84% with a payout ratio of 33.7%.
Cintas Corporation has 50.0% gross margin and 22.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Cintas Corporation's Debt/EBITDA ratio is 0.9x, indicating low leverage. A ratio below 2x is generally considered financially healthy.