Seek Returns logo

CMI vs. CTAS: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at CMI and CTAS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolCMICTAS
Company NameCummins Inc.Cintas Corporation
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryCommercial Services & Supplies
Market Capitalization58.51 billion USD82.30 billion USD
ExchangeNYSENasdaqGS
Listing DateFebruary 21, 1973August 19, 1983
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CMI and CTAS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CMI vs. CTAS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCMICTAS
5-Day Price Return2.56%2.61%
13-Week Price Return28.83%-7.90%
26-Week Price Return31.29%0.27%
52-Week Price Return31.15%1.44%
Month-to-Date Return0.54%-2.27%
Year-to-Date Return21.82%12.35%
10-Day Avg. Volume0.96M2.47M
3-Month Avg. Volume0.84M1.67M
3-Month Volatility21.00%18.58%
Beta1.131.00

Profitability

Return on Equity (TTM)

CMI

27.17%

Machinery Industry

Max
33.68%
Q3
20.05%
Median
12.37%
Q1
8.67%
Min
-7.69%

In the upper quartile for the Machinery industry, CMI’s Return on Equity of 27.17% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

CTAS

41.21%

Commercial Services & Supplies Industry

Max
31.93%
Q3
16.86%
Median
10.28%
Q1
6.63%
Min
0.71%

CTAS’s Return on Equity of 41.21% is exceptionally high, placing it well beyond the typical range for the Commercial Services & Supplies industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

CMI vs. CTAS: A comparison of their Return on Equity (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Net Profit Margin (TTM)

CMI

8.72%

Machinery Industry

Max
19.72%
Q3
11.07%
Median
7.62%
Q1
5.05%
Min
-1.52%

CMI’s Net Profit Margin of 8.72% is aligned with the median group of its peers in the Machinery industry. This indicates its ability to convert revenue into profit is typical for the sector.

CTAS

17.53%

Commercial Services & Supplies Industry

Max
16.98%
Q3
9.05%
Median
5.35%
Q1
3.42%
Min
-2.31%

CTAS’s Net Profit Margin of 17.53% is exceptionally high, placing it well beyond the typical range for the Commercial Services & Supplies industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

CMI vs. CTAS: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Operating Profit Margin (TTM)

CMI

12.28%

Machinery Industry

Max
26.63%
Q3
15.99%
Median
11.27%
Q1
7.72%
Min
-0.51%

CMI’s Operating Profit Margin of 12.28% is around the midpoint for the Machinery industry, indicating that its efficiency in managing core business operations is typical for the sector.

CTAS

22.82%

Commercial Services & Supplies Industry

Max
23.33%
Q3
12.51%
Median
8.33%
Q1
4.45%
Min
-2.90%

An Operating Profit Margin of 22.82% places CTAS in the upper quartile for the Commercial Services & Supplies industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CMI vs. CTAS: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Profitability at a Glance

SymbolCMICTAS
Return on Equity (TTM)27.17%41.21%
Return on Assets (TTM)9.02%19.14%
Net Profit Margin (TTM)8.72%17.53%
Operating Profit Margin (TTM)12.28%22.82%
Gross Profit Margin (TTM)25.96%50.04%

Financial Strength

Current Ratio (MRQ)

CMI

1.64

Machinery Industry

Max
3.13
Q3
2.12
Median
1.72
Q1
1.34
Min
0.77

CMI’s Current Ratio of 1.64 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

CTAS

2.09

Commercial Services & Supplies Industry

Max
3.73
Q3
2.13
Median
1.31
Q1
0.91
Min
0.59

CTAS’s Current Ratio of 2.09 aligns with the median group of the Commercial Services & Supplies industry, indicating that its short-term liquidity is in line with its sector peers.

CMI vs. CTAS: A comparison of their Current Ratio (MRQ) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CMI

0.69

Machinery Industry

Max
1.56
Q3
0.79
Median
0.44
Q1
0.27
Min
0.00

CMI’s Debt-to-Equity Ratio of 0.69 is typical for the Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CTAS

0.52

Commercial Services & Supplies Industry

Max
2.24
Q3
1.14
Median
0.76
Q1
0.36
Min
0.00

CTAS’s Debt-to-Equity Ratio of 0.52 is typical for the Commercial Services & Supplies industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CMI vs. CTAS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Interest Coverage Ratio (TTM)

CMI

--

Machinery Industry

Max
81.58
Q3
37.68
Median
13.76
Q1
7.97
Min
-1.43

Interest Coverage Ratio data for CMI is currently unavailable.

CTAS

24.70

Commercial Services & Supplies Industry

Max
24.70
Q3
13.44
Median
9.06
Q1
3.42
Min
-10.97

CTAS’s Interest Coverage Ratio of 24.70 is in the upper quartile for the Commercial Services & Supplies industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

CMI vs. CTAS: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Financial Strength at a Glance

SymbolCMICTAS
Current Ratio (MRQ)1.642.09
Quick Ratio (MRQ)0.871.71
Debt-to-Equity Ratio (MRQ)0.690.52
Interest Coverage Ratio (TTM)--24.70

Growth

Revenue Growth

CMI vs. CTAS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CMI vs. CTAS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CMI

1.73%

Machinery Industry

Max
4.55%
Q3
2.66%
Median
1.90%
Q1
1.23%
Min
0.00%

CMI’s Dividend Yield of 1.73% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

CTAS

0.75%

Commercial Services & Supplies Industry

Max
3.65%
Q3
2.43%
Median
1.58%
Q1
0.74%
Min
0.00%

CTAS’s Dividend Yield of 0.75% is consistent with its peers in the Commercial Services & Supplies industry, providing a dividend return that is standard for its sector.

CMI vs. CTAS: A comparison of their Dividend Yield (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Dividend Payout Ratio (TTM)

CMI

34.07%

Machinery Industry

Max
198.34%
Q3
101.42%
Median
62.79%
Q1
29.85%
Min
0.00%

CMI’s Dividend Payout Ratio of 34.07% is within the typical range for the Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

CTAS

33.75%

Commercial Services & Supplies Industry

Max
137.88%
Q3
73.07%
Median
44.79%
Q1
27.66%
Min
0.00%

CTAS’s Dividend Payout Ratio of 33.75% is within the typical range for the Commercial Services & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

CMI vs. CTAS: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Dividend at a Glance

SymbolCMICTAS
Dividend Yield (TTM)1.73%0.75%
Dividend Payout Ratio (TTM)34.07%33.75%

Valuation

Price-to-Earnings Ratio (TTM)

CMI

19.75

Machinery Industry

Max
47.95
Q3
30.11
Median
22.35
Q1
16.56
Min
6.48

CMI’s P/E Ratio of 19.75 is within the middle range for the Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

CTAS

45.27

Commercial Services & Supplies Industry

Max
57.87
Q3
33.40
Median
23.56
Q1
15.28
Min
6.56

A P/E Ratio of 45.27 places CTAS in the upper quartile for the Commercial Services & Supplies industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

CMI vs. CTAS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Price-to-Sales Ratio (TTM)

CMI

1.72

Machinery Industry

Max
4.97
Q3
2.76
Median
1.65
Q1
1.04
Min
0.04

CMI’s P/S Ratio of 1.72 aligns with the market consensus for the Machinery industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CTAS

7.94

Commercial Services & Supplies Industry

Max
4.84
Q3
2.58
Median
1.09
Q1
0.62
Min
0.06

With a P/S Ratio of 7.94, CTAS trades at a valuation that eclipses even the highest in the Commercial Services & Supplies industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

CMI vs. CTAS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Price-to-Book Ratio (MRQ)

CMI

3.83

Machinery Industry

Max
7.29
Q3
4.06
Median
2.67
Q1
1.54
Min
0.52

CMI’s P/B Ratio of 3.83 is within the conventional range for the Machinery industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

CTAS

19.50

Commercial Services & Supplies Industry

Max
6.40
Q3
3.97
Median
2.44
Q1
1.60
Min
0.40

At 19.50, CTAS’s P/B Ratio is at an extreme premium to the Commercial Services & Supplies industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

CMI vs. CTAS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Commercial Services & Supplies industry benchmarks.

Valuation at a Glance

SymbolCMICTAS
Price-to-Earnings Ratio (TTM)19.7545.27
Price-to-Sales Ratio (TTM)1.727.94
Price-to-Book Ratio (MRQ)3.8319.50
Price-to-Free Cash Flow Ratio (TTM)31.9646.70