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

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

Company Profile

SymbolCTASTXT
Company NameCintas CorporationTextron Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryCommercial Services & SuppliesAerospace & Defense
Market Capitalization74.87 billion USD14.49 billion USD
ExchangeNasdaqGSNYSE
Listing DateAugust 19, 1983February 21, 1973
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CTAS and TXT 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.

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

Historical Performance at a Glance

SymbolCTASTXT
5-Day Price Return-1.89%-1.47%
13-Week Price Return-15.23%0.06%
26-Week Price Return-17.86%4.07%
52-Week Price Return-15.95%-2.15%
Month-to-Date Return-0.04%-1.58%
Year-to-Date Return0.27%3.97%
10-Day Avg. Volume2.54M1.15M
3-Month Avg. Volume2.02M1.47M
3-Month Volatility18.12%21.22%
Beta0.961.00

Profitability

Return on Equity (TTM)

CTAS

40.41%

Commercial Services & Supplies Industry

Max
31.86%
Q3
17.95%
Median
10.20%
Q1
6.64%
Min
-9.69%

CTAS’s Return on Equity of 40.41% 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.

TXT

11.25%

Aerospace & Defense Industry

Max
43.89%
Q3
23.64%
Median
12.98%
Q1
8.07%
Min
-2.55%

TXT’s Return on Equity of 11.25% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

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

Net Profit Margin (TTM)

CTAS

17.54%

Commercial Services & Supplies Industry

Max
17.54%
Q3
10.35%
Median
5.85%
Q1
3.23%
Min
-2.31%

A Net Profit Margin of 17.54% places CTAS in the upper quartile for the Commercial Services & Supplies industry, signifying strong profitability and more effective cost management than most of its peers.

TXT

5.81%

Aerospace & Defense Industry

Max
14.96%
Q3
9.50%
Median
6.59%
Q1
4.45%
Min
1.01%

TXT’s Net Profit Margin of 5.81% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

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

Operating Profit Margin (TTM)

CTAS

22.89%

Commercial Services & Supplies Industry

Max
25.57%
Q3
15.63%
Median
8.06%
Q1
4.76%
Min
-7.48%

An Operating Profit Margin of 22.89% 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.

TXT

5.90%

Aerospace & Defense Industry

Max
17.97%
Q3
12.09%
Median
9.29%
Q1
6.41%
Min
-1.59%

TXT’s Operating Profit Margin of 5.90% is in the lower quartile for the Aerospace & Defense industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

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

Profitability at a Glance

SymbolCTASTXT
Return on Equity (TTM)40.41%11.25%
Return on Assets (TTM)19.17%4.85%
Net Profit Margin (TTM)17.54%5.81%
Operating Profit Margin (TTM)22.89%5.90%
Gross Profit Margin (TTM)50.10%20.62%

Financial Strength

Current Ratio (MRQ)

CTAS

2.24

Commercial Services & Supplies Industry

Max
3.94
Q3
2.24
Median
1.28
Q1
0.91
Min
0.58

CTAS’s Current Ratio of 2.24 aligns with the median group of the Commercial Services & Supplies industry, indicating that its short-term liquidity is in line with its sector peers.

TXT

1.71

Aerospace & Defense Industry

Max
3.37
Q3
2.01
Median
1.22
Q1
1.07
Min
0.68

TXT’s Current Ratio of 1.71 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

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

Debt-to-Equity Ratio (MRQ)

CTAS

0.51

Commercial Services & Supplies Industry

Max
2.24
Q3
1.11
Median
0.73
Q1
0.30
Min
0.00

CTAS’s Debt-to-Equity Ratio of 0.51 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.

TXT

0.50

Aerospace & Defense Industry

Max
1.89
Q3
0.99
Median
0.63
Q1
0.39
Min
0.03

TXT’s Debt-to-Equity Ratio of 0.50 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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

Interest Coverage Ratio (TTM)

CTAS

24.70

Commercial Services & Supplies Industry

Max
24.70
Q3
24.47
Median
9.83
Q1
3.74
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.

TXT

10.72

Aerospace & Defense Industry

Max
29.86
Q3
19.49
Median
7.09
Q1
2.62
Min
-7.63

TXT’s Interest Coverage Ratio of 10.72 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

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

Financial Strength at a Glance

SymbolCTASTXT
Current Ratio (MRQ)2.241.71
Quick Ratio (MRQ)1.880.73
Debt-to-Equity Ratio (MRQ)0.510.50
Interest Coverage Ratio (TTM)24.7010.72

Growth

Revenue Growth

CTAS vs. TXT: 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

CTAS vs. TXT: 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)

CTAS

0.85%

Commercial Services & Supplies Industry

Max
4.46%
Q3
2.38%
Median
1.70%
Q1
0.89%
Min
0.00%

CTAS’s Dividend Yield of 0.85% is in the lower quartile for the Commercial Services & Supplies industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

TXT

0.11%

Aerospace & Defense Industry

Max
2.87%
Q3
1.46%
Median
0.58%
Q1
0.10%
Min
0.00%

TXT’s Dividend Yield of 0.11% is consistent with its peers in the Aerospace & Defense industry, providing a dividend return that is standard for its sector.

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

Dividend Payout Ratio (TTM)

CTAS

34.09%

Commercial Services & Supplies Industry

Max
137.88%
Q3
72.93%
Median
50.54%
Q1
29.39%
Min
0.00%

CTAS’s Dividend Payout Ratio of 34.09% is within the typical range for the Commercial Services & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

TXT

1.81%

Aerospace & Defense Industry

Max
110.40%
Q3
51.46%
Median
20.20%
Q1
4.21%
Min
0.00%

TXT’s Dividend Payout Ratio of 1.81% is in the lower quartile for the Aerospace & Defense industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

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

Dividend at a Glance

SymbolCTASTXT
Dividend Yield (TTM)0.85%0.11%
Dividend Payout Ratio (TTM)34.09%1.81%

Valuation

Price-to-Earnings Ratio (TTM)

CTAS

40.33

Commercial Services & Supplies Industry

Max
57.06
Q3
35.30
Median
21.86
Q1
16.24
Min
6.18

A P/E Ratio of 40.33 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.

TXT

16.95

Aerospace & Defense Industry

Max
94.22
Q3
53.31
Median
32.27
Q1
24.64
Min
14.57

In the lower quartile for the Aerospace & Defense industry, TXT’s P/E Ratio of 16.95 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

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

Price-to-Sales Ratio (TTM)

CTAS

7.07

Commercial Services & Supplies Industry

Max
6.55
Q3
3.15
Median
1.07
Q1
0.68
Min
0.06

With a P/S Ratio of 7.07, 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.

TXT

0.98

Aerospace & Defense Industry

Max
7.20
Q3
3.95
Median
2.35
Q1
1.71
Min
0.32

In the lower quartile for the Aerospace & Defense industry, TXT’s P/S Ratio of 0.98 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

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

Price-to-Book Ratio (MRQ)

CTAS

17.80

Commercial Services & Supplies Industry

Max
6.18
Q3
4.19
Median
2.44
Q1
1.61
Min
0.40

At 17.80, 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.

TXT

2.00

Aerospace & Defense Industry

Max
18.61
Q3
9.58
Median
5.45
Q1
3.11
Min
0.94

TXT’s P/B Ratio of 2.00 is in the lower quartile for the Aerospace & Defense industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

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

Valuation at a Glance

SymbolCTASTXT
Price-to-Earnings Ratio (TTM)40.3316.95
Price-to-Sales Ratio (TTM)7.070.98
Price-to-Book Ratio (MRQ)17.802.00
Price-to-Free Cash Flow Ratio (TTM)44.0416.02