WallStSmart

ABM Industries Incorporated (ABM)vsCintas Corporation (CTAS)

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Smart Verdict

WallStSmart Research — data-driven comparison

Cintas Corporation generates 26% more annual revenue ($11.56B vs $9.15B). CTAS leads profitability with a 17.8% profit margin vs 1.8%. ABM appears more attractively valued with a PEG of 2.25. CTAS earns a higher WallStSmart Score of 62/100 (C+).

ABM

Buy

55

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 5.3Quality: 5.5
Piotroski: 4/9Altman Z: 2.57

CTAS

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 9.0Value: 2.7Quality: 7.0
Piotroski: 6/9Altman Z: 4.33
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ABMUndervalued (+3.3%)

Margin of Safety

+3.3%

Fair Value

$48.34

Current Price

$53.93

$5.59 discount

UndervaluedFair: $48.34Overvalued
CTASSignificantly Overvalued (-30.3%)

Margin of Safety

-30.3%

Fair Value

$153.72

Current Price

$212.81

$59.09 premium

UndervaluedFair: $153.72Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ABM2 strengths · Avg: 8.0/10
Price/BookValuation
1.8x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.6%8/10

Earnings expanding 25.6% YoY

CTAS4 strengths · Avg: 9.3/10
Return on EquityProfitability
39.6%10/10

Every $100 of equity generates 40 in profit

Altman Z-ScoreHealth
4.3310/10

Safe zone — low bankruptcy risk

Market CapQuality
$84.30B9/10

Large-cap with strong market position

Operating MarginProfitability
24.1%8/10

Strong operational efficiency at 24.1%

Areas to Watch

ABM4 concerns · Avg: 3.5/10
PEG RatioValuation
2.254/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

Profit MarginProfitability
1.8%3/10

1.8% margin — thin

Operating MarginProfitability
4.3%3/10

Operating margin of 4.3%

CTAS3 concerns · Avg: 2.7/10
Price/BookValuation
16.3x4/10

Trading at 16.3x book value

PEG RatioValuation
3.142/10

Expensive relative to growth rate

P/E RatioValuation
41.9x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : ABM

The strongest argument for ABM centers on Price/Book, EPS Growth.

Bull Case : CTAS

The strongest argument for CTAS centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 17.8% and operating margin at 24.1%. Revenue growth of 10.9% demonstrates continued momentum.

Bear Case : ABM

The primary concerns for ABM are PEG Ratio, Revenue Growth, Profit Margin. Thin 1.8% margins leave little buffer for downturns.

Bear Case : CTAS

The primary concerns for CTAS are Price/Book, PEG Ratio, P/E Ratio. A P/E of 41.9x leaves little room for execution misses.

Key Dynamics to Monitor

ABM profiles as a value stock while CTAS is a mature play — different risk/reward profiles.

CTAS carries more volatility with a beta of 0.92 — expect wider price swings.

CTAS is growing revenue faster at 10.9% — sustainability is the question.

CTAS generates stronger free cash flow (465M), providing more financial flexibility.

Bottom Line

CTAS scores higher overall (62/100 vs 55/100), backed by strong 17.8% margins and 10.9% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

ABM Industries Incorporated

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

ABM Industries Incorporated provides integrated facility solutions in the United States and internationally. The company is headquartered in New York, New York.

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Cintas Corporation

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Cintas Corporation is an American corporation headquartered in Cincinnati, Ohio, which provides a range of products and services to businesses including uniforms, mats, mops, cleaning and restroom supplies, first aid and safety products, fire extinguishers and testing, and safety courses.

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