WallStSmart

Cintas Corporation (CTAS)vsDolby Laboratories (DLB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cintas Corporation generates 706% more annual revenue ($10.79B vs $1.34B). DLB leads profitability with a 18.0% profit margin vs 17.6%. DLB appears more attractively valued with a PEG of 2.08. CTAS earns a higher WallStSmart Score of 60/100 (C+).

CTAS

Buy

60

out of 100

Grade: C+

Growth: 6.0Profit: 9.0Value: 4.7Quality: 7.3
Piotroski: 6/9Altman Z: 4.29

DLB

Hold

48

out of 100

Grade: D+

Growth: 2.7Profit: 7.0Value: 7.3Quality: 7.3
Piotroski: 3/9Altman Z: 4.85
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CTASSignificantly Overvalued (-78.1%)

Margin of Safety

-78.1%

Fair Value

$112.48

Current Price

$176.85

$64.37 premium

UndervaluedFair: $112.48Overvalued
DLBSignificantly Overvalued (-311.3%)

Margin of Safety

-311.3%

Fair Value

$16.80

Current Price

$58.64

$41.84 premium

UndervaluedFair: $16.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CTAS4 strengths · Avg: 9.3/10
Return on EquityProfitability
43.4%10/10

Every $100 of equity generates 43 in profit

Altman Z-ScoreHealth
4.2910/10

Safe zone — low bankruptcy risk

Market CapQuality
$70.75B9/10

Large-cap with strong market position

Operating MarginProfitability
23.4%8/10

Strong operational efficiency at 23.4%

DLB3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
4.8510/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.9%8/10

Strong operational efficiency at 20.9%

Areas to Watch

CTAS3 concerns · Avg: 3.3/10
P/E RatioValuation
38.4x4/10

Premium valuation, high expectations priced in

Price/BookValuation
15.2x4/10

Trading at 15.2x book value

PEG RatioValuation
2.922/10

Expensive relative to growth rate

DLB4 concerns · Avg: 2.8/10
PEG RatioValuation
2.084/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.9%2/10

Revenue declined 2.9%

EPS GrowthGrowth
-21.4%2/10

Earnings declined 21.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : CTAS

The strongest argument for CTAS centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 17.6% and operating margin at 23.4%.

Bull Case : DLB

The strongest argument for DLB centers on Altman Z-Score, Price/Book, Operating Margin. Profitability is solid with margins at 18.0% and operating margin at 20.9%.

Bear Case : CTAS

The primary concerns for CTAS are P/E Ratio, Price/Book, PEG Ratio.

Bear Case : DLB

The primary concerns for DLB are PEG Ratio, Piotroski F-Score, Revenue Growth.

Key Dynamics to Monitor

CTAS profiles as a mature stock while DLB is a declining play — different risk/reward profiles.

CTAS carries more volatility with a beta of 0.94 — expect wider price swings.

CTAS is growing revenue faster at 9.3% — sustainability is the question.

CTAS generates stronger free cash flow (425M), providing more financial flexibility.

Bottom Line

CTAS scores higher overall (60/100 vs 48/100), backed by strong 17.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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.

Dolby Laboratories

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Dolby Laboratories, Inc. creates imaging and audio technologies that transform entertainment and communications in the theater, home, work, and mobile devices. The company is headquartered in San Francisco, California.

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