WallStSmart

Cintas Corporation (CTAS)vsLegalZoom.com Inc (LZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cintas Corporation generates 1328% more annual revenue ($10.79B vs $756.04M). CTAS leads profitability with a 17.6% profit margin vs 2.0%. CTAS trades at a lower P/E of 38.4x. 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

LZ

Hold

39

out of 100

Grade: F

Growth: 5.3Profit: 5.0Value: 3.0Quality: 3.8
Piotroski: 4/9Altman Z: -1.72
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
LZSignificantly Overvalued (-1216.7%)

Margin of Safety

-1216.7%

Fair Value

$0.54

Current Price

$5.93

$5.39 premium

UndervaluedFair: $0.54Overvalued

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%

LZ1 strengths · Avg: 8.0/10
Revenue GrowthGrowth
17.7%8/10

17.7% revenue growth

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

LZ4 concerns · Avg: 2.5/10
Market CapQuality
$1.06B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

P/E RatioValuation
74.8x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-57.9%2/10

Earnings declined 57.9%

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 : LZ

The strongest argument for LZ centers on Revenue Growth. Revenue growth of 17.7% demonstrates continued momentum.

Bear Case : CTAS

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

Bear Case : LZ

The primary concerns for LZ are Market Cap, Profit Margin, P/E Ratio. A P/E of 74.8x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

CTAS profiles as a mature stock while LZ is a growth play — different risk/reward profiles.

LZ carries more volatility with a beta of 1.25 — expect wider price swings.

LZ is growing revenue faster at 17.7% — sustainability is the question.

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

Bottom Line

CTAS scores higher overall (60/100 vs 39/100), 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.

LegalZoom.com Inc

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

LegalZoom.com, Inc. operates an online platform for legal and compliance solutions in the United States. The company is headquartered in Glendale, California.

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