CTAS CTAS

Name: CTAS Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 31, 2026

Price at analysis: $174.34

Crucible Score

62.3

C+

Quality × Value Composite

KQI — Quality

77.3

B+

Fundamental Quality Index

KVI — Value

44.0

Valuation Attractiveness Index

Crucible Verdict — CTAS

CTAS delivers solid operational quality with an 86 Financial Quality score and 82% earnings beat rate, but trades at a meaningful discount to fair value due to poor diversification metrics dragging down overall performance. The 11% upside to base case reflects the market's concern about concentration risk, making this a quality play for investors willing to accept limited business breadth.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

85.8

Growth Profile

69.4

Moat Durability⚠

81.8

Management Effectiveness⚠

79.2

Diversification & Resilience⚠

45.0

Market Position

72.0

Weakest dimension: Diversification & Resilience (45.0)

◆ KVI Value Dimensions

DCF Margin of Safety

61.9

FCF Yield & Cash Returns

33.3

Relative Valuation

28.0

Growth-Adjusted Value

36.9

Historical Valuation

52.7

Macro Context

42.7

◆ DCF Valuation Scenarios

Bear Case

$131.52

Base Case

$192.87

Bull Case

$278.14

Price at Analysis

$174.34

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$131.52	5.5%	21.0%	9.9%
🟢 Base	$192.87	7.5%	23.0%	9.0%
🟢 Bull	$278.14	9.5%	25.0%	8.3%

Key Assumptions: Revenue growth anchored to 5-year historical CAGR of ~9.8%, with bear assuming macro slowdown to mid-single digits, base at 7.5% reflecting moderate deceleration, and bull at 9.5% sustaining near-historical momentum. Operating margins trend from current 22.8% with bear seeing slight compression to 21%, base holding at 23%, and bull expanding to 25% on scale leverage. WACC derived from CAPM with 5.5% ERP for this stable industrial services business; capex intensity normalized at ~4% of revenue consistent with recent years. Net debt of ~$2.4B applied across all scenarios.

◆ Financial Snapshot

Profitability

Gross Margin50.4%

Operating Margin23.0%

Net Margin17.6%

ROIC25.9%

ROE40.5%

Balance Sheet

Balance SheetD/E: 0.61*, CR: 1.98* (* = TTM)

Cash ConversionFCF/EPS: 0.92x

Capital IntensityCapex/Rev: 4.0%

Altman Z-Score11.28 (Safe)

Piotroski F-Score8/9 (Strong)

Growth

Revenue CAGR9.8% CAGR

Earnings CAGR13.0% CAGR

Growth ConsistencyCV: 0.65

Segment Breadth3/4 growing (75%)

Quarterly TrendMargin↑

Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEO Ownership14.9%

Insider ActivityNeutral

Capital AllocationROIC 25.9% vs WACC 3.0%

Earnings Beat Rate82% (18/22)

◆ Related Companies in Our Universe

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ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 31, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.