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UniFirst Stock Crumbles on Billion-Dollar Buyout Blunder

Cintas was in talks to buy the company for $5.3 billion

Deputy Editor
Mar 25, 2025 at 10:56 AM
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Uniform rental stock UniFirst Corp (NYSE:UNF) is plummeting today, down 13.5% at $170.89 at last glance, after Cintas (CTAS) terminated its buyout offer. The acquisition proposal had valued UNF at $275 per share in cash for a total of $5.3 billion, but the companies were unable to come to an agreement. In response, UBS slashed its price target on UniFirst to $194 from $235. 

UNF hit a low of $162 earlier this morning, its lowest level since January. Before today's bear gap, the stock had been on a steady downtrend since its Jan. 7 three-year high of $243.70. Still, the stock is fighting for survival at its year-to-date breakeven mark. 

UniFirst's latest earnings report is coming up before the open on Wednesday, April 2. The stock finished higher after three of its last four reports, though broader-market volatility will likely have an impact this time around, with President Trump's tariff deadline looming. Over the last two years, the stock has averaged a 6.4% move, regardless of direction. This time around, the options pits are pricing in a larger-than-usual, 8.4% swing. 

 
 

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