Rollins, Inc. (ROL) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Rollins, Inc. (ROL) Consumer Business Overview

Rollins, Inc. (ROL) is a leading provider of pest and wildlife control services, offering solutions for residential and commercial properties across the United States and internationally. With a strong focus on customer service and a wide range of pest management solutions, Rollins maintains a significant market share in the competitive personal services industry.

What Is the Investment Thesis for ROL?

Rollins, Inc. presents a compelling investment case based on its consistent performance and essential service offerings. With a market capitalization of $17.3B and a P/E ratio of 38.3, the company demonstrates financial stability and growth potential. A key value driver is its robust profit margin of 13.8% and gross margin of 51.8%, indicating efficient operations and pricing power. Ongoing catalysts include the increasing demand for pest control services driven by urbanization and climate change. Potential risks involve regulatory changes and increased competition. Rollins' beta of 0.84 suggests lower volatility compared to the market, making it a noteworthy option for risk-averse investors. The dividend yield of 1.29% provides a steady income stream, further enhancing its investment appeal. The company's established market position and continuous innovation support long-term growth and shareholder value.

Based on FMP financials and quantitative analysis

ROL Key Highlights

Market Cap of $17.3B reflects Rollins' significant presence and investor confidence in the pest control industry.

• P/E Ratio of 38.3 indicates investor willingness to pay a premium for Rollins' consistent earnings and growth prospects.
• Profit Margin of 13.8% demonstrates Rollins' ability to maintain profitability amidst operational costs and competitive pressures.
• Gross Margin of 51.8% showcases Rollins' effective cost management and pricing strategies in delivering pest control services.
• Dividend Yield of 1.29% provides a steady income stream, enhancing its investment appeal.

Who Are ROL's Competitors?

ROL is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are ROL's Key Strengths?

Established brand reputation and long operating history.

• Extensive network of subsidiaries and franchisees.
• Recurring revenue model through long-term service agreements.
• Specialized expertise in pest and wildlife control.

What Are ROL's Weaknesses?

Dependence on the housing market and economic conditions.

• Exposure to regulatory changes and environmental concerns.
• Potential for increased competition from smaller regional players.
• Vulnerability to seasonal fluctuations in pest activity.

What Could Drive ROL Stock Higher?

Increasing urbanization and population growth driving demand for pest control services.

• Rising awareness of hygiene and health concerns related to pests.
• Climate change creating favorable conditions for pest proliferation.
• Potential acquisitions of smaller pest control companies to expand market share.
• Development and launch of innovative and environmentally friendly pest control solutions.

What Are the Key Risks for ROL?

Inconsistent delivery — missed Wall Street EPS estimates in 3 of the last 8 reported quarters.

• Economic downturns leading to reduced consumer spending on pest control services.
• Increased competition from new entrants and existing players in the market.
• Regulatory changes impacting the use of certain pesticides and pest control methods.
• Environmental concerns and pressure to adopt sustainable practices.
• Seasonal fluctuations in pest activity affecting revenue and profitability.

What Are the Growth Opportunities for ROL?

• Expansion into Emerging Markets: Rollins has the opportunity to expand its services into emerging markets where urbanization and economic growth are driving increased demand for pest control. By leveraging its expertise and established brand, Rollins can capture a significant share of these rapidly growing markets. This expansion could contribute substantially to revenue growth over the next 5-10 years, with market sizes potentially reaching billions of dollars.
• Development of Innovative Pest Control Solutions: Investing in research and development to create innovative and environmentally friendly pest control solutions can provide Rollins with a competitive edge. As consumers become more environmentally conscious, the demand for sustainable pest control methods is expected to increase. Rollins can capitalize on this trend by developing and marketing eco-friendly products and services, potentially capturing a larger market share.
• Strategic Acquisitions: Rollins can pursue strategic acquisitions of smaller pest control companies to expand its geographic footprint and service offerings. By acquiring companies with complementary strengths, Rollins can enhance its market position and achieve economies of scale. This strategy can lead to increased revenue and profitability, with potential acquisitions adding significant value to the company over the next 3-5 years.
• Enhancing Digital Marketing and Customer Engagement: Investing in digital marketing and customer engagement strategies can help Rollins attract new customers and retain existing ones. By leveraging online channels and social media, Rollins can increase brand awareness and generate leads. Personalized marketing campaigns and customer loyalty programs can further enhance customer satisfaction and drive repeat business, contributing to long-term revenue growth.
• Expanding Commercial Services: Rollins can focus on expanding its commercial pest control services to cater to a wider range of industries, such as healthcare, foodservice, and logistics. By offering tailored solutions to meet the specific needs of these industries, Rollins can increase its market share and revenue. This expansion can be achieved through targeted marketing efforts and strategic partnerships with industry associations, leading to sustained growth in the commercial sector.

What Are ROL's Competitive Advantages?

• Established brand reputation and long operating history.
• Extensive network of subsidiaries and franchisees.
• Recurring revenue model through long-term service agreements.
• Specialized expertise in pest and wildlife control.
• Strong customer relationships and high customer retention rates.

What Does ROL Do?

Rollins, Inc., incorporated in 1948 and headquartered in Atlanta, Georgia, has evolved into a prominent player in the pest and wildlife control services industry. The company's core business revolves around protecting residential and commercial properties from various pests, including rodents, insects, and wildlife. Rollins offers a comprehensive suite of services, including general pest control, termite protection (both traditional and baiting), and ancillary services. These services cater to a diverse clientele, ranging from individual homeowners to large commercial enterprises across sectors like healthcare, foodservice, and logistics. Rollins operates through a network of subsidiaries and franchisees, extending its reach both domestically and internationally. The company's commitment to innovation and customer satisfaction has enabled it to maintain a competitive edge in a fragmented market. Rollins continues to adapt its service offerings to meet evolving customer needs and regulatory requirements, solidifying its position as a trusted provider of pest management solutions. The company's long-standing history and established brand reputation contribute to its sustained success in the consumer cyclical sector.

What Products and Services Does ROL Offer?

• Provides pest control services for residential properties.
• Offers pest control solutions for commercial properties.
• Specializes in termite protection, including traditional and baiting methods.
• Provides wildlife control services.
• Serves clients directly and through franchisee operations.
• Offers ancillary services related to pest and wildlife control.

How Does ROL Make Money?

• Generates revenue through direct service contracts with residential and commercial customers.
• Earns income from franchise operations through fees and royalties.
• Offers a range of pest control services, including general pest control, termite protection, and wildlife control.
• Focuses on recurring revenue through long-term service agreements.

What Industry Does ROL Operate In?

Rollins, Inc. operates within the personal products and services industry, which is part of the broader consumer cyclical sector. The industry is characterized by steady demand, driven by factors such as urbanization, climate change, and increasing awareness of hygiene and health. The competitive landscape includes both large national players and smaller regional firms. Rollins' established brand, extensive service offerings, and wide geographic reach provide a competitive advantage. The industry is expected to continue growing, fueled by increasing disposable incomes and the need for pest control services in both residential and commercial settings.

Who Are ROL's Key Customers?

• Residential homeowners seeking protection from common pests.
• Commercial businesses across various industries, including healthcare, foodservice, and logistics.
• Franchisees operating under the Rollins brand.
• Property management companies responsible for maintaining pest-free environments.

Rollins, Inc. Financial Trajectory

Rollins, Inc. (ROL) reported $1.08B in revenue for Q2 2026, reflecting 19.0% growth compared to the prior quarter. The company recorded net income of $143.9M, with diluted EPS of $0.30. Quarter-over-quarter revenue has been mixed, typical for a large-cap company operating in Consumer Cyclical. Across the four most recent quarters, ROL averaged $0.28 in diluted EPS.

Company Profile

Rollins, Inc. operates in the Environmental Services industry within the Industrials sector. It is headquartered in Atlanta, US. The company is led by CEO Jerry E. Gahlhoff Jr.. ROL has traded publicly since 1980.

How Rollins, Inc. Is Valued

Rollins, Inc. carries a market capitalization of $17.3B, placing it in the large-cap category. Relative to its peer group, ROL's quantitative score of 76/100 is above the peer average of 66/100.

Return on equity for Rollins, Inc. stands at 36.9%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 16.7%, showing how much profit it generates from its asset base. ROL trades at a trailing price-to-earnings ratio of 38.33, above the Consumer Cyclical sector average of ~34x. Its free cash flow yield is 3.1%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.65 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 2.6%, the inverse of the P/E and a quick read on earnings relative to price.

Rollins, Inc.'s Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 7.55 places it in the safe zone, indicating low near-term bankruptcy risk.

Rollins, Inc. has missed Wall Street's EPS estimate in 3 of its last 8 reported quarters — a mixed record worth weighing. Reported results have landed about 0.6% below estimates on average.

Wall Street analysts project Rollins, Inc. revenue of about $4.09B for fiscal 2026, with EPS near $1.15. The estimate reflects 12 contributing analysts.

Over the past six months, Rollins, Inc. insiders filed 14 SEC Form 4 transactions — 3 sales and 11 purchases. On net that is roughly 30K shares acquired (about $481K) — insiders putting money in tends to read as conviction.

ROL Financials

ROL Latest News

ROL Analyst Consensus

ROL MoonshotScore

Rollins, Inc. Consumer Cyclical Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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