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Rollins (ROL) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates
ZACKS· 2024-07-26 01:31
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Revenues- Commercial: $287.77 million versus the four-analyst average estimate of $285.84 million. The reported number represents a year-over-year change of +10.7%. Revenues- Termite completions, bait monitoring, & renewals: $186.02 million versus the four-analyst average ...
Rollins(ROL) - 2024 Q2 - Quarterly Report
2024-07-25 20:10
PART I FINANCIAL INFORMATION [Financial Statements](index=3&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS) This section presents Rollins, Inc.'s unaudited condensed consolidated financial statements for Q2 and H1 2024, including statements of financial position, income, cash flows, and related notes [Condensed Consolidated Statements of Financial Position](index=3&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20FINANCIAL%20POSITION) | (in thousands) | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Current Assets** | $474,292 | $406,639 | | **Total Assets** | **$2,766,502** | **$2,595,460** | | **Total Current Liabilities** | $609,950 | $576,689 | | **Total Liabilities** | $1,530,444 | $1,439,893 | | **Total Stockholders' Equity** | $1,236,058 | $1,155,567 | | **Total Liabilities and Stockholders' Equity** | **$2,766,502** | **$2,595,460** | - Total assets increased to **$2.77 billion** as of June 30, 2024, from **$2.60 billion** at the end of 2023, primarily driven by increases in Goodwill and Operating lease right-of-use assets[24](index=24&type=chunk) [Condensed Consolidated Statements of Income](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20INCOME) | (in thousands except per share data) | Three Months Ended June 30, 2024 | Three Months Ended June 30, 2023 | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $891,920 | $820,750 | $1,640,269 | $1,478,765 | | **Operating Income** | $182,377 | $154,789 | $314,801 | $267,029 | | **Net Income** | $129,397 | $110,143 | $223,791 | $198,377 | | **Net Income Per Share - Diluted** | $0.27 | $0.22 | $0.46 | $0.40 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) | (in thousands) | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $272,548 | $248,186 | | **Net cash used in investing activities** | ($93,621) | ($331,622) | | **Net cash (used in) provided by financing activities** | ($173,886) | $140,195 | | **Net increase in cash and cash equivalents** | $2,872 | $59,401 | - Cash used in investing activities decreased significantly in the first six months of 2024 to **$93.6 million** from **$331.6 million** in the prior year, primarily due to lower cash paid for acquisitions (**$81.7 million** in 2024 vs. **$327.9 million** in 2023)[45](index=45&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=NOTES%20TO%20CONDENSED%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) - The company completed **26 acquisitions** during the first six months of 2024, with total preliminary consideration of **$92.2 million**[50](index=50&type=chunk) - The valuation for the Fox Pest Control acquisition, which occurred on April 1, 2023, was finalized as of March 31, 2024, with a total purchase price of **$339.5 million**, resulting in **$188.2 million** of goodwill and **$118.0 million** of customer contracts[51](index=51&type=chunk)[72](index=72&type=chunk)[52](index=52&type=chunk) | (in thousands) | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | **Residential revenue** | $737,752 | $666,844 | | **Commercial revenue** | $545,884 | $493,607 | | **Termite completions, bait monitoring, & renewals** | $338,084 | $302,529 | | **Total Revenues** | **$1,640,269** | **$1,478,765** | - As of June 30, 2024, the company had **$504.0 million** in outstanding borrowings under its **$1.0 billion** revolving credit facility, with an effective interest rate of **6.4%**[86](index=86&type=chunk)[88](index=88&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=19&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Management discusses Q2 and H1 2024 financial results, emphasizing strong revenue growth, margin expansion, profitability, liquidity, and non-GAAP reconciliations [Results of Operations](index=20&type=section&id=Results%20of%20Operations) Q2 2024 Key Metrics vs. Q2 2023 | Metric | Q2 2024 | Q2 2023 | % Change | | :--- | :--- | :--- | :--- | | **Revenues** | $891.9M | $820.8M | +8.7% | | **Organic Revenues** | - | - | +7.7% | | **Operating Income** | $182.4M | $154.8M | +17.8% | | **Net Income** | $129.4M | $110.1M | +17.5% | | **Diluted EPS** | $0.27 | $0.22 | +22.7% | H1 2024 Key Metrics vs. H1 2023 | (in thousands) | H1 2024 | H1 2023 | % Change | | :--- | :--- | :--- | :--- | | **Revenues** | $1,640,269 | $1,478,765 | +10.9% | | **Operating Income** | $314,801 | $267,029 | +17.9% | | **Net Income** | $223,791 | $198,377 | +12.8% | | **Diluted EPS** | $0.46 | $0.40 | +15.0% | - For Q2 2024, revenue growth was driven by strong performance across all major service lines: Residential pest control grew **6.3%**, commercial pest control grew **9.9%**, and termite and ancillary services grew **11.8%**[156](index=156&type=chunk) - Gross margin improved by **80 basis points** in both Q2 and H1 2024 compared to the prior year periods, reaching **54.0%** and **52.7%** respectively, as pricing actions more than offset inflationary pressures[157](index=157&type=chunk)[190](index=190&type=chunk) [Non-GAAP Financial Measures](index=26&type=section&id=Non-GAAP%20Financial%20Measures) - The company uses non-GAAP measures such as organic revenues, adjusted operating income, adjusted net income, adjusted EPS, and Adjusted EBITDA to provide investors with information about current trends and period-over-period comparisons of its operating results[169](index=169&type=chunk)[194](index=194&type=chunk) Reconciliation of Revenues to Organic Revenues (Q2 2024 vs Q2 2023) | (in thousands) | Q2 2024 | Q2 2023 | Variance $ | % Change | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $891,920 | $820,750 | $71,170 | 8.7% | | Revenues from acquisitions | ($14,153) | — | ($14,153) | 1.7% | | Revenues of divestitures | — | ($5,924) | $5,924 | (0.7)% | | **Organic revenues** | **$877,767** | **$814,826** | **$62,941** | **7.7%** | Reconciliation of Net Income to Adjusted EBITDA (Q2 2024 vs Q2 2023) | (in thousands) | Q2 2024 | Q2 2023 | Variance $ | % Change | | :--- | :--- | :--- | :--- | :--- | | **Net income** | $129,397 | $110,143 | - | - | | Depreciation & amortization | $27,711 | $26,439 | - | - | | Interest expense, net | $7,775 | $4,785 | - | - | | Provision for income taxes | $45,617 | $40,880 | - | - | | **EBITDA** | $210,500 | $182,247 | $28,253 | 15.5% | | Adjustments | ($412) | $35 | - | - | | **Adjusted EBITDA** | **$210,088** | **$182,275** | **$27,813** | **15.3%** | [Liquidity and Capital Resources](index=30&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) - The company believes its current cash, future operating cash flows, and available borrowings under its **$1.0 billion** Credit Facility are sufficient to finance current operations and fund expansion for the foreseeable future[224](index=224&type=chunk)[201](index=201&type=chunk) Cash Flow Summary (Six Months Ended June 30) | (in thousands) | 2024 | 2023 | Change $ | | :--- | :--- | :--- | :--- | | **Net cash provided by operating activities** | $272,548 | $248,186 | $24,362 | | **Net cash used in investing activities** | ($93,621) | ($331,622) | $238,001 | | **Net cash (used in) provided by financing activities** | ($173,886) | $140,195 | ($314,081) | - Cash from operating activities increased by **$24.4 million** in H1 2024 compared to H1 2023, driven by strong operating results and timing of cash receipts and payments[180](index=180&type=chunk) - As of June 30, 2024, **11.4 million shares** may still be purchased under the company's authorized share repurchase program[227](index=227&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=33&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) No material changes to the company's market risk exposure occurred during the six months ended June 30, 2024, compared to the 2023 Form 10-K - There were no material changes to the Company's market risk exposure during the six months ended June 30, 2024[233](index=233&type=chunk) [Controls and Procedures](index=33&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls and procedures were effective as of June 30, 2024, with no material changes in internal control over financial reporting - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures were effective at a reasonable assurance level as of June 30, 2024[13](index=13&type=chunk) - No changes in internal control over financial reporting occurred during the quarter ended June 30, 2024, that have materially affected, or are reasonably likely to materially affect, these controls[210](index=210&type=chunk) PART II OTHER INFORMATION [Legal Proceedings](index=34&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) The company is involved in various legal proceedings, including an ongoing environmental investigation, which management does not expect to materially impact financial position - The company is involved in various claims, arbitrations, and litigation arising from its normal business operations[14](index=14&type=chunk) - An investigation by local governmental authorities in California concerning compliance with environmental regulations for hazardous waste and pesticide disposal is ongoing, with the company not expecting a material effect on its financials[212](index=212&type=chunk) [Risk Factors](index=34&type=section&id=ITEM%201A.%20RISK%20FACTORS) No material changes to the company's risk factors have occurred since the filing of the 2023 Annual Report on Form 10-K - No material changes have occurred in the risk factors since the filing of the 2023 Annual Report on Form 10-K[213](index=213&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=35&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) This section details Q2 2024 share repurchase activity, primarily for employee tax obligations, not open market purchases Share Repurchase Activity (Q2 2024) | Period | Total Shares Purchased | Weighted-Average Price Paid | Shares Purchased as Part of Publicly Announced Plan | | :--- | :--- | :--- | :--- | | April 2024 | 3,883 | $45.62 | — | | May 2024 | 727 | $45.82 | — | | June 2024 | — | $— | — | | **Total** | **4,610** | **-** | **—** | - As of June 30, 2024, the company has remaining authorization to repurchase **11.4 million shares** under its share repurchase plan[238](index=238&type=chunk) [Other Information](index=36&type=section&id=ITEM%205.%20OTHER%20INFORMATION) An executive officer adopted a 10b5-1 trading plan, and the Board approved amended by-laws to declassify the board and update governance provisions - On May 1, 2024, Elizabeth B. Chandler, VP and General Counsel, adopted a Rule 10b5-1 trading plan for the sale of **14,056 shares** of common stock, with sales eligible to begin on or after August 1, 2024[19](index=19&type=chunk)[241](index=241&type=chunk) - On July 23, 2024, the Board approved amended by-laws to declassify the Board, phasing in one-year terms for all directors by 2027[20](index=20&type=chunk) [Exhibits](index=37&type=section&id=ITEM%206.%20EXHIBITS) This section lists exhibits filed with the Form 10-Q, including Amended and Restated By-Laws and CEO/CFO certifications - Key exhibits filed with this report include the Amended and Restated By-Laws (Exhibit 3.8), CEO and CFO certifications (Exhibits 31.1, 31.2, 32.1), and various Inline XBRL documents[219](index=219&type=chunk) Signatures
Rollins(ROL) - 2024 Q2 - Earnings Call Presentation
2024-07-25 15:23
Financial Performance Highlights - Q2 2024 revenue reached $892 million, a 9% increase year-over-year[28, 40] - The company achieved a gross margin of 54%[10, 29] - Q2 2024 adjusted EBITDA margin was 23.6%[41] - Q2 Free Cash Flow was $136 million, a decrease of 3%[27, 62] - Q2 Free Cash Flow Conversion was approximately 105%[32, 40] - EPS of $0.27, a 23% increase[12] Growth and Margins - Organic revenue growth was 7.7% in Q2 2024[27, 28] - Incremental EBITDA margins for the first six months of the year were 30%[46] - Adjusted SG&A saw an improvement of 60 basis points[13] Capital Allocation and Debt - The company closed 14 acquisitions in Q2 2024 and 26 year-to-date[44] - Net leverage is well below 1x of EBITDA[44] - Outstanding borrowings of $504 million under the Credit Facility as of June 30, 2024[6]
Rollins(ROL) - 2024 Q2 - Earnings Call Transcript
2024-07-25 15:22
Rollins, Inc. (NYSE:ROL) Q2 2024 Earnings Conference Call July 25, 2024 8:30 AM ET Company Participants Lyndsey Burton - Vice President, Investor Relations Jerry Gahlhoff - Chief Executive Officer and President Kenneth Krause - Executive Vice President, Chief Financial Officer and Treasurer Conference Call Participants Tim Mulrooney - William Blair Ashish Sabadra - RBC Capital Markets George Tong - Goldman Sachs Hilary Lee - Morgan Stanley Heather Balsky - Bank of America Joshua Chan - UBS Aadit Shrestha - ...
Rollins(ROL) - 2024 Q2 - Quarterly Results
2024-07-24 20:06
[Financial Highlights](index=1&type=section&id=Financial%20Highlights) Rollins, Inc. achieved robust Q2 2024 financial results, marked by strong revenue growth, significant margin expansion, and improved profitability Q2 2024 Key Financial Metrics (vs. Q2 2023) | Metric | Q2 2024 | Q2 2023 | % Change | | :--- | :--- | :--- | :--- | | Revenues | $892 million | $821 million | +8.7% | | Organic Revenues | - | - | +7.7% | | Operating Income | $182 million | $155 million | +17.8% | | Net Income | $129 million | $110 million | +17.5% | | Adjusted EBITDA | $210 million | $182 million | +15.3% | | Diluted EPS | $0.27 | $0.22 | +22.7% | | Adjusted EPS | $0.27 | $0.23 | +17.4% | - The company maintained strong cash flow, deploying capital towards strategic initiatives. In Q2 2024, Rollins generated **$145 million** in operating cash flow, invested **$35 million** in acquisitions, spent **$9 million** on capital expenditures, and returned **$73 million** to shareholders through dividends[33](index=33&type=chunk) [Management Commentary](index=1&type=section&id=Management%20Commentary) Management expressed satisfaction with strong organic growth and margin improvements, emphasizing continued investment and a healthy market outlook - CEO Jerry Gahlhoff, Jr. credited the team for delivering **strong organic growth** and an improving margin profile, positioning the company for another year of healthy growth in 2024[10](index=10&type=chunk) - CFO Kenneth Krause highlighted the solid performance in revenue and profitability, specifically pointing to the **140 basis point improvement** in EBITDA margins and strong incremental EBITDA margin performance[13](index=13&type=chunk) [Consolidated Financial Statements](index=3&type=section&id=Consolidated%20Financial%20Statements) The unaudited consolidated financial statements reflect the company's strong financial health, consistent cash generation, and strategic capital deployment [Condensed Consolidated Statements of Income](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The income statement for Q2 2024 shows significant revenue growth and improved profitability, leading to higher net income and diluted EPS Income Statement Highlights (in thousands) | Account | Three Months Ended June 30, 2024 | Three Months Ended June 30, 2023 | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $891,920 | $820,750 | $1,640,269 | $1,478,765 | | Operating Income | $182,377 | $154,789 | $314,801 | $267,029 | | Net Income | $129,397 | $110,143 | $223,791 | $198,377 | | Net Income Per Share - Diluted | $0.27 | $0.22 | $0.46 | $0.40 | [Condensed Consolidated Statements of Financial Position](index=3&type=section&id=Condensed%20Consolidated%20Statements%20of%20Financial%20Position) The balance sheet as of June 30, 2024, indicates a solid financial position with increased total assets and stockholders' equity, alongside managed liabilities Balance Sheet Summary (in thousands) | Account | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Total Current Assets | $474,292 | $406,639 | | Total Assets | $2,766,502 | $2,595,460 | | Total Current Liabilities | $609,950 | $576,689 | | Long-term Debt | $502,043 | $490,776 | | Total Liabilities | $1,530,444 | $1,439,893 | | Total Stockholders' Equity | $1,236,058 | $1,155,567 | [Condensed Consolidated Cash Flow Information](index=5&type=section&id=Condensed%20Consolidated%20Cash%20Flow%20Information) Cash flow from operations significantly increased for the six months ended June 30, 2024, supporting strategic investments and shareholder returns Cash Flow Summary - Six Months Ended June 30 (in thousands) | Activity | 2024 | 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $272,548 | $248,186 | | Net cash used in investing activities | ($93,621) | ($331,622) | | Net cash (used in) provided by financing activities | ($173,886) | $140,195 | [Appendix: Reconciliation of GAAP and Non-GAAP Financial Measures](index=6&type=section&id=Appendix%3A%20Reconciliation%20of%20GAAP%20and%20Non-GAAP%20Financial%20Measures) This appendix provides detailed reconciliations of non-GAAP financial measures, offering a clearer view of the company's core operating performance - Management uses non-GAAP measures like organic revenues, adjusted operating income, adjusted EBITDA, and free cash flow to compare performance consistently over various periods, excluding impacts from acquisitions, divestitures, and other non-operational items[23](index=23&type=chunk)[43](index=43&type=chunk) - In Q1 2024, the company revised its non-GAAP metrics (adjusted net income, adjusted EPS, and adjusted EBITDA) to exclude gains and losses from non-operational asset sales to better reflect core operating performance[28](index=28&type=chunk) [Reconciliation of Operating Income, Net Income, and EPS](index=7&type=section&id=Reconciliation%20of%20Operating%20Income%2C%20Net%20Income%2C%20and%20EPS) Reconciliations show adjusted operating income and net income for Q2 2024, reflecting core performance after excluding specific non-operational items Q2 2024 Reconciliation of GAAP to Adjusted Operating and Net Income (in thousands) | Metric | GAAP | Adjustments | Non-GAAP (Adjusted) | | :--- | :--- | :--- | :--- | | Operating Income | $182,377 | $4,219 | $186,596 | | Net Income | $129,397 | $2,832 | $132,229 | | Diluted EPS | $0.27 | $0.00 | $0.27 | [Reconciliation of EBITDA and Free Cash Flow](index=7&type=section&id=Reconciliation%20of%20EBITDA%20and%20Free%20Cash%20Flow) Adjusted EBITDA and free cash flow reconciliations for Q2 2024 demonstrate strong profitability and cash generation after specific adjustments Q2 2024 EBITDA and Free Cash Flow Reconciliation (in thousands) | Metric | Q2 2024 | Q2 2023 | % Change | | :--- | :--- | :--- | :--- | | Net Income | $129,397 | $110,143 | 17.5% | | EBITDA | $210,500 | $182,247 | 15.5% | | Adjusted EBITDA | $210,088 | $182,275 | 15.3% | | Free Cash Flow | $136,419 | $140,638 | (3.0)% | [Reconciliation of Revenues to Organic Revenues](index=9&type=section&id=Reconciliation%20of%20Revenues%20to%20Organic%20Revenues) This section details the reconciliation of reported revenues to organic revenues, highlighting growth drivers excluding acquisition impacts Q2 2024 Revenue to Organic Revenue Reconciliation (in thousands) | Description | Amount | % of Revenue | | :--- | :--- | :--- | | Reported Revenues | $891,920 | 100.0% | | Less: Revenues from acquisitions | ($14,153) | (1.7)% | | Impact of Divestitures | $5,924 (vs PY) | 0.7% | | Organic Revenues | $877,767 | 98.4% | Q2 2024 Organic Revenue Growth by Segment | Segment | Organic Growth % | | :--- | :--- | | Residential | 5.4% | | Commercial | 8.6% | [Reconciliation of SG&A and Net Debt](index=10&type=section&id=Reconciliation%20of%20SG%26A%20and%20Net%20Debt) Reconciliations show improved adjusted SG&A as a percentage of revenues and a lower net leverage ratio, indicating enhanced operational efficiency and balance sheet strength Net Debt and Leverage Ratio | Metric | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Long-term debt | $504,000 | $493,000 | | Less: cash | $106,697 | $103,825 | | Net debt | $397,303 | $389,175 | | Net leverage ratio | 0.5x | 0.6x |
Rollins (ROL) to Report Q2 Earnings: What's in the Offing?
ZACKS· 2024-07-23 15:40
Rollins, Inc. (ROL) is scheduled to report its second-quarter 2024 results on Jul 24, after market close. Our estimate for Residential revenues is pegged at $401.9 million, indicating 4.2% growth from the year-ago quarter's actual. Commercial revenues are anticipated to increase 9.1% year over year to $283.7 million. We expect revenues from Termite Completions, Bait Monitoring & Renewals to be pegged at $187.7 million, suggesting a 12.5% growth on a year-over-year basis. Franchise revenues are estimated at ...
Here's Why Rollins (ROL) is a Strong Growth Stock
ZACKS· 2024-07-15 14:45
Company Overview - Rollins is headquartered in Atlanta, GA, and provides pest and termite control services to both residential and commercial customers, including food manufacturers, hotels, and retailers [4]. Investment Insights - Rollins has a Zacks Rank of 2 (Buy) and a VGM Score of B, indicating it is a strong candidate for investors [19]. - The company has a Growth Style Score of A, forecasting a year-over-year earnings growth of 12.2% for the current fiscal year [9]. - In the last 60 days, one analyst revised their earnings estimate higher for fiscal 2024, with the Zacks Consensus Estimate increasing by $0.01 to $1.01 per share [24]. - Rollins boasts an average earnings surprise of 4.2%, suggesting a positive trend in earnings performance [24]. Style Scores - The Zacks Style Scores include Value, Growth, Momentum, and VGM Scores, which help investors identify stocks with the best chances of outperforming the market [1][17]. - The Value Style Score focuses on identifying attractive and discounted stocks using various financial ratios [20]. - The Growth Style Score evaluates projected and historical earnings, sales, and cash flow to find stocks with sustainable growth potential [12]. - The Momentum Style Score assesses price trends and earnings outlook to identify favorable buying opportunities [6].
ROLLINS, INC. SCHEDULES DATE FOR RELEASE OF SECOND QUARTER 2024 FINANCIAL RESULTS
Prnewswire· 2024-07-09 22:05
Company Overview - Rollins, Inc. is a premier global consumer and commercial services company providing essential pest control services to over 2.8 million customers across multiple continents [4] - The company operates through a family of leading brands, including Orkin, HomeTeam Pest Defense, and Clark Pest Control, among others, with more than 20,000 employees and over 800 locations worldwide [4] Financial Announcement - Rollins, Inc. will release its second quarter results for the period ended June 30, 2024, after the market closes on July 24, 2024 [5] - A conference call to review the financial and operating results will take place on July 25, 2024, at 8:30 a.m. Eastern Time [5]
Earnings Growth & Price Strength Make Rollins (ROL) a Stock to Watch
ZACKS· 2024-06-28 14:30
Core Insights - The Zacks Focus List is a curated portfolio of stocks that aims to outperform the market over the next 12 months, serving as a starting point for long-term investors [10][9] - The methodology relies heavily on earnings estimate revisions, which are seen as a strong indicator of future stock performance [4][12] Company Overview - Rollins, headquartered in Atlanta, GA, provides pest and termite control services to both residential and commercial customers, including food manufacturers and hotels [7] - Rollins' earnings are projected to grow by 12.2% for the current fiscal year [8] Performance Metrics - The Zacks Focus List has shown strong historical performance, gaining 13.85% annually in 2020 compared to the S&P 500's 9.38% return, and has cumulatively returned 2,519.23% since February 1, 1996 [18] - Rollins' stock has increased by 35.21% since being added to the Focus List on January 7, 2019, rising from $36.50 to $49.35 per share [22] Earnings Estimates - Analysts have revised Rollins' earnings estimate upwards for fiscal 2024, with the Zacks Consensus Estimate increasing by $0.01 to $1.01, and the company boasts an average earnings surprise of 4.2% [15]
Reasons Why You Should Bet on Rollins (ROL) Stock Right Now
ZACKS· 2024-06-28 13:15
Rollins, Inc. (ROL) stock has performed well over the past year, appreciating 16.5%, and has the potential to sustain momentum in the near term. Consequently, if you haven't taken advantage of the share price appreciation yet, you should add the stock to your portfolio. What Makes ROL an Attractive Pick? Positive Earnings Surprise History: Rollins has an impressive earnings surprise history. The company outpaced the consensus mark in one of the trailing four quarters and matched thrice, delivering an averag ...