TD Asset Management Inc Cuts Stake in Rollins, Inc. $ROL

Key Points

• TD Asset Management trimmed its Rollins stake by 3.8% in the fourth quarter, though it still held 1.41 million shares valued at about $84.4 million.
• Rollins’ latest earnings were solid: it matched EPS expectations at $0.24 and beat revenue estimates with $906.4 million, up 10.2% year over year.
• Despite some analyst downgrades tied to CFO resignation concerns, Wall Street still largely views Rollins as a Moderate Buy, with a consensus price target of $64.

TD Asset Management Inc reduced its holdings in shares of Rollins, Inc. (NYSE:ROL - Free Report) by 3.8% during the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 1,406,349 shares of the business services provider's stock after selling 55,752 shares during the period. TD Asset Management Inc owned about 0.29% of Rollins worth $84,409,000 at the end of the most recent quarter.

Several other large investors have also recently added to or reduced their stakes in ROL. Norges Bank purchased a new stake in Rollins during the 4th quarter worth approximately $244,669,000. Vanguard Group Inc. grew its holdings in Rollins by 4.3% during the 4th quarter. Vanguard Group Inc. now owns 38,282,523 shares of the business services provider's stock worth $2,297,717,000 after acquiring an additional 1,562,241 shares in the last quarter. Bessemer Group Inc. grew its holdings in Rollins by 11,772.1% during the 4th quarter. Bessemer Group Inc. now owns 1,084,398 shares of the business services provider's stock worth $65,086,000 after acquiring an additional 1,075,264 shares in the last quarter. Select Equity Group L.P. grew its holdings in Rollins by 149.6% during the 2nd quarter. Select Equity Group L.P. now owns 1,265,543 shares of the business services provider's stock worth $71,402,000 after acquiring an additional 758,462 shares in the last quarter. Finally, Goldman Sachs Group Inc. grew its holdings in Rollins by 36.1% during the 4th quarter. Goldman Sachs Group Inc. now owns 2,735,244 shares of the business services provider's stock worth $164,169,000 after acquiring an additional 726,017 shares in the last quarter. 51.79% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Rollins

Here are the key news stories impacting Rollins this week:

• Negative Sentiment: Bernstein downgraded Rollins, Inc. (ROL) to Market Perform and slashed its price target, pointing to uncertainty after the CFO resignation. Rollins (ROL) – Among the 10 Oversold Dividend Growth Stocks to Buy
• Neutral Sentiment: Rollins provided an update on the screwworm situation, and USDA officials said they expect to contain the Texas case; this is more of a regulatory/industry update than a direct earnings catalyst. Rollins offers screwworm update
• Neutral Sentiment: The company also drew attention in a farm policy discussion over glyphosate, SNAP, and farm income, but the article does not indicate a direct business impact for Rollins’ pest-control operations. Rollins spars with Democrats over glyphosate, SNAP, farm income
• Neutral Sentiment: Analysts overall still rate Rollins, Inc. (ROL) as a Moderate Buy, which may help limit downside despite the recent downgrade. Rollins, Inc. NYSE: ROL Given Consensus Recommendation of "Moderate Buy" by Analysts
• Neutral Sentiment: Rollins’ presentation at the William Blair Growth Stock Conference is unlikely to move the stock on its own unless management offered new guidance or commentary. Rollins, Inc. (ROL) Presents at 46th Annual William Blair Growth Stock Conference Transcript

Rollins Trading Up 1.7%

Shares of Rollins stock opened at $46.57 on Friday. The company has a fifty day simple moving average of $53.24 and a 200-day simple moving average of $57.71. Rollins, Inc. has a 12-month low of $44.43 and a 12-month high of $66.14. The company has a current ratio of 0.65, a quick ratio of 0.59 and a debt-to-equity ratio of 0.35. The stock has a market cap of $22.42 billion, a price-to-earnings ratio of 42.72, a PEG ratio of 2.82 and a beta of 0.73.

Rollins (NYSE:ROL - Get Free Report) last issued its earnings results on Wednesday, April 22nd. The business services provider reported $0.24 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.24. Rollins had a net margin of 13.77% and a return on equity of 38.37%. The business had revenue of $906.42 million during the quarter, compared to analysts' expectations of $895.17 million. During the same quarter in the prior year, the business posted $0.22 EPS. The company's revenue for the quarter was up 10.2% on a year-over-year basis. On average, equities analysts forecast that Rollins, Inc. will post 1.24 EPS for the current fiscal year.

Rollins Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Monday, May 11th will be issued a $0.1825 dividend. The ex-dividend date is Monday, May 11th. This represents a $0.73 annualized dividend and a dividend yield of 1.6%. Rollins's dividend payout ratio is presently 66.97%.

Analyst Upgrades and Downgrades

Several research firms have commented on ROL. Canaccord Genuity Group set a $51.00 price target on shares of Rollins and gave the stock a "hold" rating in a report on Friday, April 24th. Wells Fargo & Company lowered their price target on shares of Rollins from $58.00 to $55.00 and set an "equal weight" rating for the company in a report on Friday, May 15th. Weiss Ratings cut shares of Rollins from a "buy (b-)" rating to a "hold (c+)" rating in a report on Thursday, May 21st. Loop Capital began coverage on shares of Rollins in a report on Monday, April 13th. They set a "hold" rating and a $56.00 price target for the company. Finally, Morgan Stanley set a $70.00 price target on shares of Rollins in a report on Friday, February 13th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and seven have issued a Hold rating to the company's stock. According to data from MarketBeat, Rollins presently has a consensus rating of "Moderate Buy" and an average target price of $64.00.

Rollins Profile

Rollins, Inc NYSE: ROL is a provider of pest and termite control services operating through a network of subsidiaries and franchises. Headquartered in Atlanta, Georgia, the company offers a broad range of pest management solutions for both residential and commercial customers, positioning itself as a specialist in protecting property and public health from pests and vectors.

Its service offerings include general pest control, termite inspection and treatment, bed bug remediation, mosquito and vector control, wildlife exclusion, and related specialty services.

Want to see what other hedge funds are holding ROL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Rollins, Inc. (NYSE:ROL - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.