Rollins (NYSE:ROL) Issues Earnings Results, Misses Estimates By $0.02 EPS

Key Points

• Rollins reported quarterly EPS of $0.32, missing analysts’ estimate of $0.34 by $0.02. Revenue also came in slightly below expectations at $1.08 billion versus the $1.09 billion consensus.
• The stock fell 0.7% after the earnings release, trading at $43.55. Shares were below both the 50-day and 200-day moving averages, reflecting recent weakness.
• The company declared a quarterly dividend of $0.1825 per share, payable September 10, which works out to an annualized yield of about 1.7%.

Rollins (NYSE:ROL - Get Free Report) announced its quarterly earnings data on Wednesday. The business services provider reported $0.32 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.34 by ($0.02), FiscalAI reports. Rollins had a net margin of 13.77% and a return on equity of 38.37%. The firm had revenue of $1.08 billion during the quarter, compared to the consensus estimate of $1.09 billion.

Rollins Trading Down 0.7%

NYSE:ROL traded down $0.31 during mid-day trading on Wednesday, hitting $43.55. 6,450,551 shares of the company's stock were exchanged, compared to its average volume of 3,541,804. Rollins has a fifty-two week low of $41.50 and a fifty-two week 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 firm has a market capitalization of $20.97 billion, a P/E ratio of 39.96, a PEG ratio of 2.75 and a beta of 0.75. The company has a 50 day simple moving average of $46.87 and a 200-day simple moving average of $54.12.

Rollins Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be given a dividend of $0.1825 per share. The ex-dividend date is Monday, August 10th. This represents a $0.73 annualized dividend and a yield of 1.7%. Rollins's dividend payout ratio (DPR) is currently 66.97%.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on ROL shares. Morgan Stanley reduced their target price on Rollins from $70.00 to $65.00 and set an "overweight" rating on the stock in a report on Wednesday, July 8th. Canaccord Genuity Group set a $51.00 price objective on Rollins and gave the stock a "hold" rating in a research report on Friday, April 24th. Weiss Ratings lowered Rollins from a "hold (c+)" rating to a "hold (c)" rating in a research note on Friday, June 26th. The Goldman Sachs Group reiterated a "buy" rating and issued a $67.00 target price on shares of Rollins in a research report on Thursday, April 23rd. Finally, Rothschild & Co Redburn set a $66.00 target price on Rollins and gave the stock a "buy" rating in a research note on Monday, April 27th. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat, Rollins presently has an average rating of "Moderate Buy" and an average price target of $60.87.

Hedge Funds Weigh In On Rollins

Several large investors have recently modified their holdings of ROL. DV Equities LLC bought a new stake in shares of Rollins in the fourth quarter worth $25,000. Quarry LP lifted its holdings in Rollins by 155.2% during the 4th quarter. Quarry LP now owns 740 shares of the business services provider's stock worth $44,000 after buying an additional 450 shares during the period. MUFG Securities EMEA plc acquired a new position in Rollins during the 2nd quarter worth about $47,000. Geneos Wealth Management Inc. grew its position in shares of Rollins by 75.8% in the 1st quarter. Geneos Wealth Management Inc. now owns 870 shares of the business services provider's stock valued at $47,000 after buying an additional 375 shares during the last quarter. Finally, Sunbelt Securities Inc. increased its stake in shares of Rollins by 500.6% in the fourth quarter. Sunbelt Securities Inc. now owns 967 shares of the business services provider's stock valued at $58,000 after buying an additional 806 shares during the period. Institutional investors own 51.79% of the company's stock.

Rollins Company 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.

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.