UBS Group Forecasts Strong Price Appreciation for Rollins (NYSE:ROL) Stock

Key Points

• UBS Group raised its price target for Rollins (NYSE:ROL) stock from $59.00 to $61.00, indicating a potential upside of 5.17% from its current price.
• Rollins achieved a 12.1% year-over-year revenue increase, reporting $999.53 million for the recent quarter, surpassing estimates of $988.77 million.
• Despite insider selling by Chairman John F. Wilson, a majority of analysts have a favorable view on Rollins, with four analysts rating it as a hold and seven as a buy.
• The stock currently has an average rating of "Moderate Buy" and an average target price of $61.40 based on analyst data.

Rollins (NYSE:ROL - Get Free Report) had its price objective boosted by investment analysts at UBS Group from $59.00 to $61.00 in a research report issued on Friday,Benzinga reports. The firm presently has a "neutral" rating on the business services provider's stock. UBS Group's target price suggests a potential upside of 5.12% from the stock's previous close.

Other analysts have also issued reports about the stock. Royal Bank Of Canada increased their price target on shares of Rollins from $52.00 to $62.00 and gave the company an "outperform" rating in a research report on Thursday, April 17th. The Goldman Sachs Group set a $61.00 price objective on shares of Rollins and gave the stock a "buy" rating in a research note on Thursday, April 24th. Canaccord Genuity Group lifted their price objective on shares of Rollins from $49.00 to $50.00 and gave the company a "hold" rating in a research note on Friday, April 25th. Barclays lifted their price objective on shares of Rollins from $55.00 to $60.00 and gave the company an "equal weight" rating in a research note on Friday. Finally, Jefferies Financial Group upgraded Rollins from a "hold" rating to a "buy" rating and increased their target price for the company from $55.00 to $65.00 in a research note on Monday, June 2nd. Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the stock. According to MarketBeat, Rollins has an average rating of "Moderate Buy" and a consensus price target of $61.40.

Rollins Stock Performance

NYSE ROL traded up $0.00 on Friday, hitting $58.03. 2,051,150 shares of the company's stock were exchanged, compared to its average volume of 1,641,467. The firm's 50-day moving average price is $56.61 and its two-hundred day moving average price is $53.77. Rollins has a fifty-two week low of $45.34 and a fifty-two week high of $58.65. The company has a debt-to-equity ratio of 0.34, a current ratio of 0.68 and a quick ratio of 0.81. The firm has a market cap of $28.12 billion, a price-to-earnings ratio of 57.46 and a beta of 0.75.

Rollins (NYSE:ROL - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The business services provider reported $0.30 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.29 by $0.01. Rollins had a net margin of 13.70% and a return on equity of 36.96%. The company had revenue of $999.53 million during the quarter, compared to the consensus estimate of $988.77 million. During the same period last year, the firm earned $0.27 EPS. The company's revenue for the quarter was up 12.1% on a year-over-year basis. On average, research analysts expect that Rollins will post 1.09 EPS for the current year.

Insider Buying and Selling

In other Rollins news, insider Thomas D. Tesh sold 1,921 shares of the stock in a transaction on Friday, May 9th. The stock was sold at an average price of $56.54, for a total transaction of $108,613.34. Following the completion of the transaction, the insider directly owned 38,028 shares of the company's stock, valued at approximately $2,150,103.12. This trade represents a 4.81% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Chairman John F. Wilson sold 40,000 shares of the stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $56.77, for a total value of $2,270,800.00. Following the transaction, the chairman directly owned 662,727 shares of the company's stock, valued at approximately $37,623,011.79. The trade was a 5.69% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 71,921 shares of company stock valued at $4,120,613 over the last three months. Corporate insiders own 4.47% of the company's stock.

Institutional Investors Weigh In On Rollins

A number of institutional investors and hedge funds have recently modified their holdings of the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Rollins by 9.7% in the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 29,192 shares of the business services provider's stock valued at $1,353,000 after purchasing an additional 2,574 shares during the last quarter. Farther Finance Advisors LLC raised its position in shares of Rollins by 56.4% during the first quarter. Farther Finance Advisors LLC now owns 6,254 shares of the business services provider's stock valued at $340,000 after buying an additional 2,254 shares during the last quarter. Pallas Capital Advisors LLC bought a new stake in shares of Rollins during the first quarter valued at approximately $225,000. Oppenheimer & Co. Inc. bought a new stake in shares of Rollins during the first quarter valued at approximately $464,000. Finally, Wealth Enhancement Advisory Services LLC increased its position in shares of Rollins by 305.0% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 159,741 shares of the business services provider's stock valued at $8,631,000 after purchasing an additional 120,294 shares during the period. Institutional investors and hedge funds own 51.79% of the company's stock.

About Rollins

Rollins, Inc, through its subsidiaries, provides pest and wildlife control services to residential and commercial customers in the United States and internationally. The company offers pest control services to residential properties protecting from common pests, including rodents, insects, and wildlife.