Rollins, Inc. (ROL) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+16.7%

$41.44

vs $35.51 price

Levered DCF

$48.21

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

7.27

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	55.06×	48.28×	49.07×	48.72×	47.51×	72.35×	53.93×	51.21×
P/B	21.14×	16.87×	18.52×	14.2×	15.15×	20.4×	13.31×	16.6×
P/S	7.73×	6.62×	6.96×	6.67×	6.94×	8.89×	5.39×	6.49×
EV / EBITDA	35.12×	30.04×	32.13×	31.08×	30.06×	42.87×	28.26×	31.26×
Gross margin	52.8%	52.7%	52.2%	51.5%	52.0%	51.5%	50.7%	50.9%
Operating margin	19.3%	19.4%	19.0%	18.3%	18.5%	17.4%	15.7%	20.7%
Net margin	14.0%	13.8%	14.2%	13.7%	14.7%	12.3%	10.1%	12.7%
Current ratio	0.6×	0.69×	0.71×	0.71×	0.72×	0.66×	0.76×	0.96×
Debt / equity	0.76×	0.61×	0.71×	0.42×	0.36×	0.44×	0.6×	0×
Interest coverage	25.42×	23.75×	30.61×	187.03×	539.32×	85.83×	47.97×	0×
Dividend yield	1.1%	1.3%	1.2%	1.2%	1.2%	0.8%	1.4%	1.3%
Payout ratio	62.3%	63.9%	60.8%	57.4%	58.5%	60.2%	75.7%	65.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	38.3%	35.1%	37.6%	29.1%	32.1%	28.3%	24.9%	32.5%
Return on invested capital	20.9%	21.2%	20.5%	21.1%	20.3%	18.9%	17.5%	35.3%
Return on assets	16.8%	16.5%	16.8%	17.4%	17.6%	14.5%	11.7%	21.2%
Free cash flow yield	2.2%	2.6%	2.3%	2.4%	2.2%	2.1%	2.6%	2.2%
Earnings yield	1.8%	2.1%	2.0%	2.0%	2.1%	1.4%	1.9%	2.0%
Enterprise value	$30B	$23.2B	$22.1B	$18.4B	$17.1B	$19.5B	$11.3B	$11.7B
Net debt / EBITDA	1.1×	0.94×	1.04×	0.74×	0.52×	0.7×	1×	-0.31×
Cash conversion cycle (days)	24	23	22	22	20	14	20	20