ROL Stock Analysis — Rollins, Inc.
Sector: Consumer Services
AI Verdict
Rollins trades at 30.7x next year's earnings for only 7.2% EPS growth, so despite the oversold RSI, you're still paying up for a moat built on sticky contracts and local scale that hasn't translated into enough growth to make this look cheap.
Competitive Moat
Rollins operates a network of pest control brands with dense local branch coverage, making it costly for new entrants to match their service reach and customer relationships. Recurring contracts and high customer retention create a sticky revenue base that is hard for smaller rivals to disrupt.
Summary
Rollins is flashing an RSI of 28.9, signaling oversold territory after a -37.42% 1-year return.
Where It Stands
Despite a 1-year return of -37.42%, Rollins trades at 30.7x next year's earnings, well above the consumer services sector median of 20x, with an RSI of 28.9 indicating oversold conditions.
Key Metrics
- RSI: 28.9 — Oversold
- Trailing P/E: 32.9x
- Forward P/E: 30.7x
- PEG Ratio: 4.55
- Earnings Growth: +0.1%
- Market Cap: $17.4B
- 1-Year Return: -37.42%
Analyst Consensus
11 Buy · 10 Hold · 3 Sell (24 analysts)
Bull Case
The RSI of 28.9 is deep in oversold territory, which could set the stage for a technical rebound if sentiment shifts.
Bear Case
At 30.7x forward earnings for just 7.2% expected EPS growth, you are paying a premium the numbers don't yet support—if the P/E falls to the sector median of 20x, that's a further 35% downside from here.
Catalyst to Watch
Watch for quarterly earnings updates—if EPS growth meaningfully exceeds the 7.2% consensus, the valuation premium could look more justified.