Rollins Inc (ROL, Financial) has recently captured the attention of investors and financial analysts alike, thanks to its strong financial performance and promising growth trajectory. With a current share price of $47.27, despite a slight daily decrease of 0.07%, Rollins Inc has shown a notable three-month growth of 6.96%. A detailed analysis, supported by the GF Score, positions Rollins Inc as a company with significant potential for future growth.
What Is the GF Score?
The GF Score is a proprietary ranking system developed by GuruFocus, assessing stocks based on five key aspects: financial strength, profitability, growth, value, and momentum. These components are weighted differently to calculate a comprehensive score that ranges from 0 to 100, with 100 indicating the highest potential for outperformance. Rollins Inc boasts an impressive GF Score of 98, suggesting a strong likelihood of market-leading returns.
- Financial strength rank: 7/10
- Profitability rank: 10/10
- Growth rank: 10/10
- GF Value rank: 6/10
- Momentum rank: 10/10
Understanding Rollins Inc's Business
Rollins Inc is a global leader in route-based pest-control services, operating across multiple continents including North America and Europe. With a market cap of $22.89 billion and annual sales of $3.16 billion, Rollins Inc is renowned for its Orkin brand, a dominant player in the U.S. and Canadian pest control market. The company's focus on residential pest and termite prevention has solidified its market leadership, particularly in these regions.
Financial Strength Breakdown
Rollins Inc's financial robustness is reflected in its Financial Strength Rank of 7/10. The company's Interest Coverage ratio stands at an impressive 23.13, indicating a strong ability to meet its interest obligations. Furthermore, with an Altman Z-Score of 11.41, Rollins Inc demonstrates low risk of financial distress. Its strategic debt management is evidenced by a Debt-to-Revenue ratio of 0.27, underscoring a prudent approach to leveraging.
Profitability and Growth Metrics
Rollins Inc's Profitability Rank is exceptional at 10/10. The company has consistently improved its Operating Margin over the past five years, reaching 19.15% in 2023. This trend is mirrored in its Gross Margin, which has also seen steady growth. The Piotroski F-Score and a Predictability Rank of 4.5 stars further validate Rollins Inc's solid financial health and operational efficiency.
Conclusion
Considering Rollins Inc's strong financial strength, exceptional profitability, and consistent growth metrics, the GF Score highlights the company's superior position for potential market outperformance. Investors looking for high-performing stocks should consider Rollins Inc as a promising candidate.
Explore more high-potential stocks with our GF Score Screen exclusively available to GuruFocus Premium members.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
