BNP Paribas Exane Has Lowered Expectations for Rollins (NYSE:ROL) Stock Price

Rollins (NYSE:ROL) had its price objective reduced by equities researchers at BNP Paribas Exane from $63.00 to $44.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has a “neutral” rating on the business services provider’s stock. BNP Paribas Exane’s price objective would suggest a potential upside of 14.02% from the company’s previous close.

ROL has been the topic of a number of other research reports. Sanford C. Bernstein lowered Rollins from an “outperform” rating to a “market perform” rating and reduced their price objective for the stock from $70.00 to $52.00 in a research report on Friday, May 29th. Raymond James Financial set a $35.00 target price on Rollins in a research report on Thursday. UBS Group reissued a “neutral” rating and set a $43.00 price target on shares of Rollins in a research note on Friday. Wells Fargo & Company lowered Rollins from an “overweight” rating to an “underweight” rating and cut their price target for the company from $46.00 to $32.00 in a research note on Friday. Finally, Loop Capital began coverage on Rollins in a report on Monday, April 13th. They set a “hold” rating and a $56.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $48.71.

Rollins Stock Performance

Shares of Rollins stock opened at $38.59 on Friday. The company’s 50 day moving average price is $46.11 and its two-hundred day moving average price is $53.76. The firm has a market capitalization of $18.58 billion, a P/E ratio of 35.08, a P/E/G ratio of 2.40 and a beta of 0.75. Rollins has a fifty-two week low of $36.59 and a fifty-two week high of $66.14. The company has a debt-to-equity ratio of 0.34, a current ratio of 0.63 and a quick ratio of 0.59.

Rollins (NYSE:ROL) last announced its quarterly earnings results on Wednesday, July 22nd. The business services provider reported $0.32 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.34 by ($0.02). Rollins had a return on equity of 38.81% and a net margin of 13.55%.The company had revenue of $1.08 billion for the quarter, compared to analyst estimates of $1.09 billion. During the same quarter last year, the company posted $0.30 earnings per share. The firm’s quarterly revenue was up 7.9% on a year-over-year basis. On average, equities analysts forecast that Rollins will post 1.21 earnings per share for the current fiscal year.

Institutional Trading of Rollins

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. raised its position in Rollins by 4.3% during the 4th quarter. Vanguard Group Inc. now owns 38,282,523 shares of the business services provider’s stock worth $2,297,717,000 after purchasing an additional 1,562,241 shares during the last quarter. State Street Corp grew its position in shares of Rollins by 4.7% in the 4th quarter. State Street Corp now owns 12,850,361 shares of the business services provider’s stock valued at $771,279,000 after buying an additional 575,946 shares during the last quarter. Geode Capital Management LLC grew its position in shares of Rollins by 6.6% in the 4th quarter. Geode Capital Management LLC now owns 10,163,847 shares of the business services provider’s stock valued at $608,256,000 after buying an additional 626,866 shares during the last quarter. Invesco Ltd. grew its position in shares of Rollins by 8.2% in the 4th quarter. Invesco Ltd. now owns 6,089,189 shares of the business services provider’s stock valued at $365,473,000 after buying an additional 461,869 shares during the last quarter. Finally, Norges Bank acquired a new stake in shares of Rollins in the fourth quarter valued at about $244,669,000. 51.79% of the stock is currently owned by institutional investors and hedge funds.

Key Rollins News

Here are the key news stories impacting Rollins this week:

• Positive Sentiment: Management said termite and ancillary services continued to post solid growth, and lead volumes improved toward late June and early July, which could support a recovery in coming quarters.
• Positive Sentiment: Several analysts still see upside from current levels despite trimming targets, including Piper Sandler maintaining an overweight rating and BNP Paribas Exane keeping a neutral view with a higher target than the stock’s recent trading level.
• Neutral Sentiment: Rollins has been described as balancing solid Q2 growth with a softer outlook, suggesting the quarter was mixed rather than uniformly negative.
• Neutral Sentiment: Ongoing media coverage around the earnings call and transcript is reinforcing investor focus on management’s commentary about demand trends and margin performance.
• Negative Sentiment: Rollins reported Q2 earnings of $0.32 per share, below the consensus estimate of $0.34, and revenue of about $1.08 billion also came in slightly short of expectations.
• Negative Sentiment: Analysts turned more cautious after the report, with JPMorgan reaffirming an underweight rating and sharply lowering its price target, while Bank of America also cut its target and kept a neutral stance.
• Negative Sentiment: Commentary around slower residential demand and a “downbeat” earnings release has added to the selloff, as the market appears to be recalibrating expectations after a period of high optimism.

About Rollins

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.