Latest Ratios: P/E Ratio 29.8x · EV/EBITDA 19.4x · ROE 38.9%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $15.6B | $29.1B | $22.4B | $21.4B | $18.0B | $16.8B | $19.2B | $10.9B | $11.8B | $10.1B | $7.4B |
| Enterprise Value | $16.6B | $30.0B | $23.2B | $22.1B | $18.4B | $17.1B | $19.5B | $11.3B | $11.7B | $10.0B | $7.2B |
| P/E Ratio → | 29.81 | 55.06 | 48.28 | 49.07 | 48.72 | 47.51 | 72.35 | 53.93 | 51.21 | 57.44 | 44.15 |
| P/S Ratio | 4.16 | 7.73 | 6.62 | 6.96 | 6.67 | 6.94 | 8.89 | 5.39 | 6.49 | 6.06 | 4.68 |
| P/B Ratio | 11.45 | 21.14 | 16.87 | 18.52 | 14.20 | 15.15 | 20.40 | 13.31 | 16.60 | 15.51 | 12.96 |
| P/FCF | 24.05 | 44.70 | 38.70 | 43.16 | 41.33 | 44.94 | 46.56 | 38.51 | 45.61 | 48.14 | 38.10 |
| P/OCF | 23.05 | 42.85 | 36.94 | 40.51 | 38.62 | 41.89 | 44.07 | 35.13 | 41.28 | 43.09 | 32.54 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 7.98 | 6.84 | 7.20 | 6.84 | 7.07 | 9.03 | 5.59 | 6.42 | 6.00 | 4.59 |
| EV / EBITDA | 19.40 | 35.12 | 30.07 | 32.38 | 31.52 | 32.07 | 42.87 | 28.26 | 26.40 | 24.65 | 20.05 |
| EV / EBIT | 22.72 | 41.12 | 35.22 | 37.59 | 36.75 | 35.44 | 51.92 | 35.48 | 37.79 | 34.14 | 27.83 |
| EV / FCF | — | 46.15 | 39.94 | 44.60 | 42.34 | 45.73 | 47.33 | 39.92 | 45.16 | 47.63 | 37.36 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 49.4% | 49.4% | 52.7% | 52.2% | 51.5% | 52.0% | 51.5% | 50.7% | 50.9% | 51.0% | 50.9% |
| Operating Margin | 19.4% | 19.4% | 19.4% | 19.0% | 18.3% | 18.5% | 17.4% | 15.7% | 20.7% | 20.9% | 19.7% |
| Net Profit Margin | 14.0% | 14.0% | 13.8% | 14.2% | 13.7% | 14.7% | 12.3% | 10.1% | 12.7% | 10.7% | 10.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 38.9% | 38.9% | 37.5% | 35.9% | 31.0% | 34.7% | 30.4% | 26.6% | 33.9% | 29.3% | 30.6% |
| ROA | 17.7% | 17.7% | 17.2% | 18.4% | 17.8% | 18.4% | 14.9% | 14.4% | 21.8% | 18.4% | 18.9% |
| ROIC | 25.1% | 25.1% | 25.1% | 24.5% | 23.8% | 25.2% | 22.8% | 26.3% | 49.4% | 54.1% | 57.2% |
| ROCE | 32.2% | 32.2% | 31.3% | 32.0% | 31.2% | 30.8% | 27.8% | 29.9% | 49.1% | 50.9% | 50.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.76 | 0.76 | 0.61 | 0.71 | 0.42 | 0.36 | 0.44 | 0.60 | — | — | — |
| Debt / EBITDA | 1.22 | 1.22 | 1.05 | 1.20 | 0.91 | 0.75 | 0.92 | 1.24 | — | — | — |
| Net Debt / Equity | — | 0.68 | 0.54 | 0.62 | 0.35 | 0.27 | 0.34 | 0.49 | -0.16 | -0.16 | -0.25 |
| Net Debt / EBITDA | 1.10 | 1.10 | 0.94 | 1.04 | 0.75 | 0.56 | 0.70 | 1.00 | -0.26 | -0.26 | -0.40 |
| Debt / FCF | — | 1.44 | 1.25 | 1.44 | 1.01 | 0.79 | 0.77 | 1.41 | -0.45 | -0.51 | -0.74 |
| Interest Coverage | 25.54 | 25.54 | 23.77 | 30.88 | 190.13 | 582.31 | 85.83 | 47.97 | — | — | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.60 | 0.60 | 0.69 | 0.71 | 0.71 | 0.72 | 0.66 | 0.76 | 0.96 | 0.89 | 1.05 |
| Quick Ratio | 0.55 | 0.55 | 0.62 | 0.65 | 0.65 | 0.66 | 0.60 | 0.71 | 0.90 | 0.84 | 1.00 |
| Cash Ratio | 0.13 | 0.13 | 0.14 | 0.18 | 0.19 | 0.24 | 0.21 | 0.23 | 0.39 | 0.36 | 0.52 |
| Asset Turnover | — | 1.20 | 1.20 | 1.18 | 1.27 | 1.20 | 1.17 | 1.16 | 1.66 | 1.62 | 1.72 |
| Inventory Turnover | 44.25 | 44.25 | 40.56 | 44.03 | 43.99 | 40.19 | 34.00 | 51.02 | 56.65 | 54.72 | 56.28 |
| Days Sales Outstanding | — | 23.99 | 25.46 | 25.56 | 25.64 | 24.95 | 25.34 | 26.27 | 24.54 | 25.09 | 24.23 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.1% | 1.1% | 1.3% | 1.2% | 1.2% | 1.0% | 0.8% | 1.4% | 1.3% | 1.2% | 1.5% |
| Payout Ratio | 62.3% | 62.3% | 63.9% | 60.8% | 57.4% | 47.4% | 60.2% | 75.7% | 65.9% | 68.1% | 65.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.4% | 1.8% | 2.1% | 2.0% | 2.1% | 2.1% | 1.4% | 1.9% | 2.0% | 1.7% | 2.3% |
| FCF Yield | 4.2% | 2.2% | 2.6% | 2.3% | 2.4% | 2.2% | 2.1% | 2.6% | 2.2% | 2.1% | 2.6% |
| Buyback Yield | 1.4% | 0.7% | 0.1% | 1.5% | 0.0% | 0.1% | 0.0% | 0.1% | 0.1% | 0.1% | 0.4% |
| Total Shareholder Yield | 3.5% | 1.9% | 1.4% | 2.7% | 1.2% | 1.1% | 0.9% | 1.5% | 1.4% | 1.3% | 1.9% |
| Shares Outstanding | — | $484M | $484M | $490M | $492M | $492M | $492M | $491M | $491M | $490M | $491M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying ROL stock.
Rollins, Inc.'s current P/E ratio is 29.8x. The historical average is 41.0x. This places it at the 31th percentile of its historical range.
Rollins, Inc.'s current EV/EBITDA is 19.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 20.3x.
Rollins, Inc.'s return on equity (ROE) is 38.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 27.6%.
Based on historical data, Rollins, Inc. is trading at a P/E of 29.8x. This is at the 31th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Rollins, Inc.'s current dividend yield is 2.08% with a payout ratio of 62.3%.
Rollins, Inc. has 49.4% gross margin and 19.4% operating margin. Operating margin between 10-20% is typical for established companies.
Rollins, Inc.'s Debt/EBITDA ratio is 1.2x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Residential demand softening
Metrics are mathematically derived from official filings.
Margin Compression Pressures Earning Power
Gross margin fell to 49.7% in Q2 2026 from 53.8% a year earlier, a 410 basis point decline, according to recent financial statements, signaling cost pressures that may erode Rollins' historically stable profitability.
The sequential deterioration in gross margin from 50.8% in Q1 2026 to 49.7% in Q2 2026, coupled with a year-over-year decline, suggests that wage inflation and fuel costs are outpacing pricing power. Operating margin at 18.7% remains respectable but has slipped from 19.8% in the prior year, indicating that the company has not fully offset input cost increases. Net margin of 13.3% is still healthy, yet the trend warrants monitoring as the company's ability to pass through costs may be limited in a competitive environment.
Return on Capital Decelerates Amidst Expansion
ROIC declined to 6.3% in Q2 2026 from 6.8% a year earlier, as reported in quarterly data, suggesting that recent acquisitions are not yet generating returns commensurate with the increased invested capital.
The downward drift in ROIC from 7.3% in Q3 2025 to 6.3% in Q2 2026, despite a stable asset turnover of 0.33, indicates that margin compression is the primary driver of reduced capital efficiency. ROE also softened to 10.2% from 10.1% a year ago, but the more telling metric is ROIC, which accounts for the growing debt-funded acquisition base. Investors should monitor whether management can integrate recent tuck-ins to restore ROIC to the 7%+ levels seen in mid-2025.
Working Capital Efficiency Shows Mixed Signals
DSO improved to 21 days in Q2 2026 from 23 days a year earlier, while DPO remained stable at 12 days, based on reported figures, indicating modestly better receivables collection but limited supplier leverage.
The reduction in DSO suggests improved billing and collection processes, which is positive for cash flow. However, the cash conversion cycle remains short, reflecting the service-based model with minimal inventory. The slight increase in DPO from 10 to 12 days over the past year is negligible, implying that Rollins does not rely on supplier financing to fund operations. Overall, working capital efficiency appears stable, but the thin liquidity buffer (current ratio of 0.63) suggests that any deterioration in collections could strain short-term resources.
Leverage Creeps Higher as Growth Slows
Debt-to-equity rose to 0.78 in Q2 2026 from 0.73 a year earlier, while interest coverage remained strong at 21.4x, according to balance sheet data, indicating manageable but increasing leverage.
The gradual rise in D/E, coupled with D/EBITDA of 4.75x, suggests that Rollins is increasingly relying on debt to fund acquisitions as organic growth decelerates. Interest coverage of 21.4x remains comfortable, but the trend is worth monitoring: coverage has declined from 28.4x in Q3 2025, reflecting both higher debt and lower EBITDA. If the company continues to lever up for M&A without corresponding margin improvement, the balance sheet could become a constraint on future flexibility.
Thin Liquidity Buffer Raises Caution
Current ratio fell to 0.63 in Q2 2026 from 0.72 a year earlier, with cash of $109.1M against $1.1B in debt, as per the latest balance sheet, suggesting a tight liquidity position.
The current ratio below 1.0 indicates that current liabilities exceed current assets, which is typical for service companies with strong cash conversion, but the declining trend is concerning. The quick ratio of 0.63, identical to the current ratio, confirms that inventory is not a factor. While operating cash flow remains robust, the thin liquidity buffer may limit the company's ability to weather an unexpected downturn or fund large acquisitions without additional debt. Investors should monitor whether management maintains adequate access to credit lines.
P/E Misleads on Rollins' True Value
The P/E ratio of 34.8x appears rich, but it obscures the impact of acquisition-related amortization and deferred revenue, making EV/EBITDA or P/FCF more appropriate valuation metrics for Rollins.
Rollins' aggressive acquisition strategy results in significant amortization of intangibles, which depresses GAAP net income and inflates the P/E ratio. Additionally, the company collects cash upfront for termite contracts, creating deferred revenue that distorts earnings comparisons. EV/EBITDA of 22.5x and P/FCF of 28.1x provide a clearer picture of valuation, though they still reflect a premium for the company's defensive growth. Investors should focus on cash-based metrics to assess whether the premium is justified by underlying cash generation.