Bottom Line:
đ HOLD: ROL shows mixed signals. Fine to hold existing positions. Not urgent to buy or sell.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)50% (Hyper Growth)
EST. PRICE IN 2031
$51.95
Based on 8.2% avg growth
INTRINSIC VALUE TODAY
$32.26
Trading above fair value
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.
Valuation Analysis: ROL is currently trading at $53.04, which is considered oversold relative to its 30-day fair value range of $53.76 to $59.77. From a valuation perspective, the stock is trading at a discount (Forward PE: 37.8) compared to its historical average (45.3). Remarkably, the market is currently pricing in an annual earnings decline of 5.8% over the next few years. This pessimistic expectation contrasts with the company's recent 9.9% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, ROL is in a downtrend. The price is currently testing key support at $52.32. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: ROL has a weak technical setup (25/100), with bearish trendlines and momentum suggesting caution for short-term entries. Wall Street analysts see significant upside, with an average price target of $63.66 (+20.0%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Quick Decision Summary
Current Position
OVERSOLD
Fair Price Range
$53.76 -
$59.77
Company Quality Score
57/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
54.8%
Protect Your Profits
Holding ROL? Use our AI-powered strategies to protect your downside while keeping your long-term position.
Rollins is a global leader in route-based pest control services, with operations primarily in the United States, as well as in North, Central, and South America, Europe, the Middle East, Africa, and Australia. Its portfolio of pest-control brands includes the prominent Orkin brand, a market leader in the US, which boasts near national coverage, and in Canada. Residential pest and termite prevention dominates the services provided by Rollins, owing to the group's ongoing focus on the US and Canadian markets.