RENTOKIL INITIAL PLC-SP ADR (RTO) Stock Fundamental Analysis

NYSE:RTO • US7601251041

29.27 USD
-1.54 (-5%)
Last: Mar 3, 2026, 01:10 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Taking everything into account, RTO scores 5 out of 10 in our fundamental rating. RTO was compared to 81 industry peers in the Commercial Services & Supplies industry. RTO has a medium profitability rating, but doesn't score so well on its financial health evaluation. RTO has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year RTO was profitable.
  • In the past year RTO had a positive cash flow from operations.
  • RTO had positive earnings in each of the past 5 years.
  • In the past 5 years RTO always reported a positive cash flow from operatings.
RTO Yearly Net Income VS EBIT VS OCF VS FCFRTO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M 1B

1.2 Ratios

  • With a decent Return On Assets value of 2.35%, RTO is doing good in the industry, outperforming 60.49% of the companies in the same industry.
  • RTO's Return On Equity of 6.35% is fine compared to the rest of the industry. RTO outperforms 61.73% of its industry peers.
  • The Return On Invested Capital of RTO (4.66%) is comparable to the rest of the industry.
  • The Average Return On Invested Capital over the past 3 years for RTO is significantly below the industry average of 10.68%.
Industry RankSector Rank
ROA 2.35%
ROE 6.35%
ROIC 4.66%
ROA(3y)2.76%
ROA(5y)3.54%
ROE(3y)7.41%
ROE(5y)11.9%
ROIC(3y)5.49%
ROIC(5y)6.1%
RTO Yearly ROA, ROE, ROICRTO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60

1.3 Margins

  • The Profit Margin of RTO (4.80%) is better than 66.67% of its industry peers.
  • RTO's Profit Margin has declined in the last couple of years.
  • With a decent Operating Margin value of 10.17%, RTO is doing good in the industry, outperforming 69.14% of the companies in the same industry.
  • In the last couple of years the Operating Margin of RTO has grown nicely.
  • The Gross Margin of RTO (88.47%) is better than 98.77% of its industry peers.
  • RTO's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 10.17%
PM (TTM) 4.8%
GM 88.47%
OM growth 3Y2.06%
OM growth 5Y4.21%
PM growth 3Y-14.07%
PM growth 5Y-11.59%
GM growth 3Y1.51%
GM growth 5Y1.16%
RTO Yearly Profit, Operating, Gross MarginsRTO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RTO is destroying value.
  • The number of shares outstanding for RTO remains at a similar level compared to 1 year ago.
  • The number of shares outstanding for RTO has been increased compared to 5 years ago.
  • RTO has a better debt/assets ratio than last year.
RTO Yearly Shares OutstandingRTO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M 500M
RTO Yearly Total Debt VS Total AssetsRTO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.2 Solvency

  • An Altman-Z score of 2.24 indicates that RTO is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • RTO has a Altman-Z score (2.24) which is comparable to the rest of the industry.
  • The Debt to FCF ratio of RTO is 8.79, which is on the high side as it means it would take RTO, 8.79 years of fcf income to pay off all of its debts.
  • RTO's Debt to FCF ratio of 8.79 is fine compared to the rest of the industry. RTO outperforms 62.96% of its industry peers.
  • A Debt/Equity ratio of 1.00 indicates that RTO is somewhat dependend on debt financing.
  • The Debt to Equity ratio of RTO (1.00) is worse than 60.49% of its industry peers.
Industry RankSector Rank
Debt/Equity 1
Debt/FCF 8.79
Altman-Z 2.24
ROIC/WACC0.61
WACC7.62%
RTO Yearly LT Debt VS Equity VS FCFRTO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.3 Liquidity

  • A Current Ratio of 1.12 indicates that RTO should not have too much problems paying its short term obligations.
  • RTO has a Current ratio of 1.12. This is in the lower half of the industry: RTO underperforms 67.90% of its industry peers.
  • RTO has a Quick Ratio of 1.03. This is a normal value and indicates that RTO is financially healthy and should not expect problems in meeting its short term obligations.
  • RTO has a worse Quick ratio (1.03) than 64.20% of its industry peers.
Industry RankSector Rank
Current Ratio 1.12
Quick Ratio 1.03
RTO Yearly Current Assets VS Current LiabilitesRTO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The earnings per share for RTO have decreased strongly by -15.45% in the last year.
  • The Earnings Per Share has been growing by 8.17% on average over the past years. This is quite good.
  • Looking at the last year, RTO shows a quite strong growth in Revenue. The Revenue has grown by 16.75% in the last year.
  • Measured over the past years, RTO shows a very strong growth in Revenue. The Revenue has been growing by 22.05% on average per year.
EPS 1Y (TTM)-15.45%
EPS 3Y3.04%
EPS 5Y8.17%
EPS Q2Q%-15.51%
Revenue 1Y (TTM)16.75%
Revenue growth 3Y35.48%
Revenue growth 5Y22.05%
Sales Q2Q%24.28%

3.2 Future

  • Based on estimates for the next years, RTO will show a small growth in Earnings Per Share. The EPS will grow by 3.43% on average per year.
  • RTO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.06% yearly.
EPS Next Y11.5%
EPS Next 2Y10.86%
EPS Next 3Y10.96%
EPS Next 5Y3.43%
Revenue Next Year11.3%
Revenue Next 2Y7.26%
Revenue Next 3Y6.91%
Revenue Next 5Y6.06%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
RTO Yearly Revenue VS EstimatesRTO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B 10B
RTO Yearly EPS VS EstimatesRTO Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0.5 1 1.5

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4

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 23.42 indicates a rather expensive valuation of RTO.
  • RTO's Price/Earnings ratio is a bit cheaper when compared to the industry. RTO is cheaper than 66.67% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.13, RTO is valued at the same level.
  • The Price/Forward Earnings ratio is 17.50, which indicates a rather expensive current valuation of RTO.
  • 76.54% of the companies in the same industry are more expensive than RTO, based on the Price/Forward Earnings ratio.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.11, RTO is valued a bit cheaper.
Industry RankSector Rank
PE 23.42
Fwd PE 17.5
RTO Price Earnings VS Forward Price EarningsRTO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RTO indicates a somewhat cheap valuation: RTO is cheaper than 62.96% of the companies listed in the same industry.
  • 69.14% of the companies in the same industry are more expensive than RTO, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 21.47
EV/EBITDA 14.44
RTO Per share dataRTO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The decent profitability rating of RTO may justify a higher PE ratio.
PEG (NY)2.04
PEG (5Y)2.86
EPS Next 2Y10.86%
EPS Next 3Y10.96%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • RTO has a Yearly Dividend Yield of 1.98%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 0.79, RTO pays a better dividend. On top of this RTO pays more dividend than 86.42% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, RTO has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 1.98%

5.2 History

  • The dividend of RTO is nicely growing with an annual growth rate of 21.42%!
  • RTO has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)21.42%
Div Incr Years0
Div Non Decr Years0
RTO Yearly Dividends per shareRTO Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2021 2022 2023 2024 2025 0.2 0.4 0.6

5.3 Sustainability

  • RTO pays out 93.98% of its income as dividend. This is not a sustainable payout ratio.
  • RTO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP93.98%
EPS Next 2Y10.86%
EPS Next 3Y10.96%
RTO Yearly Income VS Free CF VS DividendRTO Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M
RTO Dividend Payout.RTO Dividend Payout, showing the Payout Ratio.RTO Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

RENTOKIL INITIAL PLC-SP ADR

NYSE:RTO (3/3/2026, 1:10:07 PM)

29.27

-1.54 (-5%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)10-23
Earnings (Next)03-05
Inst Owners74.77%
Inst Owner ChangeN/A
Ins Owners0.59%
Ins Owner ChangeN/A
Market Cap14.72B
Revenue(TTM)6.97B
Net Income(TTM)334.62M
Analysts78.57
Price Target32.49 (11%)
Short Float %0.83%
Short Ratio3.17
Dividend
Industry RankSector Rank
Dividend Yield 1.98%
Yearly Dividend0.12
Dividend Growth(5Y)21.42%
DP93.98%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.68%
PT rev (3m)7.45%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.68%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.86%
Revenue NY rev (3m)-0.37%
Valuation
Industry RankSector Rank
PE 23.42
Fwd PE 17.5
P/S 2.11
P/FCF 21.47
P/OCF 15.14
P/B 2.79
P/tB N/A
EV/EBITDA 14.44
EPS(TTM)1.25
EY4.27%
EPS(NY)1.67
Fwd EY5.71%
FCF(TTM)1.36
FCFY4.66%
OCF(TTM)1.93
OCFY6.61%
SpS13.86
BVpS10.48
TBVpS-7.33
PEG (NY)2.04
PEG (5Y)2.86
Graham Number17.17
Profitability
Industry RankSector Rank
ROA 2.35%
ROE 6.35%
ROCE 6.46%
ROIC 4.66%
ROICexc 5.45%
ROICexgc 54.53%
OM 10.17%
PM (TTM) 4.8%
GM 88.47%
FCFM 9.84%
ROA(3y)2.76%
ROA(5y)3.54%
ROE(3y)7.41%
ROE(5y)11.9%
ROIC(3y)5.49%
ROIC(5y)6.1%
ROICexc(3y)6.27%
ROICexc(5y)8.1%
ROICexgc(3y)56.17%
ROICexgc(5y)64.94%
ROCE(3y)7.83%
ROCE(5y)9.4%
ROICexgc growth 3Y13.41%
ROICexgc growth 5Y13.1%
ROICexc growth 3Y-12.37%
ROICexc growth 5Y-7.04%
OM growth 3Y2.06%
OM growth 5Y4.21%
PM growth 3Y-14.07%
PM growth 5Y-11.59%
GM growth 3Y1.51%
GM growth 5Y1.16%
F-Score5
Asset Turnover0.49
Health
Industry RankSector Rank
Debt/Equity 1
Debt/FCF 8.79
Debt/EBITDA 3.95
Cap/Depr 46.51%
Cap/Sales 4.12%
Interest Coverage 2.63
Cash Conversion 73.35%
Profit Quality 204.88%
Current Ratio 1.12
Quick Ratio 1.03
Altman-Z 2.24
F-Score5
WACC7.62%
ROIC/WACC0.61
Cap/Depr(3y)45.91%
Cap/Depr(5y)48.18%
Cap/Sales(3y)4.33%
Cap/Sales(5y)4.77%
Profit Quality(3y)155.2%
Profit Quality(5y)166.26%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.45%
EPS 3Y3.04%
EPS 5Y8.17%
EPS Q2Q%-15.51%
EPS Next Y11.5%
EPS Next 2Y10.86%
EPS Next 3Y10.96%
EPS Next 5Y3.43%
Revenue 1Y (TTM)16.75%
Revenue growth 3Y35.48%
Revenue growth 5Y22.05%
Sales Q2Q%24.28%
Revenue Next Year11.3%
Revenue Next 2Y7.26%
Revenue Next 3Y6.91%
Revenue Next 5Y6.06%
EBIT growth 1Y1.85%
EBIT growth 3Y38.27%
EBIT growth 5Y27.2%
EBIT Next Year51.72%
EBIT Next 3Y20.57%
EBIT Next 5Y15.47%
FCF growth 1Y48.39%
FCF growth 3Y15.8%
FCF growth 5Y16.48%
OCF growth 1Y44.96%
OCF growth 3Y17.64%
OCF growth 5Y14.65%

RENTOKIL INITIAL PLC-SP ADR / RTO FAQ

Can you provide the ChartMill fundamental rating for RENTOKIL INITIAL PLC-SP ADR?

ChartMill assigns a fundamental rating of 5 / 10 to RTO.


Can you provide the valuation status for RENTOKIL INITIAL PLC-SP ADR?

ChartMill assigns a valuation rating of 4 / 10 to RENTOKIL INITIAL PLC-SP ADR (RTO). This can be considered as Fairly Valued.


Can you provide the profitability details for RENTOKIL INITIAL PLC-SP ADR?

RENTOKIL INITIAL PLC-SP ADR (RTO) has a profitability rating of 6 / 10.


What are the PE and PB ratios of RENTOKIL INITIAL PLC-SP ADR (RTO) stock?

The Price/Earnings (PE) ratio for RENTOKIL INITIAL PLC-SP ADR (RTO) is 23.42 and the Price/Book (PB) ratio is 2.79.


What is the financial health of RENTOKIL INITIAL PLC-SP ADR (RTO) stock?

The financial health rating of RENTOKIL INITIAL PLC-SP ADR (RTO) is 3 / 10.