Rentokil Initial plc (RTO) Valuation — DCF, Graham & Comparables

Rentokil Initial plc (RTO) — Price $23.32 (closing price, October 30, 2026) — Industrials — Specialty Business Services — NYSE

Latest reported results:

Valuation dashboard for Rentokil Initial plc (RTO) with P/E 24.81, P/B 2.13, EV/EBITDA 9.32 and dividend yield 2.68%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Industrials companies.

Rentokil Initial plc is a global service provider operating across North America, the United Kingdom, Europe, Asia, and the Pacific, delivering a wide array of essential business support solutions through a route-based model. The company offers comprehensive pest control for both commercial and residential customers, addressing issues ranging from rodents and insects to wildlife management.

Analysis Summary

Rentokil Initial plc reported revenue of $6.91B in the most recent fiscal year, growing at a 5-year CAGR of 19.9%. Net income reached $470.4M, with a 20.4% 5-year CAGR.

Trailing-twelve-month margins: gross margin 72.1%, operating margin 12.1%, net margin 3.9%.

At $23.32 (closing price, October 30, 2026), RTO trades at a P/E of 24.81 and an ROE of 5.82%. Market capitalisation stands at $11.7B, placing it among large-cap names.

Balance sheet quality for RTO: current ratio of 1.2. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio24.81
Price / Book2.13
EV / EBITDA9.32
Dividend Yield2.68%

Valuation Models

DCF Fair Value$173.09
vs Current Price+642.2%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
RTORentokil Initial plc$11.7B24.812.135.8%
CTASCintas Corporation$87.3B43.3616.9042.1%
ECLEcolab Inc.$84.9B41.228.1520.7%
ROLRollins, Inc.$16.7B31.8011.9437.7%
ARMKAramark$14.2B37.734.1911.8%
UNFUniFirst Corporation$4.6B42.401.665.0%

Price

Price$23.32 (closing price, October 30, 2026)
Market Cap$11.7B
ExchangeNYSE
CountryGB

Profitability

Return on Equity5.82%
Return on Invested Capital5.68%
Return on Assets2.19%
Gross Margin72.11%
Operating Margin12.13%
Net Margin3.92%

Related companies: CTAS · ECL · ROL · ARMK · UNF

Explore sector: Industrials · Specialty Business Services

More sections of RTO: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events

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