Rentokil Initial Valuation
| RTO Stock | USD 22.49 0.02 0.09% |
At this time, the company appears to be undervalued. Rentokil Initial PLC holds a recent Real Value of $28.74 per share. The prevailing price of the company is $22.49. Our model determines the value of Rentokil Initial PLC from analyzing the company fundamentals such as Operating Margin of 0.11 %, return on equity of 0.0738, and Shares Outstanding of 502.63 M as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Rentokil Initial's valuation include:
Price Book 2.0581 | Enterprise Value | Enterprise Value Ebitda 10.6205 | Price Sales 2.0813 | Forward PE 12.8205 |
Undervalued
Today
Please note that Rentokil Initial's price fluctuation is very steady at this time. Calculation of the real value of Rentokil Initial PLC is based on 3 months time horizon. Increasing Rentokil Initial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Rentokil Initial is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Rentokil Stock. However, Rentokil Initial's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 22.49 | Real 28.74 | Target 34.3 | Hype 22.4 | Naive 23.77 |
The intrinsic value of Rentokil Initial's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Rentokil Initial's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Rentokil Initial PLC helps investors to forecast how Rentokil stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Rentokil Initial more accurately as focusing exclusively on Rentokil Initial's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Rentokil Initial's intrinsic value based on its ongoing forecasts of Rentokil Initial's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Rentokil Initial's closest peers.
Rentokil Initial Cash |
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Rentokil Valuation Trend
Knowing Rentokil Initial's actual value is paramount for traders when making sound investment determinations. Using both Rentokil Initial's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Rentokil Initial Total Value Analysis
Rentokil Initial PLC is at this time anticipated to have company total value of 15.24 B with market capitalization of 11.31 B, debt of 4.73 B, and cash on hands of 2.17 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Rentokil Initial fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
15.24 B | 11.31 B | 4.73 B | 2.17 B |
Rentokil Initial Investor Information
About 14.0% of the company shares are owned by institutional investors. The book value of Rentokil Initial was at this time reported as 1.68. The company has Price/Earnings To Growth (PEG) ratio of 0.56. Rentokil Initial PLC last dividend was issued on the 4th of April 2025. The entity had 2:1 split on the 16th of November 2001. Rentokil Initial PLC may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 889.9 M | 847.5 M |
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Rentokil Initial Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Rentokil Initial has an asset utilization ratio of 48.31 percent. This suggests that the Company is making $0.48 for each dollar of assets. An increasing asset utilization means that Rentokil Initial PLC is more efficient with each dollar of assets it utilizes for everyday operations.Rentokil Initial Ownership Allocation
Rentokil Initial owns a total of 502.63 Million outstanding shares. Roughly 86.08 pct. of Rentokil Initial outstanding shares are held by general public with 13.92 (%) by third-party entities. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Rentokil Initial Profitability Analysis
The company reported the last year's revenue of 5.38 B. Total Income to common stockholders was 625 M with profit before taxes, overhead, and interest of 726 M.Rentokil Initial Past Distributions to stockholders
About Rentokil Initial Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Rentokil Initial PLC. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Rentokil Initial PLC based exclusively on its fundamental and basic technical indicators. By analyzing Rentokil Initial's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Rentokil Initial's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Rentokil Initial. We calculate exposure to Rentokil Initial's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Rentokil Initial's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 5.1 B | 5.4 B | |
| Pretax Profit Margin | 0.11 | 0.15 | |
| Operating Profit Margin | 0.16 | 0.17 | |
| Net Profit Margin | 0.08 | 0.12 | |
| Gross Profit Margin | 0.32 | 0.34 |
A single share of Rentokil Initial represents a small ownership stake in the entity. As a stockholder of Rentokil, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Rentokil Initial Dividends Analysis For Valuation
At this time, Rentokil Initial's Dividends Paid is very stable compared to the past year. As of the 22nd of March 2025, Dividend Yield is likely to grow to 0.03, while Dividend Paid And Capex Coverage Ratio is likely to drop 1.22. . At this time, Rentokil Initial's Retained Earnings are very stable compared to the past year. As of the 22nd of March 2025, Earnings Yield is likely to grow to 0.06, while Price Earnings Ratio is likely to drop 20.91.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 231.2 M | 242.7 M | |
| Dividend Yield | 0.02 | 0.03 | |
| Dividend Payout Ratio | 0.61 | 0.73 | |
| Dividend Paid And Capex Coverage Ratio | 1.61 | 1.22 |
There are various types of dividends Rentokil Initial can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Rentokil shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Rentokil Initial PLC directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Rentokil pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Rentokil Initial by the value of the dividends paid out.
Rentokil Initial Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 2.5 B | |
| Quarterly Earnings Growth Y O Y | -0.435 | |
| Forward Price Earnings | 12.8205 |
Rentokil Initial Current Valuation Indicators
Rentokil Initial's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Rentokil Initial's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Rentokil Initial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Rentokil Initial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Rentokil Initial's worth.When determining whether Rentokil Initial PLC offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Rentokil Initial's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Rentokil Initial Plc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Rentokil Initial Plc Stock: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Rentokil Initial PLC. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in estimate. You can also try the ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Is Environmental & Facilities Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Rentokil Initial. If investors know Rentokil will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Rentokil Initial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.43) | Dividend Share 0.091 | Earnings Share 0.79 | Revenue Per Share | Quarterly Revenue Growth 0.01 |
The market value of Rentokil Initial PLC is measured differently than its book value, which is the value of Rentokil that is recorded on the company's balance sheet. Investors also form their own opinion of Rentokil Initial's value that differs from its market value or its book value, called intrinsic value, which is Rentokil Initial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Rentokil Initial's market value can be influenced by many factors that don't directly affect Rentokil Initial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Rentokil Initial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Rentokil Initial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Rentokil Initial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.