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Why Is Rollins (ROL) Down 3.2% Since Last Earnings Report?
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A month has gone by since the last earnings report for Rollins (ROL - Free Report) . Shares have lost about 3.2% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Rollins due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.
Adjusted earnings of 22 cents per share beat the Zacks Consensus Estimate by 10% and increased 15.8% year over year. Revenues of $729.7 million beat the consensus mark by 2.3% and improved 12.2% year over year. Organic revenues of $706 million increased 8.6% year over year.
Other Quarterly Details
Adjusted EBITDA of $169.9 million increased 12.6% year over year. Adjusted EBITDA margin of 22.3% increased 10 basis points (bps) year over year.
Rollins exited the quarter with a cash and cash equivalents balance of $121.9 million compared with the prior quarter’s $221 million. Long-term debt at the end of the quarter was $109.9 million compared with $219.9 million at the end of the prior quarter.
The company generated $127.7 million of cash from operating activities in the quarter and invested $60.8 million in acquisitions. It paid $49.2 million as dividends.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended upward during the past month.
VGM Scores
Currently, Rollins has a nice Growth Score of B, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of this revision has been net zero. It comes with little surprise Rollins has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
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Why Is Rollins (ROL) Down 3.2% Since Last Earnings Report?
A month has gone by since the last earnings report for Rollins (ROL - Free Report) . Shares have lost about 3.2% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Rollins due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.
Rollins Surpasses Q3 Earnings Beat Estimates
Rollins reported better-than-expected third-quarter 2022 results.
Adjusted earnings of 22 cents per share beat the Zacks Consensus Estimate by 10% and increased 15.8% year over year. Revenues of $729.7 million beat the consensus mark by 2.3% and improved 12.2% year over year. Organic revenues of $706 million increased 8.6% year over year.
Other Quarterly Details
Adjusted EBITDA of $169.9 million increased 12.6% year over year. Adjusted EBITDA margin of 22.3% increased 10 basis points (bps) year over year.
Rollins exited the quarter with a cash and cash equivalents balance of $121.9 million compared with the prior quarter’s $221 million. Long-term debt at the end of the quarter was $109.9 million compared with $219.9 million at the end of the prior quarter.
The company generated $127.7 million of cash from operating activities in the quarter and invested $60.8 million in acquisitions. It paid $49.2 million as dividends.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended upward during the past month.
VGM Scores
Currently, Rollins has a nice Growth Score of B, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of this revision has been net zero. It comes with little surprise Rollins has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.