ROL
Rollins, Inc.
Consumer Cyclical · Personal Services · United States · Stock
Score Breakdown
Scored for Dividend Income profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- Rollins earned strong scores in growth and profitability, supported by double-digit annual revenue and earnings expansion and healthy margins, anchoring the composite at a solid baseline [growth.revenue.yoy, profitability.operating_margin_pct].
- The dividend factor contributed meaningfully, reflecting four consecutive years of per-share dividend growth and a balanced payout ratio [dividend.dps_trend, dividend.payout_ratio].
- The momentum factor was tempered by a clear post-peak deceleration in revenue and earnings over the two most recent quarters, and the absence of a macro theme assignment also weighed on the composite, resulting in a total score of 60.1/100 [momentum.revenue_quarterly, theme.none].
Why Not Higher
- The sequential decline in revenue, operating income, and net income from 2025Q3 through 2026Q1 limited the momentum score, preventing the composite from reaching a higher tier [momentum.revenue_quarterly, momentum.operating_income_quarterly, momentum.net_income_quarterly].
- Rollins has no current macro theme assignment, meaning it received no theme-related score contribution, which structurally constrains the composite score [theme.none].
Data Confidence
9 / 10
Very High — full data coverage
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew from FY2024's $3,388,708,000 to FY2025's $3,761,050,000, a gain of +11.0%. Net income rose +12.9% over the same period, and diluted EPS increased +13.5% from FY2024 to FY2025.
The model rewarded consistent double-digit expansion across revenue, net income, and earnings per share, reflecting broad-based growth that earned a strong but not maximum score.
In FY2025, Rollins posted an operating margin of 19.3%, a net margin of 14.0%, and a return on assets of 16.8%.
The model recognized healthy operating efficiency and solid asset productivity, with margins and returns that indicate a well-run services business capable of converting revenue into profit at above-average rates.
Filing evidence currently available does not support a more specific explanation for this factor.
Over the last four reported quarters, revenue peaked at $1,026,106,000 in 2025Q3 before declining to $912,913,000 in 2025Q4 and further to $906,424,000 in 2026Q1. Operating income followed the same arc, rising to $225,021,000 in 2025Q3 then falling to $145,486,000 in 2026Q1, with net income similarly declining from $163,527,000 in 2025Q3 to $107,838,000 in 2026Q1.
The model reflected a decelerating trend: after a mid-year peak, revenue, operating income, and net income all moved lower in the two most recent quarters, which tempered the momentum score toward the midpoint.
Rollins has grown its dividends per share each year from $0.43 in FY2022 to $0.54 in FY2023, $0.615 in FY2024, and $0.6775 in FY2025. The FY2025 dividend payout ratio stood at 62.3% of net income.
The model rewarded a consistent multi-year dividend growth trajectory alongside a meaningful but not excessive payout ratio, signaling shareholder-friendly capital return with earnings still retained for reinvestment.
Rollins is not currently assigned to any of the 24 tracked macro themes in the model.
The absence of a theme assignment means the security did not qualify for theme-related score contribution under the current methodology; this reflects the model's classification state and is not an indicator of the company's business quality.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
Rollins, Inc. delivered strong full-year results in FY2025, with revenue rising +11.0% to $3,761,050,000 and net income growing +12.9%, reflecting consistent double-digit expansion across its core financial metrics [growth.revenue.yoy, growth.net_income.yoy]. Profitability remains healthy, with a 19.3% operating margin and 14.0% net margin in FY2025, underscoring the company's ability to convert revenue into profit at above-average rates [profitability.operating_margin_pct, profitability.net_margin_pct]. The dividend profile is a standout, with per-share dividends growing every year from $0.43 in FY2022 to $0.6775 in FY2025 at a payout ratio of 62.3%, earning Rollins its 'Dividend Candidate' label [dividend.dps_trend, dividend.payout_ratio]. However, recent quarterly momentum has softened, with revenue and operating income both declining from their 2025Q3 peaks into 2026Q1, which tempers the overall composite score of 60.1/100 [momentum.revenue_quarterly, momentum.operating_income_quarterly].
Plain English
Rollins is a profitable, steadily growing services company that reliably raises its dividend every year, but its most recent quarterly results show slowing momentum after a mid-year peak, which keeps its overall score in the moderate range [growth.revenue.yoy, dividend.dps_trend, momentum.revenue_quarterly].
Bull Case vs. Bear Case
Bull Case
- Consistent double-digit annual growth: revenue grew +11.0% and diluted EPS grew +13.5% from FY2024 to FY2025, demonstrating broad-based business expansion [growth.revenue.yoy, growth.eps_diluted.yoy].
- Strong profitability metrics including a 19.3% operating margin and 16.8% return on assets in FY2025 indicate an efficiently run business with solid asset productivity [profitability.operating_margin_pct, profitability.roa_pct].
- A multi-year dividend growth track record — from $0.43 per share in FY2022 to $0.6775 in FY2025 — with a 62.3% payout ratio signals consistent shareholder returns while retaining earnings for reinvestment [dividend.dps_trend, dividend.payout_ratio].
Bear Case
- Quarterly momentum has decelerated noticeably: revenue fell from a peak of $1,026,106,000 in 2025Q3 to $906,424,000 in 2026Q1, suggesting near-term growth may be slowing [momentum.revenue_quarterly].
- Operating income dropped from $225,021,000 in 2025Q3 to $145,486,000 in 2026Q1, and net income similarly declined, indicating that profitability is compressing on a sequential basis [momentum.operating_income_quarterly, momentum.net_income_quarterly].
- Rollins is not assigned to any of the 24 tracked macro themes, meaning it does not benefit from theme-related score contribution, which weighs on the composite score [theme.none].
What Could Change the Picture
Bullish Triggers
- A sustained reacceleration in quarterly revenue and operating income back toward or beyond the 2025Q3 peak would signal that the recent deceleration was seasonal rather than structural [momentum.revenue_quarterly, momentum.operating_income_quarterly].
- Continued dividend per share increases beyond $0.6775 alongside a stable or improving payout ratio would reinforce the shareholder-return thesis [dividend.dps_trend, dividend.payout_ratio].
Bearish Triggers
- If net income continues to decline on a quarterly basis from the $107,838,000 reported in 2026Q1, it could signal that the strong FY2025 annual results are not sustainable [momentum.net_income_quarterly, growth.net_income.yoy].
- A meaningful compression in operating margin below the current 19.3% level would raise concerns about the company's ability to maintain its profitability profile [profitability.operating_margin_pct].
Risk Profile
Low RiskRollins carries a Low risk rating, supported by total assets of $3,140,523,000 in FY2025 and a business that generates consistent profits [financial_health.total_assets, profitability.net_margin_pct]. The primary near-term risk is the decelerating quarterly trend, with both revenue and net income declining from their 2025Q3 peaks into 2026Q1, which warrants monitoring [momentum.revenue_quarterly, momentum.net_income_quarterly].
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.