RTO Rentokil Initial plc

Industrials · Specialty Business Services

4 · Fraco Momentum 0.0 · Fraco Em risco sequência de 3a

24.25

-17.60%

Sobre a empresa

Rentokil Initial plc, together with its subsidiaries, provides route-based services in North America, Europe, the United Kingdom, Asia, the Middle East, North Africa, Turkey, and Pacific. The company offers a range of pest control services for rodents, and flying and crawling insects, as well as other forms of wildlife management. It provides hygiene services, including the provision and maintenance of products, such as soap and hand sanitizer dispensers, hand dryers, air care and purification, cubicle and surface sanitizers, feminine hygiene units, toilet paper dispensers, and floor protection mats. In addition, the company engages in the supply and laundering of garments for commercial organizations. Further, the company provides a range of specialist cleaning services, such as graffiti removal, deep cleaning of kitchens and washrooms, trauma cleaning, and flood or fire damage cleaning, as well as specialist deep cleaning services. Rentokil Initial plc was founded in 1903 and is headquartered in Crawley, the United Kingdom.

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2.56%

131.91%

0.62

12.2B

51.60

0.47

30.37

Faixa de 52 semanas

24.3

mín 23.3 máx 34.7

Análise aprofundada do dividendo

Rentokil Initial plc (RTO) operates in Specialty Business Services within the Industrials sector. The company currently offers a dividend yield of 2.56%. This yield sits near the higher end of its five-year range, which spans from 1.34% to 2.59% with an average of 1.77%. Based on yield theory, the stock is considered "fair" value, though other models suggest it is "expensive" with the current price 25.9% above its fair value of $17.97.

Histórico de dividendos

Rentokil Initial plc has a stated dividend increase streak of 3 years. The company's 3-year dividend compound annual growth rate (CAGR) is 15.1185%. Dividend payments have shown growth over the last decade, increasing from $0.164 per share in 2013 to $0.298 in 2019. After a rise to $0.521 in 2021 and a subsequent decrease to $0.43 in 2022, payments increased to $0.494 in 2023, $0.581 in 2024, and are projected at $0.656 for 2025. Based on historical trends, the dividend has a doubling time of approximately 4.2 years, corresponding to a CAGR of 17.26%.

Segurança do dividendo

Rentokil Initial plc's dividend coverage appears challenged, with a payout ratio of 131.91% based on its current dividend of $0.62 and EPS of $0.47. This indicates that the company is paying out more in dividends than it earns. The company carries elevated leverage, as indicated by a debt-to-equity ratio of 111.995%. While the quick ratio of 1.071 and current ratio of 1.164 suggest adequate short-term liquidity, the high payout ratio remains a key concern for dividend safety. Valuation assessments offer differing views: yield theory suggests the stock is "fair" value, yet a two-stage fair value model indicates it is "expensive," trading 25.9% above its calculated fair value of $17.97.

Principais riscos

The payout ratio of 131.91% exceeds earnings, raising concerns about dividend sustainability.
Elevated debt-to-equity ratio of 111.995% could constrain financial flexibility.
The stock's current price is 25.9% above its calculated fair value of $17.97, suggesting it is expensive.
A past dividend decrease in 2022 from 2021, despite a stated streak, indicates potential for future volatility.