Rentokil Initial PLC
NYSE:RTO

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Rentokil Initial PLC Logo
Rentokil Initial PLC
NYSE:RTO
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Price: 34.08 USD 1.46% Market Closed
Market Cap: $17.1B

EV/EBITDA

12.7
Current
21%
More Expensive
vs 3-y average of 10.5

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
12.7
=
Enterprise Value
$15.3B
/
EBITDA
£1.2B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
12.7
=
Enterprise Value
$15.3B
/
EBITDA
£1.2B

Valuation Scenarios

Rentokil Initial PLC is trading above its 3-year average

If EV/EBITDA returns to its 3-Year Average (10.5), the stock would be worth $28.16 (17% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-100%
Maximum Upside
No Upside Scenarios
Average Downside
55%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 12.7 $34.08
0%
3-Year Average 10.5 $28.16
-17%
5-Year Average 12.3 $32.84
-4%
Industry Average 0 $0.05
-100%
Country Average 0 $0.05
-100%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
$15.3B
/
Jan 2026
£1.2B
=
12.7
Current
$15.3B
/
Dec 2026
£1.7B
=
9
Forward
$15.3B
/
Dec 2027
£1.8B
=
8.3
Forward
$15.3B
/
Dec 2028
£1.9B
=
7.9
Forward
$15.3B
/
Dec 2031
£2.2B
=
6.8
Forward
$15.3B
/
Dec 2032
£2.4B
=
6.3
Forward
$15.3B
/
Dec 2033
£2.6B
=
5.9
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
UK
Rentokil Initial PLC
NYSE:RTO
12.6B USD 12.7 26.8
US
Waste Management Inc
NYSE:WM
92.5B USD 15.3 34.2
US
Republic Services Inc
NYSE:RSG
64.6B USD 15.1 30.2
CA
Waste Connections Inc
TSX:WCN
58.8B CAD 15.3 36.9
US
Rollins Inc
NYSE:ROL
27.2B USD 32.4 51.7
US
Veralto Corp
NYSE:VLTO
22B USD 16 23.4
US
Clean Harbors Inc
NYSE:CLH
16.3B USD 15.8 41.1
CA
GFL Environmental Inc
TSX:GFL
19.8B CAD 15.7 5.1
CN
Spic Yuanda Environmental Protection Co Ltd
SSE:600292
69.3B CNY 975.4 19 123.8
US
Tetra Tech Inc
NASDAQ:TTEK
8.1B USD 12.9 23.2
CN
Hui Lyu Ecological Technology Groups Co Ltd
SZSE:001267
40B CNY 258.9 453.9

Market Distribution

Higher than 96% of companies in United Kingdom
Percentile
96th
Based on 1 967 companies
96th percentile
18
Low
0 — 0
Typical Range
0 — 0
High
0 —
Distribution Statistics
United Kingdom
Min 0
30th Percentile 0
Median 0
70th Percentile 0
Max 743.2

Rentokil Initial PLC
Glance View

Rentokil Initial PLC has woven itself into the fabric of global business services with a legacy that stretches back to 1925. Emerging from its humble beginnings focused on pest control, the company has rooted its operations in hygiene, protection, and well-being. As the world evolved, so did Rentokil, fortifying its position across the globe by acquiring local businesses that allowed it to blend local expertise with its overarching proficiency. This strategy has effectively cast a wide net across various sectors including pest control, hygiene solutions, and workwear services, proving its resilience and adaptability in a competitive industry. By leveraging its diverse portfolio, the company not only addresses the broad and varying needs of businesses but ensures a steady stream of revenue through service contracts and repeat business, driven by necessity and compliance. Through meticulous service delivery backed by technological advancements, Rentokil Initial crafts its revenue streams. Pest control, which remains a core service, taps into a universal need for safe, pest-free environments in both residential and commercial spaces. Hygiene solutions have become more critical, especially in a post-pandemic world where cleanliness and health precautions drive demand. Here, Rentokil Initial's offering spans washroom services, air purification, and consumable supplies, meeting regulatory standards and client expectations alike. Meanwhile, the lesser-known workwear segment contributes by providing rental and laundering services, aligning with the growing trend of uniformed professionalism across industries. Each service compartment ensures a stable financial inflow as businesses worldwide continue to prioritize the safety, health, and image of their establishments.

RTO Intrinsic Value
35.29 USD
Undervaluation 3%
Intrinsic Value
Price $34.08
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