NAS10029,447+1.73%S&P7,638+1.14%GOLD$4,412+0.27%BTC$77,965+2.04%VIX15.48+0.26%live tape · as of 15:00 UTC
The Screen · Industrials · Specialty Business Services
Rentokil Initial plc
RTO · the NYSE · USD · Market cap $11.3B · 63,388 employees
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.
FAIL · Does not pass the screen
22.37 USD
At the last full screen 2026-09-11
Screened 2026-09-11 · the tape above runs as of 15:00 UTC · two dates, stated on purpose · verdict and workings shown in full · never trimmed
The Label · The Season, Not the Day
This name holds its markdown label.
Rentokil Initial plc holds its Markdown at $22.37. Consolidating, no directional conviction, held for 58 days.
As held on the ledger · 2026-09-11
Phase
Markdown · caution
Quantitative state
Consolidating, no directional conviction, held for 58 days
Price at the screen
$22.37
Valuation
35.51 trailing · 14.43 forward price to earnings
Values screen
FAIL· score 70.0
Beta
0.41
The Workings
Five Screens, Shown in Full
Does not pass. Debt ratio
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
42.47%
Below 33%
Interest-bearing debt is 42.5% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
0.01%
Below 33%
Cash held in interest-bearing accounts and securities is 0.0% of assets, under the one-third limit.
Pass
Receivables
24.04%
Below 49%
Money owed to the company is 24.0% of assets, under the 49% limit.
Pass
Revenue purity
0.45%
Below 5%
Only 0.4% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
Fair value range in USD, drawn from the 2026-09-11 screen. The gold marker is the market price at the same screen. A 43.5% margin of safety to the base estimate.
Third-party analyst targets: 4 covering, consensus None. The average target sits +48% from the screen price.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Price History & Projections
Where it has been, where the models see it going. History from market close data; projection points are our fair-value estimates and third-party analyst targets, dated to the 2026-09-11 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Pest routes that fail to excite
Think of the van that turns up at your office or home every few months to keep the mice and wasps at bay. That steady, unglamorous work is exactly what Rentokil Initial does across dozens of countries. The service feels essential yet the numbers show only 6 percent revenue growth, a 7 percent profit margin and a 5 percent return on equity.
We pass on the shares. The stock trades at 18.5 times forward earnings with a 15 percent gap to our fair value, but the low returns and unknown competitive edge leave no real margin of safety once you strip away the analyst buy ratings. Ethical screens are cleared, yet that alone does not create an opportunity.
The main risk is that modest growth and thin returns persist in a business where pricing power looks limited and costs can creep up with fuel and labour. A cyclical slowdown in commercial real estate would hit volumes quickly. Analysis, not advice.
The risks · The things to watch: its business and earnings are exposed to United Kingdom and to currency swings.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
RTO trades on the NYSE (the company is based in United Kingdom). As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-09-12Markdown · changed$22.37-8.5%Entry 5
The framework has shifted from distribution to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 8.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 5% above its long-term trend line with momentum reading oversold. Over the past year the shares are up 28%. Our forward projection puts the odds of a 10% gain over the next month near 24%. The street (4 analysts) rates it none, with a mean price target of $36.
The framework has shifted from markdown to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 20.2% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 5% above its long-term trend line with momentum reading oversold. Over the past year the shares are up 28%. Our forward projection puts the odds of a 10% gain over the next month near 24%. The street (4 analysts) rates it none, with a mean price target of $36.
2026-07-18Markdown$30.66+0.0%Entry 3
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is holding around 5% above its long-term trend line with momentum reading oversold. Over the past year the shares are up 28%. Our forward projection puts the odds of a 10% gain over the next month near 24%. The street (4 analysts) rates it none, with a mean price target of $36.
2026-07-03Markdown$30.66+0.0%Entry 2
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows modest positive risk-adjusted returns.
2026-07-02Markdown$30.66Entry 1
The framework reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows modest positive risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
