Rentokil Initial (NYSE:RTO) Shares Gap Up - Still a Buy?

Rentokil Initial plc (NYSE:RTO - Get Free Report)'s share price gapped up before the market opened on Thursday . The stock had previously closed at $22.92, but opened at $24.46. Rentokil Initial shares last traded at $24.33, with a volume of 98,192 shares traded.

Wall Street Analyst Weigh In

A number of analysts have weighed in on the company. UBS Group upgraded Rentokil Initial from a "sell" rating to a "neutral" rating in a report on Monday, July 1st. Sanford C. Bernstein raised shares of Rentokil Initial from an "underperform" rating to a "market perform" rating in a research report on Monday, July 22nd. Barclays raised shares of Rentokil Initial to a "strong-buy" rating in a research report on Friday, July 26th. Finally, Redburn Atlantic cut shares of Rentokil Initial from a "buy" rating to a "neutral" rating in a research report on Thursday, September 19th. Five investment analysts have rated the stock with a hold rating, one has assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $29.00.

Rentokil Initial Stock Performance

The company has a debt-to-equity ratio of 0.75, a quick ratio of 0.96 and a current ratio of 1.04. The stock has a market cap of $12.40 billion, a PE ratio of 16.42, a price-to-earnings-growth ratio of 3.74 and a beta of 1.10. The company's 50 day simple moving average is $27.86 and its 200 day simple moving average is $28.29.

Rentokil Initial Cuts Dividend

The business also recently declared a semi-annual dividend, which was paid on Tuesday, September 17th. Stockholders of record on Friday, August 9th were paid a dividend of $0.2034 per share. The ex-dividend date was Friday, August 9th. This represents a dividend yield of 1.7%. Rentokil Initial's payout ratio is currently 24.00%.

Institutional Investors Weigh In On Rentokil Initial

Several large investors have recently modified their holdings of RTO. Whittier Trust Co. of Nevada Inc. increased its stake in shares of Rentokil Initial by 81.3% during the 1st quarter. Whittier Trust Co. of Nevada Inc. now owns 968 shares of the company's stock worth $29,000 after purchasing an additional 434 shares during the last quarter. Rothschild Investment LLC purchased a new stake in shares of Rentokil Initial during the 2nd quarter worth approximately $29,000. Northwestern Mutual Wealth Management Co. increased its stake in shares of Rentokil Initial by 403.3% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 1,052 shares of the company's stock worth $31,000 after purchasing an additional 843 shares during the last quarter. GPS Wealth Strategies Group LLC purchased a new position in Rentokil Initial in the 2nd quarter valued at approximately $38,000. Finally, Sunbelt Securities Inc. purchased a new position in Rentokil Initial in the 2nd quarter valued at approximately $40,000. Hedge funds and other institutional investors own 9.91% of the company's stock.

About Rentokil Initial

Rentokil Initial plc, together with its subsidiaries, provides route-based services in North America, the United Kingdom, rest of Europe, Asia, the Pacific, and internationally. It offers a range of pest control services for rodents, and flying and crawling insects, as well as other forms of wildlife management for commercial customers.