From Morningstar: 2024-09-13 05:46:00

Rentokil Initial’s share price dipped with news of a North American business slowdown, leading to lower profits. Estimated profit before tax and amortization could fall to £700 million in 2024 from £766 million in 2023. North American revenues, constituting over 50% of sales post-acquisition of Terminix, need improvement. The drop in share price erased £2bn from market capitalization.

Despite challenges, Rentokil’s fair value estimate remains at 620p, factoring in expected 4% organic growth from 2025. Activist investor Nelson Peltz recently acquired a stake in the company, aiming to enhance shareholder value. Rentokil is trading at $29.12 and will pay an interim dividend of 3.16p on September 16.



Read more at Morningstar: Dividend Watch: Rentokil is Still Struggling, and…