RTO (Rentokil Initial) EV-to-EBIT: 28.88 (As of Jul. 15, 2026) — 16% Above Median

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RTO Rentokil Initial PLC RTO
84 GF Score
Price $29.82
GF Value $29.96
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is Rentokil Initial EV-to-EBIT?

Rentokil Initial RTO +0.81% 84 EV-to-EBIT is 28.88 as of Jul. 15, 2026, which is 16% above its 10-year median of 24.86. GuruFocus rates RTO with a GF Score™ of 84/100 and a GF Value™ of $29.96 (Fairly Valued). The stock has 6 warning signs investors should review. Among 855 Business Services companies, Rentokil Initial ranks worse than 85.5% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Rentokil Initial's Enterprise Value is $18,484 Mil. Rentokil Initial's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was $640 Mil. Therefore, Rentokil Initial's EV-to-EBIT for today is 28.88.

The historical rank and industry rank for Rentokil Initial's EV-to-EBIT or its related term are showing as below:

RTO' s EV-to-EBIT Range Over the Past 10 Years
Min: -166.25   Med: 24.86   Max: 47.11
Current: 28.88

During the past 13 years, the highest EV-to-EBIT of Rentokil Initial was 47.11. The lowest was -166.25. And the median was 24.86.

RTO's EV-to-EBIT is ranked worse than
85.5% of 855 companies
in the Business Services industry
Industry Median: 11.22 vs RTO: 28.88

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Rentokil Initial's Enterprise Value for the quarter that ended in Dec. 2025 was $18,633 Mil. Rentokil Initial's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was $640 Mil. Rentokil Initial's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 3.43%.


Rentokil Initial  (NYSE:RTO) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Rentokil Initial's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Dec. 2025 ) =EBIT / Enterprise Value (Q: Dec. 2025 )
=640/18632.68608
=3.43 %

Rentokil Initial's Enterprise Value for the quarter that ended in Dec. 2025 was $18,633 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Rentokil Initial's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was $640 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Rentokil Initial EV-to-EBIT Related Terms


Rentokil Initial EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Rentokil Initial's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rentokil Initial EV-to-EBIT Chart

Rentokil Initial Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 33.18 42.91 22.60 23.71 29.50

Rentokil Initial Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 22.60 0.00 23.71 0.00 29.50

RTO vs CTAS, CPRT, ULS: EV-to-EBIT Comparison

For the Specialty Business Services subindustry, Rentokil Initial's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Rentokil Initial EV-to-EBIT vs Business Services Industry

For the Business Services industry and Industrials sector, Rentokil Initial's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Rentokil Initial's EV-to-EBIT falls into.


RTO
84GF Score
Rentokil Initial PLC RTO
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rentokil Initial EV-to-EBIT Calculation

Rentokil Initial's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=18484.095/640
=28.88

Rentokil Initial's current Enterprise Value is $18,484 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Rentokil Initial's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was $640 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 28.88 mean?
Rentokil Initial (RTO) has a EV-to-EBIT of 28.88 as of Jul. 15, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Rentokil Initial and its competitors. This is 16% above median its historical median of 24.86. According to the industry distribution chart, Rentokil Initial ranks #731 out of 855 companies in the Business Services industry, placing it in the top 85.5%.
Is Rentokil Initial's EV-to-EBIT too high?
Rentokil Initial's current EV-to-EBIT of 28.88 is 16% above median its 10-year median of 24.86. The Business Services industry median EV-to-EBIT is 11.22. Rentokil Initial's value of 28.88 is 157.4% above this industry median. Based on the distribution chart, Rentokil Initial ranks #731 out of 855 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Rentokil Initial has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rentokil Initial's EV-to-EBIT compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Rentokil Initial ranks #731 out of 855 companies for EV-to-EBIT. This places Rentokil Initial in the lower half of its industry. The industry median EV-to-EBIT is 11.22. Rentokil Initial's value of 28.88 is 157.4% above this benchmark. While the company's 10-year median is 24.86 vs. the industry median of 11.22, Rentokil Initial has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Business Services company?
The median EV-to-EBIT among Business Services companies is 11.22, based on 855 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Rentokil Initial's current EV-to-EBIT of 28.88 is 157.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Rentokil Initial and its competitors. For the Business Services industry, the median EV-to-EBIT is 11.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rentokil Initial's current EV-to-EBIT is 28.88, which is 16% above median its own 10-year median of 24.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rentokil Initial stock overvalued right now?
Based on GuruFocus' analysis, Rentokil Initial (RTO) is currently considered Fairly Valued. The stock's GF Value™ is $29.96, compared to a current price of $29.82 — trading 0.5% below its estimated fair value. The current EV-to-EBIT is 28.88, which is 16% above median its 10-year median of 24.86 and 157.4% above the Business Services industry median of 11.22. Rentokil Initial's overall GF Score™ is 84/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Rentokil Initial (RTO), the current EV-to-EBIT is 28.88 as of Jul. 15, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Rentokil Initial (RTO) Overvalued in 2026?

Based on GuruFocus' analysis, Rentokil Initial stock appears to be undervalued. The current stock price of $29.82 is trading 0.5% below its estimated GF Value™ of $29.96. GuruFocus considers Rentokil Initial to be Fairly Valued.

Key valuation signals for RTO:

  • EV-to-EBIT: 28.88 (16% above median its 10-year median of 24.86)
  • GF Value™: $29.96 vs. price of $29.82 (0.5% below fair value)
  • GF Score™: 84/100 with 6 warning signs
  • Industry Position: 157.4% above the Business Services median (#731 of 855)

No single metric tells the full story. See the RTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rentokil Initial Business Description

Address Manor Royal, Compass House, Crawley, West Sussex, GBR, RH10 9PY
Rentokil Initial is the largest global provider of route-based pest control and commercial hygiene services, operating in over 90 countries, with its largest operations in the United States following the acquisition of Terminix. The group also offers a range of specialist route-based services, including office and commercial space plant care, property care, and workwear rentals. The group serves a diverse client base of global food producers, hotel chains, industrial goods companies, restaurants, and individual residential customers.
84GF Score

Get the complete analysis for RTO

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$29.82
Price
$29.96
GF Value