Rentokil InitialRTO +3.34%85 5-Year Yield-on-Cost % is 2.07 as of Jul. 04, 2026, which is 59% above its 10-year median of 1.30. GuruFocus rates RTO with a GF Score™ of 85/100 and a GF Value™ of $29.92 (Fairly Valued). The stock has 6 warning signs investors should review. Among 601 Business Services companies, Rentokil Initial ranks worse than 73.71% on this metric.
Rentokil Initial's yield on cost for the quarter that ended in Dec. 2025 was 2.07.
The historical rank and industry rank for Rentokil Initial's 5-Year Yield-on-Cost % or its related term are showing as below:
RTO'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.8 Med: 1.3 Max: 2.76
Current: 2.07
During the past 13 years, Rentokil Initial's highest Yield on Cost was 2.76. The lowest was 0.80. And the median was 1.30.
RTO's 5-Year Yield-on-Cost % is ranked worse than 73.71% of 601
companies
in the Business Services industry
Industry Median: 4.18
vs RTO: 2.07
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Rentokil Initial 5-Year Yield-on-Cost % Related Terms
RTO vs CTAS, CPRT, ULS: 5-Year Yield-on-Cost % Comparison
For the Specialty Business Services subindustry, Rentokil Initial's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Business Services Industry
For the Business Services industry and Industrials sector, Rentokil Initial's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Rentokil Initial's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Rentokil Initial (RTO) has a 5-Year Yield-on-Cost % of 2.07 as of Jul. 04, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Rentokil Initial and its competitors. This is 59% above median its historical median of 1.30. Over the past decade, Rentokil Initial's 5-Year Yield-on-Cost % has ranged from 0.80 to 2.76. According to the industry distribution chart, Rentokil Initial ranks #443 out of 601 companies in the Business Services industry, placing it in the top 73.7%.
Is Rentokil Initial's 5-Year Yield-on-Cost % too high?
Rentokil Initial's current 5-Year Yield-on-Cost % of 2.07 is 59% above median its 10-year median of 1.30. Over the past 10 years, this metric has ranged from a low of 0.80 to a high of 2.76. The Business Services industry median 5-Year Yield-on-Cost % is 4.18. Rentokil Initial's value of 2.07 is 50.5% below this industry median. Based on the distribution chart, Rentokil Initial ranks #443 out of 601 companies in the Business Services industry, which is below the industry midpoint. Overall, Rentokil Initial has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rentokil Initial's 5-Year Yield-on-Cost % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Rentokil Initial ranks #443 out of 601 companies for 5-Year Yield-on-Cost %. This places Rentokil Initial in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.18. Rentokil Initial's value of 2.07 is 50.5% below this benchmark. Historically, Rentokil Initial's own 5-Year Yield-on-Cost % has ranged from 0.80 to 2.76 over the past decade. While the company's 10-year median is 1.30 vs. the industry median of 4.18, Rentokil Initial has consistently been below 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 5-Year Yield-on-Cost % for a Business Services company?
The median 5-Year Yield-on-Cost % among Business Services companies is 4.18, based on 601 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Rentokil Initial's current 5-Year Yield-on-Cost % of 2.07 is 50.5% below 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Rentokil Initial and its competitors. For the Business Services industry, the median 5-Year Yield-on-Cost % is 4.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rentokil Initial's current 5-Year Yield-on-Cost % is 2.07, which is 59% above median its own 10-year median of 1.30. 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 $29.92, compared to a current price of $29.99 — trading 0.2% above its estimated fair value. The current 5-Year Yield-on-Cost % is 2.07, which is 59% above median its 10-year median of 1.30 and 50.5% below the Business Services industry median of 4.18. Rentokil Initial's overall GF Score™ is 85/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Rentokil Initial (RTO), the current 5-Year Yield-on-Cost % is 2.07 as of Jul. 04, 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 overvalued.
The current stock price of $29.99 is trading 0.2% above its estimated GF Value™ of $29.92.
GuruFocus considers Rentokil Initial to be Fairly Valued.
Key valuation signals for RTO:
5-Year Yield-on-Cost %: 2.07 (59% above median its 10-year median of 1.30)
GF Value™: $29.92 vs. price of $29.99 (0.2% above fair value)
Industry Position: 50.5% below the Business Services median (#443 of 601)
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 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.
85GF Score
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