ROLNEUTRAL

Gross Margin

50.8%

Higher than 75% of Consumer Cyclical sector peers

Updated 152h ago

Sector Performance

75th percentile

ROL

50.8%

Sector Median

36.3%

Sector Avg

30.2%

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Deep Analysis

Gross margin measures the percentage of revenue a company keeps after paying for the direct costs of its products or services.

Rollins’ current gross margin of 50.8% means it retains over half of each sales dollar as gross profit, far exceeding the sector median of 36.3% among Consumer Cyclical peers, placing it in the 75th percentile. The trend for this metric shows no available data: the year-over-year change is reported as N/A, the quarter-over-quarter change is N/A, and the trend direction over the last eight quarters is also N/A. Without a trend, an investor cannot gauge whether the high margin is stable, improving, or declining, which introduces uncertainty despite the strong level. The combination of an elevated gross margin and a lack of trend data suggests limited downside risk from margin compression, but also no clear catalyst for further upside. This metric supports the overall NEUTRAL verdict because the high margin is a positive but static signal that is neither strengthening nor weakening.

Frequently Asked Questions

What does the Gross Margin tell investors about ROL?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

How does ROL's Gross Margin compare to its sector?

ROL's Gross Margin of 50.8% compares to a Consumer Cyclical sector median of 36.3%, placing it in the 75th percentile.

Who are ROL's closest peers by Gross Margin?

The closest Consumer Cyclical peers by Gross Margin include: DKNG (42.3%), BBWI (42.6%), SE (44.3%), YUM (44.7%), RIDE (49.4%).

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.