Rollins' Near-Term Visibility Remains Constrained Due to GenAI Disruptions, Macro Pressures, RBC Says

11:04 AM EDT, 10/16/2026 (MT Newswires) -- Rollins' (ROL) Commercial and Ancillary segments continue to deliver solid performance and lead volume growth, but near-term visibility remains limited as Residential demand faces headwinds from digital channel softness, stemming from GenAI-related disruptions and macro pressures impacting one-time revenues, RBC Capital Markets said in a note Friday. Rollins is scheduled to release its Q3 results on Oct. 21. The company is working with multiple providers to adapt its strategies to the GenAI landscape, but has yet to make meaningful progress, according to the note. Rollins' website traffic shows continued volume decline through September, compared with website traffic growth for certain competitors over the same period, the note added. RBC views these headwinds as potentially temporary, although the timing of a recovery remains uncertain. Any early signs of improvement could be received positively by investors, the brokerage said. The brokerage expects Q3 revenue growth of 8.1% to $1.11 billion and adjusted EPS to reach $0.34, broadly in line with consensus. RBC kept its sector perform rating on Rollins with a price target of $40. Price: 33.67, Change: -0.22, Percent Change: -0.65