Here’s Why Rollins (ROL) Rose in Q4
Conestoga Capital Advisors, an asset management company, released its “Mid Cap Strategy” fourth-quarter 2023 investor letter. A copy of the same can be downloaded here. The Mid Cap Composite rose 11.00% net of fees in the fourth quarter, compared to a 14.55% return for the Russell Midcap Growth Index. Negative impacts from stock selection were outweighed by positive sector allocation effects. The Mid Cap Composite climbed 22.83% for the year vs. the benchmark’s rise of 25.87%. Four sectors accounted for the majority of the relative performance; the largest laggards were the industrial and technology sectors, while health care and energy were additive to returns. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Conestoga Capital Advisors Mid Cap Strategy featured stocks such as Rollins, Inc. (NYSE:ROL) in the fourth quarter 2023 investor letter. Based in Atlanta, Georgia, Rollins, Inc. (NYSE:ROL) offers pest and wildlife control services. On February 21, 2024, Rollins, Inc. (NYSE:ROL) stock closed at $41.37 per share. One-month return of Rollins, Inc. (NYSE:ROL) was -3.81%, and its shares gained 17.23% of their value over the last 52 weeks. Rollins, Inc. (NYSE:ROL) has a market capitalization of $20.018 billion.
Conestoga Capital Advisors Mid Cap Strategy stated the following regarding Rollins, Inc. (NYSE:ROL) in its fourth quarter 2023 investor letter:
"Rollins, Inc. (NYSE:ROL): ROL is a leader in pest control across residential and commercial markets in the United States. 3Q results continued to demonstrate its strong and differentiated business model. ROL’s revenue showed balanced growth of 8.4% and it expanded EBITDA margins by 150 basis points. Earlier in the quarter, ROL’s competitor, Rentokil, reported results that had investors concerned that the pest control market was seeing slowing growth. ROL’s strong quarterly organic growth in the residential and commercial divisions dispelled that market sentiment."
A pest control service technician spraying insecticide in a residential property.
Rollins, Inc. (NYSE:ROL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Rollins, Inc. (NYSE:ROL) was held by 37 hedge fund portfolios, down from 42 in the previous quarter, according to our database.
We discussed Rollins, Inc. (NYSE:ROL) in another article and shared Conestoga Capital Advisors' views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q4 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
