Seek Returns logo

ABNB vs. ROL: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ABNB and ROL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ABNB’s market capitalization of 85.50 billion USD is substantially larger than ROL’s 27.35 billion USD, indicating a significant difference in their market valuations.

With betas of 1.14 for ABNB and 0.77 for ROL, both stocks show similar sensitivity to overall market movements.

SymbolABNBROL
Company NameAirbnb, Inc.Rollins, Inc.
CountryUSUS
SectorConsumer CyclicalConsumer Cyclical
IndustryTravel ServicesPersonal Products & Services
CEOBrian CheskyJerry E. Gahlhoff Jr.
Price136.49 USD56.44 USD
Market Cap85.50 billion USD27.35 billion USD
Beta1.140.77
ExchangeNASDAQNYSE
IPO DateDecember 10, 2020March 17, 1980
ADRNoNo

Historical Performance

This chart compares the performance of ABNB and ROL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ABNB vs. ROL: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ABNB

30.91%

Travel Services Industry

Max
73.02%
Q3
34.55%
Median
12.42%
Q1
-4.86%
Min
-43.74%

ABNB’s Return on Equity of 30.91% is on par with the norm for the Travel Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

ROL

36.43%

Personal Products & Services Industry

Max
36.43%
Q3
34.54%
Median
22.95%
Q1
10.17%
Min
8.14%

In the upper quartile for the Personal Products & Services industry, ROL’s Return on Equity of 36.43% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ABNB vs. ROL: A comparison of their ROE against their respective Travel Services and Personal Products & Services industry benchmarks.

Return on Invested Capital

ABNB

18.96%

Travel Services Industry

Max
20.68%
Q3
16.03%
Median
10.02%
Q1
6.13%
Min
3.60%

In the upper quartile for the Travel Services industry, ABNB’s Return on Invested Capital of 18.96% signifies a highly effective use of its capital to generate profits when compared to its peers.

ROL

20.30%

Personal Products & Services Industry

Max
27.53%
Q3
18.19%
Median
6.05%
Q1
5.07%
Min
4.32%

In the upper quartile for the Personal Products & Services industry, ROL’s Return on Invested Capital of 20.30% signifies a highly effective use of its capital to generate profits when compared to its peers.

ABNB vs. ROL: A comparison of their ROIC against their respective Travel Services and Personal Products & Services industry benchmarks.

Net Profit Margin

ABNB

22.60%

Travel Services Industry

Max
30.84%
Q3
20.18%
Median
9.77%
Q1
7.81%
Min
-5.69%

A Net Profit Margin of 22.60% places ABNB in the upper quartile for the Travel Services industry, signifying strong profitability and more effective cost management than most of its peers.

ROL

13.78%

Personal Products & Services Industry

Max
15.20%
Q3
13.19%
Median
12.58%
Q1
9.68%
Min
5.91%

A Net Profit Margin of 13.78% places ROL in the upper quartile for the Personal Products & Services industry, signifying strong profitability and more effective cost management than most of its peers.

ABNB vs. ROL: A comparison of their Net Profit Margin against their respective Travel Services and Personal Products & Services industry benchmarks.

Operating Profit Margin

ABNB

22.17%

Travel Services Industry

Max
32.49%
Q3
23.05%
Median
17.29%
Q1
11.44%
Min
3.62%

ABNB’s Operating Profit Margin of 22.17% is around the midpoint for the Travel Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

ROL

19.27%

Personal Products & Services Industry

Max
23.09%
Q3
22.09%
Median
19.37%
Q1
19.11%
Min
18.95%

ROL’s Operating Profit Margin of 19.27% is around the midpoint for the Personal Products & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

ABNB vs. ROL: A comparison of their Operating Margin against their respective Travel Services and Personal Products & Services industry benchmarks.

Profitability at a Glance

SymbolABNBROL
Return on Equity (TTM)30.91%36.43%
Return on Assets (TTM)10.13%16.19%
Return on Invested Capital (TTM)18.96%20.30%
Net Profit Margin (TTM)22.60%13.78%
Operating Profit Margin (TTM)22.17%19.27%
Gross Profit Margin (TTM)83.05%51.90%

Financial Strength

Current Ratio

ABNB

1.27

Travel Services Industry

Max
1.90
Q3
1.56
Median
1.16
Q1
0.68
Min
0.18

ABNB’s Current Ratio of 1.27 aligns with the median group of the Travel Services industry, indicating that its short-term liquidity is in line with its sector peers.

ROL

0.87

Personal Products & Services Industry

Max
1.34
Q3
0.91
Median
0.78
Q1
0.56
Min
0.34

ROL’s Current Ratio of 0.87 aligns with the median group of the Personal Products & Services industry, indicating that its short-term liquidity is in line with its sector peers.

ABNB vs. ROL: A comparison of their Current Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Debt-to-Equity Ratio

ABNB

0.29

Travel Services Industry

Max
2.53
Q3
2.25
Median
1.87
Q1
0.29
Min
0.20

Falling into the lower quartile for the Travel Services industry, ABNB’s Debt-to-Equity Ratio of 0.29 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ROL

0.67

Personal Products & Services Industry

Max
2.92
Q3
2.67
Median
1.61
Q1
1.02
Min
0.67

Falling into the lower quartile for the Personal Products & Services industry, ROL’s Debt-to-Equity Ratio of 0.67 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ABNB vs. ROL: A comparison of their D/E Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Interest Coverage Ratio

ABNB

--

Travel Services Industry

Max
9.48
Q3
6.06
Median
3.05
Q1
2.58
Min
0.53

Interest Coverage Ratio data for ABNB is currently unavailable.

ROL

25.92

Personal Products & Services Industry

Max
10.34
Q3
8.69
Median
5.92
Q1
3.99
Min
2.55

With an Interest Coverage Ratio of 25.92, ROL demonstrates a superior capacity to service its debt, placing it well above the typical range for the Personal Products & Services industry. This stems from either robust earnings or a conservative debt load.

ABNB vs. ROL: A comparison of their Interest Coverage against their respective Travel Services and Personal Products & Services industry benchmarks.

Financial Strength at a Glance

SymbolABNBROL
Current Ratio (TTM)1.270.87
Quick Ratio (TTM)1.270.81
Debt-to-Equity Ratio (TTM)0.290.67
Debt-to-Asset Ratio (TTM)0.090.31
Net Debt-to-EBITDA Ratio (TTM)-2.070.91
Interest Coverage Ratio (TTM)--25.92

Growth

The following charts compare key year-over-year (YoY) growth metrics for ABNB and ROL. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ABNB vs. ROL: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ABNB vs. ROL: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ABNB vs. ROL: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ABNB

0.00%

Travel Services Industry

Max
4.09%
Q3
0.54%
Median
0.00%
Q1
0.00%
Min
0.00%

ABNB currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ROL

1.14%

Personal Products & Services Industry

Max
2.74%
Q3
1.33%
Median
0.98%
Q1
0.00%
Min
0.00%

ROL’s Dividend Yield of 1.14% is consistent with its peers in the Personal Products & Services industry, providing a dividend return that is standard for its sector.

ABNB vs. ROL: A comparison of their Dividend Yield against their respective Travel Services and Personal Products & Services industry benchmarks.

Dividend Payout Ratio

ABNB

0.00%

Travel Services Industry

Max
37.56%
Q3
4.41%
Median
0.00%
Q1
0.00%
Min
0.00%

ABNB has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ROL

63.98%

Personal Products & Services Industry

Max
63.98%
Q3
33.63%
Median
14.59%
Q1
0.00%
Min
0.00%

ROL’s Dividend Payout Ratio of 63.98% is in the upper quartile for the Personal Products & Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ABNB vs. ROL: A comparison of their Payout Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Dividend at a Glance

SymbolABNBROL
Dividend Yield (TTM)0.00%1.14%
Dividend Payout Ratio (TTM)0.00%63.98%

Valuation

Price-to-Earnings Ratio

ABNB

33.40

Travel Services Industry

Max
43.15
Q3
34.01
Median
22.22
Q1
16.56
Min
9.02

ABNB’s P/E Ratio of 33.40 is within the middle range for the Travel Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ROL

57.29

Personal Products & Services Industry

Max
57.02
Q3
34.11
Median
22.19
Q1
16.68
Min
13.14

At 57.29, ROL’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Personal Products & Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

ABNB vs. ROL: A comparison of their P/E Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Forward P/E to Growth Ratio

ABNB

1.66

Travel Services Industry

Max
2.37
Q3
1.61
Median
1.00
Q1
0.54
Min
0.02

A Forward PEG Ratio of 1.66 places ABNB in the upper quartile for the Travel Services industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

ROL

5.66

Personal Products & Services Industry

Max
2.94
Q3
2.94
Median
2.91
Q1
2.27
Min
1.79

ROL’s Forward PEG Ratio of 5.66 is exceptionally high for the Personal Products & Services industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

ABNB vs. ROL: A comparison of their Forward PEG Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Price-to-Sales Ratio

ABNB

7.61

Travel Services Industry

Max
7.69
Q3
5.64
Median
2.87
Q1
0.93
Min
0.41

ABNB’s P/S Ratio of 7.61 is in the upper echelon for the Travel Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ROL

7.90

Personal Products & Services Industry

Max
2.76
Q3
2.66
Median
2.28
Q1
1.97
Min
1.76

With a P/S Ratio of 7.90, ROL trades at a valuation that eclipses even the highest in the Personal Products & Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ABNB vs. ROL: A comparison of their P/S Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Price-to-Book Ratio

ABNB

10.68

Travel Services Industry

Max
10.52
Q3
10.49
Median
9.35
Q1
4.57
Min
1.91

The P/B Ratio is often not a primary valuation metric for the Travel Services industry.

ROL

20.17

Personal Products & Services Industry

Max
22.10
Q3
16.83
Median
6.21
Q1
3.69
Min
1.93

ROL’s P/B Ratio of 20.17 is in the upper tier for the Personal Products & Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ABNB vs. ROL: A comparison of their P/B Ratio against their respective Travel Services and Personal Products & Services industry benchmarks.

Valuation at a Glance

SymbolABNBROL
Price-to-Earnings Ratio (P/E, TTM)33.4057.29
Forward PEG Ratio (TTM)1.665.66
Price-to-Sales Ratio (P/S, TTM)7.617.90
Price-to-Book Ratio (P/B, TTM)10.6820.17
Price-to-Free Cash Flow Ratio (P/FCF, TTM)19.5045.59
EV-to-EBITDA (TTM)31.2535.81
EV-to-Sales (TTM)7.148.10