RTO vs. WM: Rentokil Initial vs. Waste Management Stock Comparison
How do Rentokil Initial (RTO) and Waste Management (WM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Rentokil Initial (RTO) and Waste Management (WM) are both classified in the Environmental & Facilities Services sub-industry within the broader Commercial Services & Supplies industry, placing them in the closest GICS peer bucket.
Waste Management (WM) trades as ordinary local shares, while Rentokil Initial (RTO) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | RTO | WM |
|---|---|---|
| Name | Rentokil Initial plc American Depositary Shares (each representing five Ordinary Shares) | Waste Management Inc. |
| Country/Region | United Kingdom | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry Group | Commercial & Professional Services | Commercial & Professional Services |
| GICS Industry | Commercial Services & Supplies | Commercial Services & Supplies |
| GICS Sub-Industry | Environmental & Facilities Services | Environmental & Facilities Services |
| Market Capitalization | 11.87 billion USD | 93.95 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | November 18, 1996 | June 22, 1988 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | RTO | WM |
|---|---|---|
| Total Return (1Y) | -10.02% | 19.43% |
| Total Return (3Y, Annualized) | -1.88% | 13.45% |
| Total Return (5Y, Annualized) | -8.85% | 9.97% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | RTO | WM |
|---|---|---|
| Volatility (1Y, Annualized) | 33.85% | 21.31% |
| Beta (5Y) | 0.98 | 0.37 |
| Max Drawdown (5Y) | -50.93% | -18.14% |
| Avg. Volume (3M) | 1.74M | 2.24M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | RTO | WM |
|---|---|---|
| Sharpe Ratio (1Y) | -0.42 | 0.71 |
| Sortino Ratio (1Y) | -0.57 | 1.07 |
Profitability
ROE (TTM)
Waste Management (WM) at 31.68% sits in the top ROE quartile, while Rentokil Initial (RTO) at 5.97% is closer to the peer norm — stronger capital efficiency for WM.
RTO
Commercial & Professional Services industry group
5.97%
- Max
- 47.06%
- Q3
- 25.43%
- Median
- 14.11%
- RTO
- 5.97%
- Q1
- 3.92%
- Min
- -20.15%
WM
Commercial & Professional Services industry group
31.68%
- Max
- 47.06%
- WM
- 31.68%
- Q3
- 25.43%
- Median
- 14.11%
- Q1
- 3.92%
- Min
- -20.15%
Net Margin (TTM)
Waste Management (WM) at 11.78% retains a top-quartile share of revenue as profit, ahead of Rentokil Initial (RTO) at 6.70%, which keeps about the industry-typical share.
RTO
Commercial & Professional Services industry group
6.70%
- Max
- 23.28%
- Q3
- 11.35%
- RTO
- 6.70%
- Median
- 5.65%
- Q1
- 0.87%
- Min
- -8.60%
WM
Commercial & Professional Services industry group
11.78%
- Max
- 23.28%
- WM
- 11.78%
- Q3
- 11.35%
- Median
- 5.65%
- Q1
- 0.87%
- Min
- -8.60%
Operating Margin (TTM)
Waste Management (WM) at 19.08% operates in the top operating margin quartile, ahead of Rentokil Initial (RTO) at 12.79%, which runs around its industry’s norm.
RTO
Commercial & Professional Services industry group
12.79%
- Max
- 38.50%
- Q3
- 18.84%
- RTO
- 12.79%
- Median
- 10.40%
- Q1
- 5.59%
- Min
- -12.00%
WM
Commercial & Professional Services industry group
19.08%
- Max
- 38.50%
- WM
- 19.08%
- Q3
- 18.84%
- Median
- 10.40%
- Q1
- 5.59%
- Min
- -12.00%
Profitability Metrics
| Metric | RTO | WM |
|---|---|---|
| ROE (TTM) | 5.97% | 31.68% |
| ROA (TTM) | 4.00% | 6.69% |
| Net Margin (TTM) | 6.70% | 11.78% |
| Operating Margin (TTM) | 12.79% | 19.08% |
| Gross Margin (TTM) | 14.01% | 40.39% |
Growth
Revenue Growth
Waste Management (WM) at 14.24% sits in the top revenue growth quartile, while Rentokil Initial (RTO) at 4.40% is closer to the peer norm — faster top-line expansion for WM.
EPS Growth
Rentokil Initial (RTO) at 21.70% sits in the top EPS growth quartile, while Waste Management (WM) at -1.62% is closer to the peer norm — faster per-share earnings growth for RTO.
Growth Metrics
| Metric | RTO | WM |
|---|---|---|
| Revenue Growth (YoY) | 4.40% | 14.24% |
| Revenue Growth (3Y CAGR) | 15.40% | 8.56% |
| EPS Growth (YoY) | 21.70% | -1.62% |
| EPS Growth (3Y CAGR) | 10.00% | 7.52% |
Financial Strength
Current Ratio (MRQ)
Both Rentokil Initial (RTO) at 1.06 and Waste Management (WM) at 0.82 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
RTO
Commercial & Professional Services industry group
1.06
- Max
- 3.63
- Q3
- 2.14
- Median
- 1.55
- Q1
- 1.09
- RTO
- 1.06
- Min
- 0.45
WM
Commercial & Professional Services industry group
0.82
- Max
- 3.63
- Q3
- 2.14
- Median
- 1.55
- Q1
- 1.09
- WM
- 0.82
- Min
- 0.45
Debt / Equity (MRQ)
Rentokil Initial (RTO) at 1.11 carries an industry-typical debt-to-equity mix, while Waste Management (WM) at 2.37 uses more debt funding than most peers.
RTO
Commercial & Professional Services industry group
1.11
- Max
- 2.37
- Q3
- 1.25
- RTO
- 1.11
- Median
- 0.88
- Q1
- 0.35
- Min
- 0.00
WM
Commercial & Professional Services industry group
2.37
- WM
- 2.37
- Max
- 2.37
- Q3
- 1.25
- Median
- 0.88
- Q1
- 0.35
- Min
- 0.00
Financial Strength Metrics
| Metric | RTO | WM |
|---|---|---|
| Current Ratio (MRQ) | 1.06 | 0.82 |
| Debt / Equity (MRQ) | 1.11 | 2.37 |
| Net Debt / EBITDA | 2.93 | 2.94 |
Dividends
Dividend Yield (TTM)
Both Rentokil Initial (RTO) at 0.53% and Waste Management (WM) at 1.52% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.
RTO
Commercial & Professional Services industry group
0.53%
- Max
- 4.33%
- Q3
- 1.80%
- Median
- 0.60%
- RTO
- 0.53%
- Q1
- 0.00%
- Min
- 0.00%
WM
Commercial & Professional Services industry group
1.52%
- Max
- 4.33%
- Q3
- 1.80%
- WM
- 1.52%
- Median
- 0.60%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Rentokil Initial (RTO) at 97.56% and Waste Management (WM) at 48.03% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.
RTO
Commercial & Professional Services industry group
97.56%
- Max
- 99.58%
- RTO
- 97.56%
- Q3
- 41.99%
- Median
- 17.27%
- Q1
- 0.00%
- Min
- -17.94%
WM
Commercial & Professional Services industry group
48.03%
- Max
- 99.58%
- WM
- 48.03%
- Q3
- 41.99%
- Median
- 17.27%
- Q1
- 0.00%
- Min
- -17.94%
Dividend Metrics
| Metric | RTO | WM |
|---|---|---|
| Dividend Yield (TTM) | 0.53% | 1.52% |
| Dividend Payout Ratio (TTM) | 97.56% | 48.03% |
Valuation
P/E Ratio (TTM)
Waste Management (WM) at 31.01 is near its industry’s usual P/E ratio, while Rentokil Initial (RTO) at 37.48 sits in the richer quartile — RTO needs stronger growth or earnings quality to justify the premium.
RTO
Commercial & Professional Services industry group
37.48
- Max
- 49.47
- RTO
- 37.48
- Q3
- 33.76
- Median
- 24.16
- Q1
- 16.01
- Min
- 1.89
WM
Commercial & Professional Services industry group
31.01
- Max
- 49.47
- Q3
- 33.76
- WM
- 31.01
- Median
- 24.16
- Q1
- 16.01
- Min
- 1.89
P/S Ratio (TTM)
Rentokil Initial (RTO) at 1.66 is priced about in line with its industry on P/S ratio, while Waste Management (WM) at 3.60 sits in the pricier quartile — WM costs more per dollar of sales.
RTO
Commercial & Professional Services industry group
1.66
- Max
- 7.17
- Q3
- 3.35
- RTO
- 1.66
- Median
- 1.33
- Q1
- 0.69
- Min
- 0.11
WM
Commercial & Professional Services industry group
3.60
- Max
- 7.17
- WM
- 3.60
- Q3
- 3.35
- Median
- 1.33
- Q1
- 0.69
- Min
- 0.11
P/B Ratio (MRQ)
Rentokil Initial (RTO) at 2.16 is valued about in line with its industry on P/B ratio, while Waste Management (WM) at 9.52 carries an above-peer premium to book — WM is pricier on assets.
RTO
Commercial & Professional Services industry group
2.16
- Max
- 11.25
- Q3
- 6.08
- Median
- 2.92
- RTO
- 2.16
- Q1
- 1.55
- Min
- -2.78
WM
Commercial & Professional Services industry group
9.52
- Max
- 11.25
- WM
- 9.52
- Q3
- 6.08
- Median
- 2.92
- Q1
- 1.55
- Min
- -2.78
Valuation Metrics
| Metric | RTO | WM |
|---|---|---|
| P/E Ratio (TTM) | 37.48 | 31.01 |
| P/S Ratio (TTM) | 1.66 | 3.60 |
| P/B Ratio (MRQ) | 2.16 | 9.52 |
| Free Cash Flow Yield (TTM) | 8.85% | 2.64% |