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Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

BoA upgrades Rentokil to 'buy', shares spark

(Sharecast News) - Rentokil Initial shares sparked on Thursday after Bank of America upgraded the pest control firm to 'buy' from 'neutral' and lifted the price target to 510p from 425p, citing recent share price underperformance. The bank said the underperformance of the shares this year leaves the valuation 10% below history.

BoA, which added Rentokil to its 'Europe 1 list' of top ideas, said it believes the company still has an "untapped" opportunity in residential.

It also said that with more visibility on the Terminix integration, there is scope for a re-rating in 2026.

At 1500 GMT, the shares were up 3.3% at 447p.

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Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

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