UPDATE: Jefferies Initiates Coverage On Rollins on Recurring Revenues/Untapped Market

In a report published on Wednesday, Jefferies analyst Dan Dolev initiated coverage on

with a Rating of Buy and a price target of $28. In the report, Jefferies stated, "Near term, rising healthcare costs may boost roll-ups. Most (50-90%) bed-bug clients are incremental, which can boost cross-selling. Longer term, we see a ~$30bn global opportunity and 200-500 margin upside." Rollins closed on Wednesday at $24.33.