Republic Services (RSG) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Republic Services (RSG) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
RSG continues to benefit from increasing environmental concerns, rapid industrialization, and an increase in population.
The Zacks Waste Removal Services industry is anticipated to gain from the surging need for ESG Goals, technological advancements and innovation in WTE technology. RSG, WCN and WM are positioned to benefit from rising demands.
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Republic Services excels in waste collection with vertically integrated operations, sustainability initiatives, and a solid financial track record, making it a top choice for stability and growth. RSG's significant pricing power, strong economic moat, and recession-resistant cash flows make it attractive, especially with its promising investments in renewable energy and recycling. Despite a high valuation, RSG's consistent outperformance in bear markets and alignment with GARP-style investment strategies justify its premium price.
Republic Services (RSG) reported earnings 30 days ago. What's next for the stock?
Republic Services stock is benefiting from rapid industrialization and the use of CNG to operate its fleet. Low liquidity casts a shadow over its performance.
I reiterate a 'Buy' rating for Republic Services, with a fair value of $238 per share, driven by robust growth and strategic initiatives. Republic Services reported 4.2% internal revenue growth and 13.8% adjusted EBITDA growth, with price increases consistently outpacing cost inflation. The company's new MPower fleet and equipment management system is expected to save $20 million annually and enhance operational efficiency.
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Republic Services (RSG) has been upgraded to a Zacks Rank #2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.