Waste Removal Services is not glamorous. Ever. Yet, these nine underrated cleanup companies claim a #33 out of 265 Zacks Rank Industry post.
When overall stock market sentiment stinks, it’s a quality time to study up on a low stock market beta industry, in the top 13% of our ranking system.
This essential industry carries a beta of 0.56 versus the S&P 500 at 1.02. This means its shares jump around about half as much as that broad large-cap index.
What hidden gem do I see… in this pile of refuse? There is a subtle New Year’s shareholder gift to behold. I see a risk-return anomaly. Investors have actually captured outperforming returns with lower volatility.
The returns table below holds the full story on Waste Removal Services stocks, including the prior 1-year, 3-year and 5-year returns.
Confirm this for yourself --
This sleepy industry cleanly outperformed the S&P 500 at ANY interval of time!
Tough-and-flinty old school industry shares performed as a quality safe haven across the last brutal year too (with annual returns of -1.35% versus -6.03% for the S&P 500).
After the mass sale of high-beta glamour stocks the last few weeks, there are a few individual stock value plays to pick up from within the garbage.
Take a closer look into our top Zack Rank names.
These, I share below.
(1) Clean Harbors (CLH - Free Report) : Market cap of $2.7B. This share price has plunged from $65 in November to $48 in late December.
It’s a Zacks #1 (STRONG BUY) Rank, with a Value score of B and a Growth score of A.
Clean Harbors, Inc. is North America's leading provider of environmental, energy and industrial services.
The company serves a diverse customer base, across the chemical, energy, manufacturing and additional markets, as well as numerous government agencies.
These customers rely on Clean Harbors to deliver a broad range of services such as end-to-end hazardous waste management, emergency spill response, industrial cleaning and maintenance, and recycling services.
Through its Safety-Kleen subsidiary, Clean Harbors also is North America's largest re-refiner and recycler of used oil and a leading provider of parts washers and environmental services to commercial, industrial and automotive customers.
(2) Republic Services ((RSG - Free Report) ): Market cap of $23B. Shares have moved from $77 in November to just $72 in late December.
It’s a Zacks #2 Rank (BUY), with a Zacks VGM score of B.
Republic Services, Inc., together with its subsidiaries, provides non-hazardous solid waste collection, transfer, recycling, disposal and energy services for commercial, industrial, municipal and residential customers in the United States and Puerto Rico.
The company's collection services include curbside collection of waste; supply of waste containers; and renting of compactors. It is also involved in the processing and sale of old corrugated cardboard, old newspapers, aluminum, glass and other materials; and provision of landfill services.
The company operated through 333 collection operations, 204 transfer stations, 192 active landfills, 64 recycling centers, and 10 salt water disposal wells, as well as 7 treatment, recovery, and disposal facilities in 39 states and Puerto Rico. It also operates 71 landfill gas and renewable energy projects.