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Reasons Why You Should Retain Clean Harbors Stock in Your Portfolio

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Key Takeaways

  • CLH shares gained 7.1% over the past month, with fourth-quarter 2025 earnings & revenues expected to rise y/y.
  • Clean Harbors benefits from rising demand for environmental compliance and hazardous waste services.
  • CLH shows strong liquidity and continues returning value through consistent share repurchases.

Shares of Clean Harbors Inc. (CLH - Free Report) have had a decent run over the past month. The stock has gained 7.1%, outperforming the industry’s marginal rise.

The company’s fourth-quarter 2025 earnings are expected to increase 3.8% year over year. Revenues are expected to rise marginally in the fourth quarter and full-year 2025.

Factors That Bode Well for CLH

CLH’s revenue growth is driven by the rising demand for prioritization of environmental compliance and waste management solutions by business houses. The company benefits from long-term service contracts through its expertise in hazardous waste disposal and environmental cleanup. These services are highly sought across diverse markets, especially in the manufacturing, healthcare and energy sectors.

Clean Harbors recently announced plans to use an industry-proven solvent de-asphalting process and to combine it with the company’s existing hydro-treating capabilities to construct a state-of-the-art process plant, which is likely to give it a further competitive edge. The plant is expected to upgrade CLH’s VTAE (Vacuum Tower Asphalt Extender) and unlock incremental value from an everyday product.

The company’s current ratio at the end of the third quarter of 2025 was 2.44, higher than the industry’s average of 0.98. This showcases strong liquidity, indicating that the company is well-positioned to easily pay off its short-term obligations with its solid cash reserves.

CLH consistently generates value for shareholders in the form of share repurchases. The company repurchased shares worth $55.2 million, $51.1 million and $50.2 million in 2024, 2023 and 2022, respectively. This underlines the company’s confidence in business and helps boost investors’ confidence in the stock.

A Risk

CLH does not offer quarterly cash dividends. This may discourage cash dividend-seeking investors, leaving them with a potential return only from share price appreciation. Since share price appreciation is variable, dividend-focused investors may hesitate to bet on it.

Zacks Rank & Stocks to Consider

CLH currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here

A couple of better-ranked stocks in the broader Business Services sector are AppLovin Corporation (APP - Free Report)  and Amadeus IT Group (AMADY - Free Report) .

AppLovin holds a Zacks Rank #2 (Buy) at present. APP has a long-term earnings growth expectation of 20%. The company delivered a trailing four-quarter earnings surprise of 15.3%, on average.

Amadeus also carries a Zacks Rank of 2 at present, with a long-term earnings growth expectation of 6.4%. AMADY beat the consensus estimate in two of the last four reported quarters and missed twice, with the earnings surprise being 4.5%, on average.


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Clean Harbors, Inc. (CLH) - free report >>

AppLovin Corporation (APP) - free report >>

Amadeus IT Group SA Unsponsored ADR (AMADY) - free report >>

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