Trash generates cash, lots of it, for companies that collect, recycle or destroy the tons of garbage generated by our world's population. From homes to businesses. From farm fields to city streets.
Trash Inc: The Secret Life of Garbage
Here's a look at three of 2010's top-performing publicly-traded waste companies.
Compared to Waste Management and Republic Services, two companies that dominate the $52-billion-a-year garbage industry, the stocks below have significantly outperformed.
Waste Connections
Stock Performance & Valuation
- Close on September 28, 2010: $39.33
- Median price target: $41.50 (Source: Thomson One)
- All-time intraday high: $40.74 on Sep. 19, 2008
- All-time closing high: $40.16 on Sep. 21, 2010
- Waste Connections does not pay a dividend
- P/E: 26.95
- Price / Book: 2.18x
- TEV / EBITDA (Latest Twelve Months): 9.69x
Percent Change
- YTD: 18%
- 1-Year: 37%
- 3-Year: 24%
- 5-Year: 72%
- 10-Year: 246%
Revenue:
- 2009 Revenue: $1.192 billion of which 100% was domestic
- Latest Qtr: $331 million (Q2 2010)
- Waste Connections beat revenue estimates for 6 of the past 8 quarters
- Forecast 2010 Revenue: $1.306 billion
- Revenue Growth (2009-10): 9.6%
Earnings:
- 2009 EPS: $1.47
- Waste Connections beat annual EPS estimates for 3 of the past 5 years
- Latest Qtr: $0.48 (Q2 2010)
- Beat EPS estimates for 5 of the past 8 quarters
- Forecast 2010 EPS: $1.81
- EPS Growth (2009-10): 23%
Analysts' Recommendations:
- Strong Buy: 3
- Buy: 3
- Hold: 2
- Sell: 0
- Underperform: 0
Stericycle
Stock Performance & Valuation
- Close on September 28, 2010: $68.95
- Median price target: $68 (Source: Thomson One)
- All time intraday high: $70.98 on Sep. 22, 2010
- All time closing high: $70.36 on Sep. 21, 2010
- Stericycle does not pay a dividend
- P/E: 30.92
- Price / Book: 6.06x
- TEV / EBITDA (Latest Twelve Months): 16.70x
Percent Change
- YTD: 25%
- 1-Year: 42%
- 3-Year: 21%
- 5-Year: 145%
- 10-Year: 1,044%
Revenue:
- 2009 Revenue: $1.178 billion of which 77.5% was domestic
- Latest Qtr: $348 million (Q2 2010)
- Stericycle beat revenue estimates for 4 of the past 8 quarters
- Forecast 2010 Revenue: $1.386 billion
- Revenue Growth (2009-10): 17.7%
Earnings:
- 2009 EPS: $2.09
- Stericycle met annual EPS estimates for 5 straigth years
- Latest Qtr: $0.62 (Q2 2010)
- Beat EPS estimates for 6 of the past 8 quarters
- Forecast 2010 EPS: $2.46
- EPS Growth (2009-10): 17.7%
Analysts' Recommendations:
- Strong Buy: 5
- Buy: 1
- Hold: 6
- Sell: 0
- Underperform: 0
IESI-BFC
Stock Performance & Valuation
- Close on September 28, 2010: $22.22
- Median price target: $27 (Source: Thomson One)
- Highest intraday high in 2010: $24.29 on Sep. 15
- Highest close in 2010: $23.96 on on Sep. 15
- Dividend yield: 2.22%
- P/E: 16.67
- Price / Book: 2.03x
- TEV / EBITDA (Latest Twelve Months): 10.79x
Percent Change
- YTD: 39%
- 3-Months: 7%
- 6-Months: 25%
- 1-Year: 73%
Revenue:
- 2009 Revenue: $1.005 billion of which 65.4% was domestic, and 34.6% was from Canada
- Latest Qtr: $331 million (Q2 2010)
- IESI-BFC beat revenue estimates for 2 of the past 3 quarters
- Forecast 2010 Revenue: $1.423 billion
- Revenue Growth (2009-10): 41.6%
Earnings:
- 2009 EPS: $0.71
- IESI-BFC beat annual EPS estimates in 2009
- Latest Qtr: $0.25 (Q2 2010)
- Beat EPS estimates for 3 of the past 3 quarters
- Forecast 2010 EPS: $0.88
- EPS Growth (2009-10): 24%
Analysts' Recommendations:
- Strong Buy: 3
- Buy: 6
- Hold: 2
- Sell: 0
- Underperform: 0
On Wednesday, September 29 at 9pm ET/PT, CNBC presents “Trash Inc: The Secret Life of Garbage,” a CNBC Original reported by Carl Quintanilla that takes an inside look at what happens to our garbage after we throw it out – where it goes, who touches it, and who makes money.
Source:CNBC Analytics, Capital IQ and Thomson Reuters
Comments? Send them to bythenumbers@cnbc.com
