Topic: How To Invest

Q: I really enjoy your Inner Circle emails. Can I get your opinion on Republic Services? Thanks.

Article Excerpt

A: Republic Services Inc., $126.75, symbol RSG on New York (Shares outstanding: 315.9 million; Market cap: $40.8 billion; www.republicservices.com), is a leading U.S. waste management business. It is the largest or second-largest waste management business in 95% of the markets where it operates. The company has spent over $5 billion on acquisitions in the past five years. Bill Gates, through his investment vehicle Cascade Investment, owns more than 34% of its stock. On May 2, 2022, Republic completed the acquisition of US Ecology Inc. (symbol ECOL on Nasdaq) for $2.2 billion. In the 12 months ended September 30, 2021, US Ecology reported $968 million in revenue from nine specialty waste landfills (five of which are hazardous waste landfills); 16 transfer, storage, and disposal facilities; seven wastewater treatment facilities; and more than 80 environmental service field locations. US Ecology has almost $1 billion in revenue. It’s the largest hazardous waste landfill operator by volume in the U.S. In addition, its operations team has the technical…