Republic Services(RSG) zacks.com·2024-05-17 18:06Core Insights - Republic Services, Inc. (RSG) has shown strong stock performance with a year-to-date appreciation of 14%, surpassing the industry growth of 13.3% and the S&P 500 composite rise of 11.5% [1] - The company has a Growth Score of B, indicating solid growth quality and sustainability [1] Financial Performance - Earnings for 2024 and 2025 are projected to grow by 7.8% and 10.6% year-over-year, respectively [2] - RSG's top line increased by 7.8% year-over-year in Q1 2024 [3] Industry Trends - As a leading waste disposal company, RSG is expected to benefit from increasing environmental concerns, rapid industrialization, population growth, and government measures to combat illegal dumping [3] - The company is focused on expanding its recycling volume through improved material handling processes and programs [3] Operational Efficiency - RSG is enhancing operational efficiency by transitioning to compressed natural gas (CNG) collection vehicles, with 20% of its fleet operating on CNG in 2023 [4] - Additionally, 13% of its replacement vehicle purchases were CNG vehicles [4] Shareholder Value - The company has consistently rewarded shareholders through dividends and share repurchases, paying 261.8 million in shares in 2023 [5] - This commitment to shareholder value reflects the company's confidence in its business and positively impacts earnings per share [5]