Second-largest waste management & recycling provider in the U.S., operates recycling facilities for paper, plastics, metals, and glass. Invests in landfill gas-to-energy, capturing methane for renewable energy use.
Republic Services
Environmental Services – Waste & Recycling
Recession-resistant demand, expanding recycling & renewable energy initiatives, strong dividend growth & buybacks, complements or alternative to WM.
~$47 billion
Annual revenue ~$14+ billion, net margins ~10–12%, ROE ~15–20%. Debt/equity around 1.0–1.2. Stable cash flows.Annual revenue ~$14+ billion, net margins ~10–12%, ROE ~15–20%. Debt/equity around 1.0–1.2. Stable cash flows.Annual revenue ~$14+ billion, net margins ~10–12%, ROE ~15–20%. Debt/equity around 1.0–1.2. Stable cash flows.
RSG
- Industry/Subsector: Environmental Services – Waste & Recycling
- Market Capitalization: ~$47 billion
- Circular Economy Involvement:
- Republic Services is the second-largest waste management and recycling provider in the U.S. (after Waste Management).
- Operates recycling facilities nationwide that process millions of tons of paper, plastics, metals, and glass each year.
- Invests heavily in landfill gas-to-energy projects, capturing and converting landfill methane into renewable energy.
- Recent Financial Performance:
- Annual revenue has been trending above $14 billion.
- Net income margins typically in the 10–12% range, reflecting strong operational efficiencies.
- Healthy ROE in the 15–20% range, supported by stable, recession-resistant demand for waste management.
- Moderate leverage (debt/equity ~1.0–1.2), well-supported by steady cash flows.
- Investment Thesis:
- Essential service with stable, long-term demand.
- Expanding recycling and renewable energy initiatives align with ESG goals and can unlock extra revenue streams.
- Proven track record of dividend growth and share buybacks.
- A complementary holding or alternative to Waste Management for investors seeking exposure to circular economy services in a large, well-managed company.