When you think of trash-hauling services, the largest hauler in the land would like you to think green. The tagline invokes both the color of the company's truck fleet and its environmental ethos. As the market share leader in a sector that should offer resiliency through a bear market, Waste Management
Let's drive right into the company's second-quarter earnings for a closer look. Waste Management beat analyst projections by reporting $0.63 per share versus an estimate of $0.59 per share in net income. The company also reported a 5.9% decrease in net earnings, from $338 million in the year-ago quarter to $318 million this time. However, after adjusting for one-time tax benefits and asset sales that padded 2007 second-quarter results, net earnings actually rose 12.5% per diluted share. Revenue rose 3.9% to $3.49 billion.
Given the momentous rise in diesel fuel costs during the quarter -- as echoed in earnings results from UPS
Waste Management is skilled at getting the most out of your garbage. Through subsidiary Wheelabrator Technologies, the company operates 16 waste-to-energy facilities that convert solid waste to electricity through incineration. All told, the efforts yield enough electricity to power 900,000 homes.
Metal in the waste stream is as precious as energy these days, and Waste Management sells scrap metal for an additional revenue boost. Metal recyclers like Commercial Metals
In a sector resilient in the face of market cycles, Waste Management is a frugal giant that will strive to see value in every ton of garbage we throw its way. Apparently, shareholders of No. 2 hauler Republic Services