Is a Beat in Store for Republic Services' (RSG) Q4 Earnings?
Republic Services, Inc. RSG is scheduled to report fourth-quarter 2019 results on Feb 13, after market close.
Over the past year, shares of Republic Services have gained 26.2% compared with 19.4% growth of the industry it belongs to and 20.3% increase of the Zacks S&P 500 composite.
Let’s check out how things have shaped up for the announcement.
Top Line Likely to Improve Year Over Year
Strong pricing across Republic Services’ collection, disposal and recycling processing businesses and positive impact of internal growth and acquisitions are likely to have driven its revenues in the fourth quarter. The Zacks Consensus Estimate for revenues stands at $2.62 billion, indicating growth of 3.6% from the year-ago period reported figure.In third-quarter 2019, total revenues of $2.65 billion increased 3.5% year over year.
Bottom Line Likely to Increase
The company’s consistent efforts in managing costs and capitalizing on favorable solid waste trends helped it price in excess of cost inflation and expand operational efficiency. This is expected to get reflected in Republic Services’ fourth-quarter 2019 earnings, the Zacks Consensus Estimate for which is pegged at 89 cents per share, indicating growth of 11.3% from the year-ago quarter reported figure. In third-quarter 2019, adjusted earnings per share of 91 cents increased 11% year over year.
What Our Model Says
Our proven model predicts an earnings beat for Republic Services this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Republic Services has an Earnings ESP of +2.67% and a Zacks Rank #2.
Republic Services, Inc. Price and EPS Surprise
Republic Services, Inc. price-eps-surprise | Republic Services, Inc. Quote
Other Stocks to Consider
Here are a few other stocks from the broader Zacks Business Services sector that investors may consider as our model shows that these too have the right combination of elements to beat on fourth-quarter 2019 earnings:
Advanced Disposal Services, Inc. ADSW has an Earnings ESP of +35.85% and a Zacks Rank #2. The company is slated to release results on Feb 20. You can see the complete list of today’s Zacks #1 Rank stocks here.
Waste Management WM has an Earnings ESP of +2.90% and a Zacks Rank #2. The company is slated to report results on Feb 13.
Fidelity National Information Services, Inc. FIS has an Earnings ESP of +0.30% and a Zacks Rank #2. The company is slated to release results on Feb 13.
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Fidelity National Information Services, Inc. (FIS) : Free Stock Analysis Report
Waste Management, Inc. (WM) : Free Stock Analysis Report
Republic Services, Inc. (RSG) : Free Stock Analysis Report
Advanced Disposal Services Inc. (ADSW) : Free Stock Analysis Report
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