Clean Harbors Scheduled to Announce Q4 Earnings on February 18
- Earnings Announcement Schedule: Clean Harbors (CLH) is set to announce its Q4 earnings on February 18 before market open, with consensus EPS estimated at $1.60 and revenue at $1.46 billion, reflecting a 2.1% year-over-year growth, which will provide critical insights into the company's financial performance.
- Historical Performance Review: Over the past year, CLH has beaten EPS estimates 50% of the time and revenue estimates 25% of the time, indicating a level of stability in financial forecasting that may bolster investor confidence.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen one upward revision and two downward adjustments, while revenue estimates have experienced four upward revisions with no downward changes, suggesting a positive market outlook on CLH's future revenue growth and competitive positioning in the industry.
- Contract Signing Situation: Clean Harbors recently secured contracts worth $110 million, which not only provides a stable revenue stream but may also positively impact the upcoming earnings report, further solidifying its market position.
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- PFAS Treatment Framework Released: Clean Harbors has formally released its PFAS (per- and poly-fluorinated alkyl substances) treatment and disposal standards, designed to assist decision-makers in effectively addressing PFAS contamination based on pollutant concentration and waste forms, thereby enhancing environmental remediation efficiency.
- Enhanced Emergency Response Capability: The company's framework incorporates various technologies, including high-temperature incineration and engineered landfill containment, to effectively respond to emergency situations such as industrial fires, ensuring safety and efficacy in PFAS handling while reducing potential environmental risks.
- Scientific Data Support: Clean Harbors' framework is backed by a PFAS incineration study conducted in collaboration with the EPA and the Pentagon, providing strong scientific evidence to ensure the effectiveness and reliability of treatment options, thereby enhancing customer trust.
- Market Leadership Consolidation: By offering a comprehensive PFAS solution, Clean Harbors further solidifies its leadership position in the North American environmental services market, meeting customer demands for safe and cost-effective PFAS treatment.
Overview of the Waste Removal Industry: The waste removal industry is characterized by inelastic demand, steady revenue, and regulatory challenges, making it a unique sector compared to typical consumer staples. Companies in this field often operate under long-term contracts, providing consistent revenue streams even during economic downturns.
Investment Opportunities: Companies like Waste Management, Republic Services, and Clean Harbors are highlighted as attractive investment options due to their stable government contracts and potential for growth. These firms are positioned to benefit from increasing demand for waste management services and regulatory requirements.
Market Performance and Trends: Waste Management is the largest player in the U.S. waste removal market, showing strong cash flow and shareholder-friendly practices, including dividend increases and share buybacks. The stock has performed well, trading above key moving averages, indicating a positive market trend.
Future Outlook: The waste removal sector is expected to continue thriving due to ongoing demand and regulatory pressures. Companies that can navigate these challenges while maintaining strong financial health are likely to attract investor interest, especially in a volatile economic environment.
- Shareholder Return Expectations: Waste Management anticipates a 29% year-over-year free cash flow growth in 2026, marking the largest jump since COVID, indicating that after years of investment, cash flow is rebounding, allowing for substantial shareholder returns.
- Capital Expenditure Strategy: The company deployed approximately $11.6 billion in 'planting' capital from FY2022 to FY2025, with $7.5 billion allocated to the acquisition of Stericycle, successfully creating a medical waste management segment that generated $2 billion in revenue and achieved a 16% profit margin in its first year, demonstrating the effectiveness of strategic investments.
- Infrastructure Modernization: WM invested about $1.8 billion in infrastructure, establishing seven landfill gas-to-energy plants now producing pipeline-quality natural gas, while also integrating robotics and AI across nine recycling facilities, enhancing operational efficiency and market competitiveness.
- Market Performance Analysis: Waste Management's stock surged from November lows, reclaiming both the 50-day and 200-day moving averages, currently consolidating between $238 and $240, with a decisive breakout above $240 indicating entry into blue-sky territory, reflecting strong market confidence and effective risk management.
- Transaction Value: Depot Connect International (DCI) has reached a definitive agreement to sell its industrial and rail services business to Clean Harbors for approximately $130 million, which will help DCI optimize its portfolio and focus on core operations.
- Strategic Shift: The divestiture includes five strategic locations in Ohio, Louisiana, and Texas, expected to close in the first half of 2026, marking a significant shift in DCI's long-term strategy towards its core business.
- Ongoing Collaboration: Despite the sale, DCI will maintain a close relationship with Clean Harbors, continuing to provide cleaning and maintenance services at key facilities in Baton Rouge, Louisiana, and Pasadena, Texas, ensuring service continuity for clients.
- Commitment to Innovation: DCI remains committed to driving innovation and operational excellence across its North American and European presence, aiming to enhance agility in the transportation and logistics sector to better meet evolving market demands.
- Transaction Value and Strategic Restructuring: Depot Connect International (DCI) has finalized an agreement to sell its industrial and rail services to Clean Harbors for approximately $130 million, marking a significant step in DCI's long-term strategy to focus on its core operations.
- Geographic Coverage and Business Integration: The deal encompasses five strategic locations in Ohio, Louisiana, and Texas, expected to close in the first half of 2026, thereby optimizing DCI's resource allocation and market positioning.
- Ongoing Partnership: Despite divesting non-core assets, DCI will maintain its collaborative relationship with Clean Harbors, continuing to provide cleaning and maintenance services in Baton Rouge, Louisiana, and Pasadena, Texas, ensuring continuity of service for clients.
- Future Development and Commitment to Innovation: By shedding these assets, DCI plans to reinvest resources into its core business, enhancing its innovation capabilities and operational excellence in North America and Europe to better meet the evolving demands of the transportation and logistics sector.

- Strategic Asset Sale: Depot Connect International (DCI) has entered into a definitive agreement to sell its Industrial Services and Rail Services business to Clean Harbors for approximately $130 million, covering five strategic locations in Ohio, Louisiana, and Texas, with the transaction expected to close in the first half of 2026, marking a significant milestone in DCI's long-term strategy to focus on its core business.
- Core Business Focus: CEO Chris Synek stated that this sale allows DCI to streamline its portfolio and concentrate on core functions, with plans to reinvest in its primary operations, expanding its premier depot network and enhancing specialized services that customers rely on, thereby improving market competitiveness.
- Ongoing Collaborative Relationship: Following the sale, DCI will continue to co-locate with Clean Harbors at major facilities in Baton Rouge, Louisiana, and Pasadena, Texas, where DCI will remain the dedicated provider for tank trailer cleaning and maintenance services, ensuring continuity and efficiency in customer service.
- Innovation and Operational Excellence: DCI is committed to driving innovation and operational excellence across its North American and European footprint, ensuring the company is more agile and better equipped to meet the evolving needs of the transportation and logistics industry, further solidifying its market position.








