Clean Harbors (CLH)
NYSE:CLH
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Clean Harbors
(NYSE:CLH)
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Rating:74Outperform
Price Target:
$309.00
▲(4.39% Upside)
Action:ReiteratedDate:02/19/26
The score is driven primarily by solid financial fundamentals (scale, stable gross margins, and a notably improved balance sheet as reported) and supportive technical momentum (above key moving averages, positive MACD). These positives are tempered by premium valuation (P/E ~38) and some recent cash-flow conversion/FCF volatility, while the earnings call adds a modest positive due to steady 2026 growth guidance and strong capital returns despite near-term segment and macro headwinds.
Positive Factors
Scale & Stable Margins
Clean Harbors has roughly doubled revenue over several years while preserving ~31% gross margins. That scale and margin durability support pricing power, network efficiencies, and cost absorption, underpinning long-term profitability across economic cycles.
Negative Factors
Weakened FCF Conversion / Volatility
Although operating cash improved in absolute terms, FCF fell ~25% in 2025 and covered only ~50% of net income, signaling volatile cash conversion. Persistent variability can constrain reinvestment, debt paydown pacing and sustaining buybacks over time.
Read all positive and negative factors
Positive Factors
Negative Factors
Scale & Stable Margins
Clean Harbors has roughly doubled revenue over several years while preserving ~31% gross margins. That scale and margin durability support pricing power, network efficiencies, and cost absorption, underpinning long-term profitability across economic cycles.
Read all positive factors
Clean Harbors (CLH) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$15.66B
Dividend YieldN/A
Average Volume (3M)500.79K
Price to Earnings (P/E)31.9
Beta (1Y)0.80
Revenue Growth2.85%
EPS Growth-6.27%
CountryUS
Employees22,796
SectorIndustrials
Sector Strength72
IndustryWaste Management
Share Statistics
EPS (TTM)1.62
Shares Outstanding52,910,946
10 Day Avg. Volume471,268
30 Day Avg. Volume500,790
Financial Highlights & Ratios
PEG Ratio-15.86
Price to Book (P/B)4.54
Price to Sales (P/S)2.07
P/FCF Ratio28.23
Enterprise Value/Market Cap1.18
Enterprise Value/Revenue3.06
Enterprise Value/Gross Profit10.36
Enterprise Value/Ebitda16.24
Forecast
1Y Price Target
$309.91Price Target Upside4.70% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering12
EPS Forecast (FY)8.27
Revenue Forecast (FY)$6.25B
Clean Harbors Business Overview & Revenue Model
Company Description
Clean Harbors, Inc. provides environmental and industrial services in North America. The company operates through two segments, Environmental Services and Safety-Kleen Sustainability Solutions. The Environmental Services segment collects, transpor...
How the Company Makes Money
Clean Harbors generates revenue primarily through its diverse service offerings, which include waste management, industrial services, and environmental solutions. The company's revenue model is built on a mix of contractual agreements and one-time...
Clean Harbors Earnings Call Summary
Earnings Call Date:Feb 18, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 06, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational and financial results (record revenue, margin expansion, record free cash flow, buybacks, low leverage, and multiple operational milestones) and presented a constructive yet prudent outlook for 2026 (guiding ~5% EBITDA growth). Management acknowledged near-term headwinds — notably weakening base oil prices affecting SKSS, conservative Industrial Services expectations, weather-related volatility, and modest corporate cost inflation — but articulated clear mitigation strategies (pricing, CFO actions, fleet expansion, M&A, PFAS pipeline) and concrete capital allocation actions. On balance, positive performance and strong cash generation outweigh the manageable challenges and conservative assumptions.Positive Updates
Record Safety Performance
Total recordable incident rate of 0.49 for 2025 — a record year for safety, driving benefits in reputation, retention and cost control.
Negative Updates
Base Oil Market Weakness Impacting SKSS
Base oil pricing continued to weaken in Q4 and is assumed to decline slightly in 2026. SKSS Q1 expected to be down YoY with Q1 as a low watermark; company expects SKSS 2026 adjusted EBITDA of ~ $135,000,000 similar to 2025 (i.e., limited improvement despite mitigants).
Read all updates
Q4-2025 Updates
Positive
Negative
Record Safety Performance
Total recordable incident rate of 0.49 for 2025 — a record year for safety, driving benefits in reputation, retention and cost control.
Read all positive updates
Company Guidance
Management guided 2026 adjusted EBITDA of $1.20–$1.26 billion (midpoint $1.23B, ~5% growth vs. 2025), with Environmental Services expected to grow just over 5% at the midpoint and Q1 ES adj. EBITDA +4% to +7% YoY (consolidated Q1 growth ~1%–3%); SKSS is guided to roughly $135M of adjusted EBITDA (assumed similar to 2025). Guidance incorporates an estimated $5–$6M of 2026 adjusted EBITDA from the signed DCI carve‑out (the asset base is expected to generate ~$11M annual adj. EBITDA when fully owned), assumes only a few million dollars of 2026 EBITDA contribution from the $50M vacuum-truck fleet rollout (which management expects to add $12–$14M of EBITDA in 2028 when fully ramped), and models PFAS business growth at ~20% YoY. Corporate negative adjusted EBITDA is expected to increase ~2%–4%, net CapEx (excluding an $85M SDA and $25M fleet spend) is targeted at $340M–$400M (midpoint $370M), adjusted free cash flow is guided to $480M–$540M (midpoint $510M, ~41% conversion of guided adj. EBITDA), and the company retains $600M of share‑repurchase capacity after $133M of Q4 repurchases ($250M total repurchased in 2025).Clean Harbors Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
82
Very Positive
Cash Flow
68
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 6.03B | 5.89B | 5.41B | 5.17B | 3.81B |
| Gross Profit | 1.78B | 1.82B | 1.66B | 1.62B | 1.20B |
| EBITDA | 1.14B | 1.09B | 989.57M | 997.86M | 647.73M |
| Net Income | 390.97M | 402.30M | 377.86M | 411.74M | 203.25M |
Balance Sheet | |||||
| Total Assets | 7.62B | 7.38B | 6.38B | 6.13B | 5.65B |
| Cash, Cash Equivalents and Short-Term Investments | 953.68M | 789.83M | 550.80M | 554.64M | 534.30M |
| Total Debt | 3.45B | 3.04B | 2.49B | 2.59B | 2.70B |
| Total Liabilities | 4.88B | 4.80B | 4.14B | 4.21B | 4.14B |
| Stockholders Equity | 2.75B | 2.57B | 2.25B | 1.92B | 1.51B |
Cash Flow | |||||
| Free Cash Flow | 441.81M | 345.53M | 309.60M | 279.19M | 300.29M |
| Operating Cash Flow | 866.73M | 777.77M | 734.55M | 626.21M | 546.00M |
| Investing Cash Flow | -425.79M | -903.67M | -575.05M | -388.94M | -1.51B |
| Financing Cash Flow | -309.34M | 377.03M | -208.89M | -187.31M | 898.25M |
Clean Harbors Technical Analysis
Positive
296.00
Price Trends
284.72
Positive
263.36
Positive
247.93
Positive
Market Momentum
5.62
Negative
67.13
Neutral
62.58
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLH, the sentiment is Positive. The current price of 296 is above the 20-day moving average (MA) of 291.77, above the 50-day MA of 284.72, and above the 200-day MA of 247.93, indicating a bullish trend. The MACD of 5.62 indicates Negative momentum. The RSI at 67.13 is Neutral, neither overbought nor oversold. The STOCH value of 62.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CLH.
Clean Harbors Risk Analysis
Clean Harbors disclosed 23 risk factors in its most recent earnings report. Clean Harbors reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Clean Harbors Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $15.66B | 31.90 | 14.47% | ― | 2.85% | -6.27% | |
74 Outperform | $761.35M | -1,034.44 | -0.17% | ― | 22.77% | 44.73% | |
72 Outperform | $65.15B | 30.90 | 18.00% | 1.11% | 4.33% | 7.59% | |
68 Neutral | $90.63B | 29.84 | 28.99% | 1.50% | 15.88% | -3.11% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
54 Neutral | $5.18B | 789.67 | 0.50% | ― | 20.54% | 106.35% | |
45 Neutral | $1.62B | -8.63 | -48.78% | ― | -2.91% | -67.18% |
* Industrials Sector Average
CLH
Clean Harbors
296.00
91.25
44.57%
CWST
Casella Waste
81.54
-36.42
-30.87%
NVRI
Enviri
19.55
13.85
242.98%
RSG
Republic Services
210.87
-30.10
-12.49%
WM
Waste Management
224.93
-1.21
-0.54%
MEG
Montrose Environmental Group
21.16
6.90
48.39%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.