Clean Harbors (CLH) AI Stock Analysis

• Market Cap: $13.15B
• Dividend Yield: N/A
• Average Volume (3M): 369.76K
• Price to Earnings (P/E): 33.2
• Beta (1Y): 0.87
• Revenue Growth: 5.49%
• EPS Growth: -1.66%
• Country: US
• Employees: 22,796
• Sector: Industrials
• Sector Strength: 74
• Industry: Waste Management
• EPS (TTM): 2.36
• Shares Outstanding: 53,632,607
• 10 Day Avg. Volume: 266,199
• 30 Day Avg. Volume: 369,757
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 2.49
• Enterprise Value/Gross Profit: 8.08
• Enterprise Value/Ebitda: 13.37
• 1Y Price Target: $270.57
• Price Target Upside: 14.53% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 78 Outperform
• Price Target: $269.00 ▲(13.86% Upside)

Clean Harbors' strong financial performance and positive earnings call sentiment significantly bolster its overall score. While technical indicators show positive momentum, high valuation metrics slightly temper the outlook. The absence of a dividend yield and potential risks from previous high debt levels are notable considerations.

Positive Factors

Earnings

CLH delivered a solid 2Q, reiterated FY guidance and made encouraging commentary on the overall health of the business.

Growth Potential

Scenario analysis suggests stock could double, with mid-to-high single-digit organic revenue growth, potential M&A activity, and a step-up in the pace of margin expansion.

Market Position

CLH has many compelling investment characteristics, including leading market share, attractive assets, high barriers to entry, and a favourable industry structure.

Negative Factors

Industrial Services

Industrial Services remains weak with revenues down 10% as customers defer maintenance, indicating challenges in that segment.

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, transports, treats, and disposes hazardous and non-hazardous waste, such as resource recovery, physical treatment, fuel blending, incineration, landfill disposal, wastewater treatment, lab chemicals disposal, and explosives management services; and CleanPack services, including collection, identification, categorization, specialized packaging, transportation, and disposal of laboratory chemicals and household hazardous waste. This segment also provides industrial maintenance and specialty industrial services, and utilizes specialty equipment and resources that performs field services. The Safety-Kleen Sustainability Solutions segment offers specially designed parts washers; automotive and industrial cleaning products, such as antifreeze, windshield washer fluid, degreasers, glass and floor cleaners, hand cleaners, absorbents, mats, and spill kits; pickup and transportation services for hazardous and non-hazardous containerized waste for recycling or disposal; and vacuum services to remove solids, residual oily water and sludge, and other fluids from customers oil/water separators, sumps, and collection tanks, as well as remove and collect waste fluids found at metal fabricators, auto maintenance providers, and general manufacturers. This segment also manufactures, formulates, packages, distributes, and markets lubricants; and provides containerized waste, vacuum services, used motor oil collection, and contract blending and packaging services. Clean Harbors, Inc. was incorporated in 1980 and is headquartered in Norwell, Massachusetts.

How the Company Makes Money

Clean Harbors generates revenue through various key streams, primarily from its Environmental Services and Technical Services segments. The Environmental Services segment includes hazardous and non-hazardous waste management, which is a significant source of income as companies must comply with stringent environmental regulations. The Technical Services segment encompasses industrial cleaning, emergency response, and waste recycling services. Additionally, the company earns revenue from long-term contracts with major industries, including oil and gas, where ongoing service agreements provide steady income. Significant partnerships with government agencies and private sector companies enhance its revenue potential, as these relationships often lead to multi-year contracts for essential services. Finally, Clean Harbors benefits from market trends focusing on sustainability and environmental compliance, driving demand for its services.

Clean Harbors Financial Statement Overview

Summary

Clean Harbors exhibits solid financial health with strong revenue growth, efficient operations, and effective cash management. Improved leverage and a healthy balance sheet position the company well in the industry. However, previous high debt levels could pose a risk if economic conditions change.

Income Statement

The company shows strong revenue growth with a considerable increase from previous years, demonstrating a healthy upward trend. Gross profit margin stands at approximately 30.7% for TTM, indicating efficient cost management. Net profit margin for the TTM is about 6.47%, showing profitability, although slightly lower than the previous year. EBIT and EBITDA margins are robust at 10.96% and 17.41% respectively, highlighting strong operational efficiency.

Balance Sheet

The debt-to-equity ratio has improved significantly, now at 0.10 in TTM, reflecting a strong reduction in leverage. Return on equity (ROE) is approximately 14.17% for TTM, indicating effective use of equity. The equity ratio is healthy at 36.47%, suggesting a stable financial position with substantial equity backing. However, previous periods showed higher leverage, which may pose as a risk if not managed well.

Cash Flow

The company exhibits strong cash flow generation with a free cash flow growth rate of approximately 9.15% compared to the previous annual report. Operating cash flow to net income ratio is about 1.96, indicating strong cash flow relative to profits. Free cash flow to net income ratio is 0.98, showing efficient cash conversion. The consistent positive free cash flow over the years underscores solid cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.94B	5.89B	5.41B	5.17B	3.81B	3.14B
Gross Profit	1.83B	1.82B	1.66B	1.62B	1.20B	1.01B
EBITDA	1.11B	1.09B	989.57M	997.86M	647.73M	544.05M
Net Income	384.77M	402.30M	377.86M	411.74M	203.25M	134.84M
Balance Sheet
Total Assets	7.44B	7.38B	6.38B	6.13B	5.65B	4.13B
Cash, Cash Equivalents and Short-Term Investments	699.07M	789.83M	550.80M	554.64M	534.30M	570.96M
Total Debt	3.03B	3.04B	2.49B	2.59B	2.70B	1.71B
Total Liabilities	4.73B	4.80B	4.14B	4.21B	4.14B	2.79B
Stockholders Equity	2.71B	2.57B	2.25B	1.92B	1.51B	1.34B
Cash Flow
Free Cash Flow	377.14M	345.53M	309.60M	279.19M	300.29M	232.31M
Operating Cash Flow	752.82M	777.77M	734.55M	626.21M	546.00M	430.60M
Investing Cash Flow	-373.75M	-903.67M	-575.05M	-388.94M	-1.51B	-199.46M
Financing Cash Flow	-179.64M	377.03M	-208.89M	-187.31M	898.25M	-88.95M

Clean Harbors Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 236.25
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLH, the sentiment is Neutral. The current price of 236.25 is below the 20-day moving average (MA) of 243.44, below the 50-day MA of 236.94, and above the 200-day MA of 227.19, indicating a neutral trend. The MACD of 1.14 indicates Positive momentum. The RSI at 43.46 is Neutral, neither overbought nor oversold. The STOCH value of 33.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CLH.

Clean Harbors Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLH	78 Outperform	$13.15B	33.18	14.93%	―	5.49%	-1.66%
RSG	73 Outperform	$73.01B	34.57	18.41%	1.01%	5.13%	13.29%
MEG	70 Outperform	$1.03B	―	-7.61%	―	17.78%	2.57%
WM	69 Neutral	$90.62B	33.38	32.67%	1.43%	14.18%	7.02%
Sector *	64 Neutral	$10.73B	15.74	7.56%	2.01%	2.76%	-15.10%
CWST	57 Neutral	$6.07B	523.73	0.85%	―	20.35%	-45.38%
NVRI	56 Neutral	$946.81M	―	-35.66%	―	-0.83%	-61.90%

Clean Harbors Corporate Events

Clean Harbors 2025 Annual Shareholders Meeting Highlights

Clean Harbors held its 2025 Annual Meeting of Shareholders on May 21, 2025, where a quorum of 49,747,173 shares was present. The meeting included the election of five Class III Board members to serve until 2028, approval of executive compensation, and ratification of Deloitte & Touche LLP as the independent public accounting firm for 2025.

The most recent analyst rating on (CLH) stock is a Buy with a $240.00 price target. To see the full list of analyst forecasts on Clean Harbors stock, see the CLH Stock Forecast page.