Wrapping up Q3 earnings, we look at the numbers and key takeaways for the waste management stocks, including Perma-Fix (NASDAQ: PESI) and its peers.

Waste management companies can possess licenses permitting them to handle hazardous materials. Furthermore, many services are performed through contracts and statutorily mandated, non-discretionary, or recurring, leading to more predictable revenue streams. However, regulation can be a headwind, rendering existing services obsolete or forcing companies to invest precious capital to comply with new, more environmentally-friendly rules. Lastly, waste management companies are at the whim of economic cycles. Interest rates, for example, can greatly impact industrial production or commercial projects that create waste and byproducts.

The 9 waste management stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 2.6%.

Luckily, waste management stocks have performed well with share prices up 14.3% on average since the latest earnings results.

Best Q3: Perma-Fix (NASDAQ: PESI)

Tackling hazardous waste challenges since 1990, Perma-Fix (NASDAQ: PESI) provides environmental waste treatment services.

Perma-Fix reported revenues of $17.45 million, up 3.8% year on year. This print exceeded analysts’ expectations by 7.1%. Overall, it was a stunning quarter for the company with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ revenue estimates.

Mark Duff, President and Chief Executive Officer (CEO) of the Company, commented, “We are pleased to report improved performance driven by a 45% year-over-year revenue increase and gross margin improvement in our Treatment Segment to 17.3% from 4.5% in the prior year. Higher waste volumes and growing international shipments contributed to improved results, and our treatment backlog continues to build, which we expect will lead to continued improvement through 2026. This growth spans both government and commercial waste streams, further diversifying our customer base and strengthening our overall operating performance.

Interestingly, the stock is up 1.3% since reporting and currently trades at $13.04.

Is now the time to buy Perma-Fix? Access our full analysis of the earnings results here, it’s free for active Edge members.

Montrose (NYSE: MEG)

Founded to protect a tree-lined two-lane road, Montrose (NYSE: MEG) provides air quality monitoring, environmental laboratory testing, compliance, and environmental consulting services.

Montrose reported revenues of $224.9 million, up 25.9% year on year, outperforming analysts’ expectations by 10.9%. The business had an exceptional quarter with an impressive beat of analysts’ organic revenue estimates and a solid beat of analysts’ EBITDA estimates.

Montrose pulled off the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. The market seems content with the results as the stock is up 2.5% since reporting. It currently trades at $25.20.

Is now the time to buy Montrose? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Clean Harbors (NYSE: CLH)

Established in 1980, Clean Harbors (NYSE: CLH) provides environmental and industrial services like hazardous and non-hazardous waste disposal and emergency spill cleanups.

Clean Harbors reported revenues of $1.55 billion, up 1.3% year on year, falling short of analysts’ expectations by 1.6%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EPS estimates.

Clean Harbors delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 3.4% since the results and currently trades at $237.89.

Read our full analysis of Clean Harbors’s results here.

Waste Management (NYSE: WM)

Headquartered in Houston, Waste Management (NYSE: WM) is a provider of comprehensive waste management services in North America.

Waste Management reported revenues of $6.44 billion, up 14.9% year on year. This number came in 0.9% below analysts' expectations. It was a slower quarter as it also logged a miss of analysts’ adjusted operating income estimates and a slight miss of analysts’ revenue estimates.

The stock is up 2.9% since reporting and currently trades at $220.

Read our full, actionable report on Waste Management here, it’s free for active Edge members.

Republic Services (NYSE: RSG)

Processing several million tons of recyclables annually, Republic (NYSE: RSG) provides waste management services for residences, companies, and municipalities.

Republic Services reported revenues of $4.21 billion, up 3.3% year on year. This result missed analysts’ expectations by 0.8%. Overall, it was a slower quarter as it also recorded a significant miss of analysts’ sales volume estimates and a slight miss of analysts’ revenue estimates.

The stock is up 2% since reporting and currently trades at $214.18.

Read our full, actionable report on Republic Services here, it’s free for active Edge members.

Market Update

The Fed’s interest rate hikes throughout 2022 and 2023 have successfully cooled post-pandemic inflation, bringing it closer to the 2% target. Inflationary pressures have eased without tipping the economy into a recession, suggesting a soft landing. This stability, paired with recent rate cuts (0.5% in September 2024 and 0.25% in November 2024), fueled a strong year for the stock market in 2024. The markets surged further after Donald Trump’s presidential victory in November, with major indices reaching record highs in the days following the election. Still, questions remain about the direction of economic policy, as potential tariffs and corporate tax changes add uncertainty for 2025.

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