CLH Stock Analysis — Clean Harbors
Sector: Environmental Services
AI Verdict
You're paying a premium the numbers don't yet support, and unless growth accelerates well beyond the current 17.2% forecast, the regulatory moat alone may not justify this price.
Competitive Moat
Clean Harbors operates hazardous waste disposal and environmental cleanup sites with regulatory permits that are costly and time-consuming for new entrants to replicate. Their network of specialized facilities and long-term contracts with industrial clients create high switching costs and regulatory barriers.
Summary
CLH stands out for its regulatory-locked hazardous waste disposal network, which is hard for competitors to duplicate.
Where It Stands
CLH trades at 35.3x next year's earnings versus the industrials sector median of 20x, with analysts expecting 17.2% EPS growth and trailing revenue growth of just 1.9%.
Key Metrics
- Trailing P/E: 41.3x
- Forward P/E: 35.3x
- PEG Ratio: 2.41
- Earnings Growth: +0.2%
- Revenue Growth: +0.0%
- 52-Week High: $316.98
- 52-Week Low: $201.34
Analyst Consensus
14 Buy · 5 Hold · 0 Sell (19 analysts)
Bull Case
Analysts expect 17.2% forward EPS growth, which could justify paying above the sector median if regulatory barriers keep competitors out.
Bear Case
At 35.3x forward earnings—over 75% above the sector median—and a trailing PEG of 2.41, any P/E compression to sector norms would mean a steep valuation drop.
Catalyst to Watch
Watch for new regulatory approvals or contract wins, as these could reinforce or challenge the moat and shift growth expectations.