RSG Stock Analysis — Republic Services
Sector: Industrials
AI Verdict
You’re paying a premium the numbers don’t yet support, so unless Republic’s contract moat delivers surprise upside, the risk of multiple compression is real.
Competitive Moat
Republic Services operates in the waste management industry, where local scale, long-term municipal contracts, and high regulatory barriers make it tough for new entrants to compete. Its established landfill network and integrated recycling operations create sticky customer relationships and pricing power.
Summary
Republic Services is notable for its stable, contract-driven waste management business with high barriers to entry.
Where It Stands
RSG trades at 27.4x next year's earnings versus the 20x industrials median, with a 14.3% forward EPS growth forecast and an RSI of 65.0 signaling elevated pullback risk.
Key Metrics
- RSI: 65 — Near Overbought
- Trailing P/E: 31.3x
- Forward P/E: 27.4x
- PEG Ratio: 2.18
- Earnings Growth: +0.1%
- Revenue Growth: +0.0%
- Market Cap: $67.8B
- Dividend Yield: 0.01%
- 52-Week High: $235.18
- 52-Week Low: $196.41
Analyst Consensus
19 Buy · 14 Hold · 0 Sell (33 analysts)
Bull Case
The 14.3% expected EPS growth justifies some premium to the sector, and the 2.18 PEG ratio is within a fair range for a defensive business.
Bear Case
If the P/E compresses from 27.4x to the sector median of 20x, the stock could drop over 25% even if earnings meet expectations, and the RSI of 65.0 suggests near-term pullback risk.
Catalyst to Watch
Watch for contract wins or regulatory changes that could impact landfill pricing and margins.