Clean Harbors (CLH)
NYSEIndustrialsWaste ManagementSnapshot 2026-09-09
$315.70-0.45%
Close 2026-09-09 · 1-day change
NYSEIndustrialsWaste ManagementSnapshot 2026-09-09
Intact: The reason to own it still holds.
Clean Harbors grows revenue about 5.5% yearly. Profit margins improve with adjusted EBITDA rising 6% to $247.9 million. The Environmental Services segment expands with revenue up $27.6 million. Free cash flow is strong and rising.
Revenue growth could slow below 5%. Profit margins might shrink from operational issues. The Terra Nova acquisition may not add expected value.
The price is about 18% above our fair value near $248. Analysts expect 5.5% revenue growth, which we agree with. Our fair value is 22% below the Street median, so the market is somewhat stretched.
Breaks if: Adjusted EBITDA growth falls below 6% or below $247.9 million
Continue to grow Adjusted EBITDA and adjusted free cash flow through operational efficiency, pricing initiatives, and market demand.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a stable growth opportunity with a focus on expanding operations and improving cash flow. The current thesis state is cautious, reflecting a mix of strong recent results and potential challenges ahead.
The market appears to have priced in a premium valuation compared to peers, indicating high expectations for continued growth. However, the current valuation is seen as stretched, suggesting that any missteps could lead to significant market reactions.
Management is on track with priorities like increasing adjusted EBITDA and expanding the Environmental Services segment. Recent financial performance has been strong, but there is a moderate risk of missing expectations, especially given the mixed performance of industry peers.
The long-term thesis hinges on the performance of sector bellwethers and management's ability to execute on growth strategies. Any reversal in guidance or negative trends from peers could significantly impact sentiment.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports growth in Adjusted EBITDA and Free Cash Flow. Record revenue also reinforces this positive outlook. There are no new threats to the thesis.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated as a priority in 4 of last 4 quarters. Adjusted EBITDA grew from $247.9 million in 2026-Q1 to $409.0 million in 2026-Q2 (+22%), with guidance midpoint raised from $1.27 billion to $1.38 billion. Adjusted free cash flow guidance midpoint also increased from $520 million to $550 million. Management is delivering on growth and cash flow expansion as emphasized.
“Achieves 22% Growth in Q2 Adjusted EBITDA to $409.0 Million; Raises 2026 Guidance”
“Achieves 6% Growth in Q1 Adjusted EBITDA to $247.9 Million; Raises 2026 Guidance”
“Achieves 8% Growth in Q4 Adjusted EBITDA to $278.7 Million; Provides 2026 Guidance”
“On track to deliver record annual Adjusted EBITDA and adjusted free cash flow in 2025”
Breaks if: Environmental Services revenue growth falls below $27.6 million
Grow the Environmental Services segment through volume growth, pricing initiatives, and strategic projects including PFAS and remediation.
Stated in 3 of last 3 quarters. The Environmental Services segment showed sustained margin expansion from 25.8% in 2025-Q4 to 27.9% in 2026-Q2, with Technical Services revenue growing 18% in 2026-Q2. Management is delivering consistent operational growth and margin improvement in this segment.
“ES segment delivered its 17th consecutive quarter of year-over-year Adjusted EBITDA margin expansion with a margin of 27.9%”
“ES segment delivered a 50-basis-point improvement in Adjusted EBITDA margin and 5% revenue growth on disposal and recycling services”
“ES segment delivered a 50-basis-point improvement in Adjusted EBITDA margin to 25.8% with 6% top-line growth led by Technical Services”
Breaks if: YoY revenue growth falls below 5.5% in FY26
Grow the Environmental Services segment through volume growth, pricing initiatives, and strategic projects including PFAS and remediation.
Stated in 3 of last 3 quarters. The Environmental Services segment showed sustained margin expansion from 25.8% in 2025-Q4 to 27.9% in 2026-Q2, with Technical Services revenue growing 18% in 2026-Q2. Management is delivering consistent operational growth and margin improvement in this segment.
“ES segment delivered its 17th consecutive quarter of year-over-year Adjusted EBITDA margin expansion with a margin of 27.9%”
“ES segment delivered a 50-basis-point improvement in Adjusted EBITDA margin and 5% revenue growth on disposal and recycling services”
“ES segment delivered a 50-basis-point improvement in Adjusted EBITDA margin to 25.8% with 6% top-line growth led by Technical Services”
Breaks if: Safety-Kleen EBITDA growth falls below 17%
In the next 1 to 3 years, CLH's performance will depend on both internal execution and external market conditions. Not investment advice.