Reasons to Invest in Republic Services (RSG) - InvestingChannel

Reasons to Invest in Republic Services (RSG)

The London Company, an investment management company, released “The London Company Large Cap Strategy” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the fund returned 8% gross, (7.9% net) compared to an 8.6% increase in the Russell 1000 Index. The portfolio’s relative performance was slowed down by sector exposure which was partially offset by favorable stock selection. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

The London Company Large Cap Strategy highlighted stocks like Republic Services, Inc. (NYSE:RSG) in the second quarter 2023 investor letter. Headquartered in Phoenix, Arizona, Republic Services, Inc. (NYSE:RSG) provides environmental services. On August 4, 2023, Republic Services, Inc. (NYSE:RSG) stock closed at $148.53 per share. One-month return of Republic Services, Inc. (NYSE:RSG) was -1.20%, and its shares gained 4.67% of their value over the last 52 weeks. Republic Services, Inc. (NYSE:RSG) has a market capitalization of $46.977 billion.

The London Company Large Cap Strategy made the following comment about Republic Services, Inc. (NYSE:RSG) in its second quarter 2023 investor letter:

“Initiated: Republic Services, Inc. (NYSE:RSG) – RSG is the 2nd largest waste management company in North America. It generates consistent, predictable cash flows with over 80% of its revenues being annuity-like. RSG holds almost 25% of the landfill capacity in the U.S. Industry consolidation and the limited availability of landfills, on top of high transportation costs, have created local duopolies for landfill owners in their respective markets and increased returns. We’re attracted to RSG’s leading position in a stable business with a high degree of recurring revenue, and we believe the company is at an inflection point with its pricing strategy and landfill asset utilization. RSG has a solid balance sheet along with an experienced and shareholder friendly management team.”

Pixabay/Public Domain

Republic Services, Inc. (NYSE:RSG) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held Republic Services, Inc. (NYSE:RSG) at the end of first quarter which was 41 in the previous quarter.

We discussed Republic Services, Inc. (NYSE:RSG) in another article and shared the list of best waste management stocks to buy. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

 

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Disclosure: None. This article is originally published at Insider Monkey.

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