Clean Harbors (CLH) to report earnings tomorrow: here is what to expect

What happened

Clean Harbors will report earnings on Wednesday morning. Last quarter it beat revenue expectations with $1.74 billion, up 11.9% year on year. The market expects 11.4% revenue growth this quarter, and analysts reconfirmed estimates in the last 30 days.

Confirmed

Global impact / market context

Clean Harbors has missed Wall Street revenue estimates multiple times over two years, so the expected 11.4% growth is a test of whether the prior quarter's beat holds. A miss could weaken investor confidence, while a beat may support the stock.

Analyst inference

Peers Waste Connections and Rollins already reported revenue growth of 7.3% and other results, giving a read on the environmental and facilities services segment. Clean Harbors' expected 11.4% growth would outpace Waste Connections' 7.3%.

Analyst inference

What to watch

1. Watch whether reported revenue meets the market's expected 11.4% year-on-year growth, compared with the 1.3% increase in the same quarter last year. Confirmed
2. Watch whether Clean Harbors beats analysts' revenue estimates again, after last quarter's $1.74 billion beat, given its history of multiple misses over two years. Proposed
3. Watch peer results from Waste Connections and Rollins for signs of demand in environmental and facilities services, which could shape expectations for Clean Harbors' revenue and costs. Analyst inference

Evidence

• stockstory.org