Casella Waste Systems ( NASDAQ: CWST ) on Tuesday was upgraded to Buy from an previous investment rating of Neutral by analysts at UBS. At the same time, they downgraded Waste Management ( NYSE: WM ), and Republic Services ( NYSE: RSG ) to Neutral from Buy.
The bank’s top pick among trash haulers remains Waste Connections ( NYSE: WCN ).
While the municipal solid waste industry last year provided a safe haven compared with other industries, that advantage is mostly priced into the shares, according to UBS.
“Our more positive view on Casella Waste Systems ( CWST ) is driven by our expectation for CWST's low leverage to enable accelerating capital deployment for accretive M&A, not currently reflected in consensus estimates,” Jon Windham, analyst at UBS, said in a January 10 report.
For further details see:
Casella Waste upgraded to Buy at UBS amid downgrades for trash haulers