DB:CH6

Stock Analysis Report

Executive Summary

Clean Harbors, Inc. provides environmental, energy, and industrial services in North America.

Snowflake

Fundamentals

Questionable track record with limited growth.


Similar Companies

Share Price & News

How has Clean Harbors's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CH6 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.0%

CH6

-0.1%

DE Commercial Services

-1.0%

DE Market


1 Year Return

30.9%

CH6

-0.7%

DE Commercial Services

9.1%

DE Market

Return vs Industry: CH6 exceeded the German Commercial Services industry which returned -0.7% over the past year.

Return vs Market: CH6 exceeded the German Market which returned 9.1% over the past year.


Shareholder returns

CH6IndustryMarket
7 Day-2.0%-0.1%-1.0%
30 Day10.3%5.8%4.4%
90 Day10.2%19.1%13.0%
1 Year30.9%30.9%2.9%-0.7%12.5%9.1%
3 Year63.1%63.1%7.0%-2.3%24.8%13.8%
5 Year94.3%94.3%-0.2%-14.2%39.1%20.2%

Price Volatility Vs. Market

How volatile is Clean Harbors's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Clean Harbors undervalued compared to its fair value and its price relative to the market?

31.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CH6 (€75) is trading below our estimate of fair value (€108.98)

Significantly Below Fair Value: CH6 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CH6 is poor value based on its PE Ratio (51.4x) compared to the Commercial Services industry average (16.6x).

PE vs Market: CH6 is poor value based on its PE Ratio (51.4x) compared to the German market (19.4x).


Price to Earnings Growth Ratio

PEG Ratio: CH6 is poor value based on its PEG Ratio (2.7x)


Price to Book Ratio

PB vs Industry: CH6 is overvalued based on its PB Ratio (3.7x) compared to the DE Commercial Services industry average (2.7x).


Next Steps

Future Growth

How is Clean Harbors forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

18.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CH6's forecast earnings growth (18.8% per year) is above the savings rate (0.2%).

Earnings vs Market: CH6's earnings (18.8% per year) are forecast to grow faster than the German market (12.6% per year).

High Growth Earnings: CH6's earnings are forecast to grow, but not significantly.

Revenue vs Market: CH6's revenue (3.6% per year) is forecast to grow slower than the German market (4.9% per year).

High Growth Revenue: CH6's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CH6's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has Clean Harbors performed over the past 5 years?

47.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CH6 has high quality earnings.

Growing Profit Margin: CH6's current net profit margins (2.6%) are lower than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: CH6 has become profitable over the past 5 years, growing earnings by 47.9% per year.

Accelerating Growth: CH6's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CH6 had negative earnings growth (-32.5%) over the past year, making it difficult to compare to the Commercial Services industry average (6.1%).


Return on Equity

High ROE: CH6's Return on Equity (7.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Clean Harbors's financial position?


Financial Position Analysis

Short Term Liabilities: CH6's short term assets ($1.3B) exceeds its short term liabilities ($680.0M)

Long Term Liabilities: CH6's short term assets (1.3B) do not cover its long term liabilities (2.1B)


Debt to Equity History and Analysis

Debt Level: CH6's debt to equity ratio (126.5%) is considered high

Reducing Debt: CH6's debt to equity ratio has increased from 105.7% to 126.5% over the past 5 years.

Debt Coverage: CH6's debt is well covered by operating cash flow (26.3%).

Interest Coverage: CH6's interest payments on its debt are not well covered by EBIT (2.7x coverage).


Balance Sheet

Inventory Level: CH6 has a high level of physical assets or inventory.

Debt Coverage by Assets: CH6's debt is not covered by short term assets (assets are 0.8x debt).


Next Steps

Dividend

What is Clean Harbors's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage3.5%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate CH6's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CH6's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CH6's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CH6's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CH6's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of Clean Harbors's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Alan McKim (64yo)

39.8yrs

Tenure

US$4,946,873

Compensation

Mr. Alan S. McKim founded Clean Harbors, Inc. in 1980 and has been its Chairman and Chief Executive Officer since 1980 and President since September 2016. Mr. Mckim serves as the Chairman, Chief Executive  ...


CEO Compensation Analysis

Compensation vs Market: Alan's total compensation ($USD4.95M) is above average for companies of similar size in the German market ($USD2.62M).

Compensation vs Earnings: Alan's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

3.8yrs

Average Tenure

51yo

Average Age

Experienced Management: CH6's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

10.3yrs

Average Tenure

68yo

Average Age

Experienced Board: CH6's board of directors are seasoned and experienced ( 10.3 years average tenure).


Insider Trading

Insider Buying: CH6 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$89,82506 Nov 19
Brian Weber
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Corporate Planning & Development
Shares1,175
Max PriceUS$76.45
SellUS$88,04106 Nov 19
Eric Dugas
EntityIndividual
Role
Chief Accounting Officer
Senior VP of Finance & Chief Accounting Officer
Shares1,176
Max PriceUS$74.86
SellUS$75,15931 Oct 19
Andrea Robertson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$75.16
SellUS$375,03331 Oct 19
Michael Battles
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares5,000
Max PriceUS$75.01
SellUS$782,62931 Oct 19
George Curtis
EntityIndividual
Shares10,408
Max PriceUS$75.19
SellUS$136,24104 Sep 19
Eric Dugas
EntityIndividual
Role
Chief Accounting Officer
Senior VP of Finance & Chief Accounting Officer
Shares2,034
Max PriceUS$66.98
SellUS$68,49119 Aug 19
Michael Battles
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares1,000
Max PriceUS$68.49
SellUS$1,400,64012 Aug 19
Eric Gerstenberg
EntityIndividual
Role
Chief Operating Officer
Chief Operating Officer
Shares20,000
Max PriceUS$70.03
SellUS$182,52401 Aug 19
Andrea Robertson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,557
Max PriceUS$71.38
SellUS$257,13526 Jun 19
Rodney Marlin
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,267
Max PriceUS$60.26
SellUS$310,84920 Jun 19
Michael Battles
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares5,000
Max PriceUS$62.17
SellUS$657,54606 Jun 19
Alan McKim
EntityIndividual
Role
Chief Executive Officer
Founder
Shares11,318
Max PriceUS$58.10
SellUS$2,260,89930 May 19
Alan McKim
EntityIndividual
Role
Chief Executive Officer
Founder
Shares38,682
Max PriceUS$58.45
SellUS$256,76306 May 19
Michael Battles
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares4,000
Max PriceUS$64.19
SellUS$111,70826 Mar 19
Brian Weber
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Corporate Planning & Development
Shares1,777
Max PriceUS$62.86
SellUS$245,76420 Mar 19
Michael Battles
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares4,000
Max PriceUS$61.44
SellUS$59,07405 Mar 19
Andrea Robertson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$59.07
SellUS$602,04705 Mar 19
Rodney Marlin
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max PriceUS$60.20

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Alan McKim (64yo)

    Founder

    • Tenure: 39.8yrs
    • Compensation: US$4.95m
  • Eric Gerstenberg (50yo)

    Chief Operating Officer

    • Tenure: 4.8yrs
    • Compensation: US$2.24m
  • Brian Weber (51yo)

    Executive Vice President of Corporate Planning & Development

    • Tenure: 0yrs
    • Compensation: US$1.65m
  • Jim Buckley

    Senior Vice President of Investor Relations

    • Tenure: 6.6yrs
  • Mike Battles (51yo)

    Executive VP & CFO

    • Tenure: 3.8yrs
    • Compensation: US$2.03m
  • Michael McDonald (53yo)

    General Counsel

    • Tenure: 0yrs
  • Robby Speights (49yo)

    Executive VP & Chief Sales Officer

    • Tenure: 1.8yrs
  • Eric Dugas (40yo)

    Senior VP of Finance & Chief Accounting Officer

    • Tenure: 3.8yrs
  • Jeffrey Knapp (52yo)

    Executive VP & Chief HR Officer

    • Tenure: 0yrs
  • Sharon Gabriel (43yo)

    Executive VP & Chief Information Officer

    • Tenure: 1.1yrs

Board Members

  • Alan McKim (64yo)

    Founder

    • Tenure: 39.8yrs
    • Compensation: US$4.95m
  • Gene Banucci (75yo)

    Lead Director

    • Tenure: 3.4yrs
    • Compensation: US$214.98k
  • John Preston (69yo)

    Independent Director

    • Tenure: 24.8yrs
    • Compensation: US$189.98k
  • Tom Shields (72yo)

    Independent Director

    • Tenure: 20.8yrs
    • Compensation: US$204.98k
  • Edward Galante (68yo)

    Independent Director

    • Tenure: 9.2yrs
    • Compensation: US$201.98k
  • Andrea Robertson (62yo)

    Independent Director

    • Tenure: 15.4yrs
    • Compensation: US$213.98k
  • Rod Marlin (71yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$189.98k
  • Lauren States (62yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$189.98k
  • John Welch (62yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$201.98k

Company Information

Clean Harbors, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Clean Harbors, Inc.
  • Ticker: CH6
  • Exchange: DB
  • Founded: 1980
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$4.623b
  • Listing Market Cap: US$4.198b
  • Shares outstanding: 55.81m
  • Website: https://www.cleanharbors.com

Number of Employees


Location

  • Clean Harbors, Inc.
  • 42 Longwater Drive
  • Norwell
  • Massachusetts
  • 2061
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLHNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 1987
CH6DB (Deutsche Boerse AG)YesCommon StockDEEURNov 1987

Biography

Clean Harbors, Inc. provides environmental, energy, and industrial services in North America. The company operates through two segments, Environmental Services and Safety-Kleen. The Environmental Services  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/14 21:26
End of Day Share Price2019/11/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.