NasdaqGS:ECOL

Stock Analysis Report

Executive Summary

US Ecology, Inc., through its subsidiaries, provides environmental services to commercial and government entities in the United States, Canada, and Mexico.

Snowflake

Fundamentals

Reasonable growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has US Ecology's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

ECOL

1.4%

US Commercial Services

1.0%

US Market


1 Year Return

-3.6%

ECOL

17.0%

US Commercial Services

6.7%

US Market

Return vs Industry: ECOL underperformed the US Commercial Services industry which returned 17% over the past year.

Return vs Market: ECOL underperformed the US Market which returned 6.7% over the past year.


Share holder returns

ECOLIndustryMarket
7 Day0.4%1.4%1.0%
30 Day-1.8%2.2%-1.8%
90 Day3.5%1.1%-1.8%
1 Year-2.5%-3.6%21.5%17.0%9.1%6.7%
3 Year54.7%48.7%70.6%59.0%46.1%36.6%
5 Year51.9%41.8%106.9%86.1%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is US Ecology undervalued based on future cash flows and its price relative to the stock market?

28%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: ECOL ($63.06) is trading below our estimate of fair value ($88.11)

Significantly Undervalued: ECOL is trading below fair value, but not by a significant amount.


Price Based on Earnings

PE vs Industry: ECOL is poor value based on its PE Ratio (27.3x) compared to the Commercial Services industry average (25.5x).

PE vs Market: ECOL is poor value based on its PE Ratio (27.3x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: ECOL is poor value based on its PEG Ratio (1x)


Price Based on Value of Assets

PB vs Industry: ECOL is overvalued based on its PB Ratio (3.7x) compared to the US Commercial Services industry average (1.8x).


Next Steps

Future Growth

How is US Ecology expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

26.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: ECOL's forecast earnings growth (26.3% per year) is above the savings rate (2.7%).

Earnings vs Market: ECOL's earnings (26.3% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ECOL's revenue (8.1% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: ECOL's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: ECOL's Return on Equity is forecast to be low in 3 years time (10.8%).


Next Steps

Past Performance

How has US Ecology performed over the past 5 years?

12.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ECOL's earnings have grown by 12.6% per year over the past 5 years.

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

Earnings vs Industry: ECOL had negative earnings growth (-17.7%) over the past year, making it difficult to compare to the Commercial Services industry average (-2.4%).


Return on Equity

High ROE: ECOL's Return on Equity (13.4%) is considered low.


Return on Assets

ROA vs Industry: ECOL has a higher Return on Assets than the Commercial Services industry average last year.


Return on Capital Employed

ROCE Improving: ECOL's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is US Ecology's financial position?


Financial Position Analysis

Short Term Liabilities: ECOL's short term assets ($186.3M) exceeds its short term liabilities ($89.6M)

Long Term Liabilities: ECOL's short term assets (186.3M) do not cover its long term liabilities (495.1M)


Debt to Equity History and Analysis

Debt Level: ECOL's debt to equity ratio (89%) is considered high

Reducing Debt: ECOL's debt to equity ratio has reduced from 170.8% to 89% over the past 5 years.

Debt Coverage: ECOL's debt is well covered by operating cash flow (21.6%).

Interest Coverage: ECOL's interest payments on its debt are well covered by EBIT (5.6x coverage).


Balance Sheet

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

Debt Coverage by Assets: ECOL's debt is not covered by short term assets (assets are 0.6x debt).


Next Steps

Dividend

What is US Ecology's current dividend yield, its reliability and sustainability?

1.24%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase US Ecology before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company1.1%marketbottom25%1.5%markettop25%3.8%industryaverage2.0%forecastin3Years1.2%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: ECOL's dividend (1.14%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: ECOL's dividend (1.14%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: ECOL's dividends per share have been stable in the past 10 years.

Growing Dividend: ECOL's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.2%), ECOL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ECOL's dividends in 3 years are forecast to be well covered by earnings (29.8% payout ratio).


Next Steps

Management

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

6.4yrs

Average management tenure


CEO

Jeff Feeler (49yo)

6.4yrs

Tenure

US$1,963,355

Compensation

Mr. Jeffrey R. Feeler, also known as Jeff, CPA has been the Chief Executive Officer and President at US Ecology, Inc. since May 2013. Mr. Feeler served as Acting President and Acting Chief Operating Office ...


CEO Compensation Analysis

Compensation vs. Market: Jeff's total compensation ($USD1.96M) is below average for companies of similar size in the US market ($USD4.08M).

Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.


Management Age and Tenure

6.4yrs

Average Tenure

49yo

Average Age

Experienced Management: ECOL's management team is seasoned and experienced (6.4 years average tenure).


Board Age and Tenure

4.4yrs

Average Tenure

62.5yo

Average Age

Experienced Board: ECOL's board of directors are considered experienced (4.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$847,39219 Nov 18
Stephen Romano
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares12,000
Max PriceUS$70.62

Ownership Breakdown


Management Team

  • Steve Welling (60yo)

    Executive Vice President of Sales & Marketing

    • Tenure: 6.4yrs
    • Compensation: US$1.08m
  • Simon Bell (49yo)

    Executive VP & COO

    • Tenure: 2.9yrs
    • Compensation: US$1.08m
  • Wayne Ipsen (49yo)

    VP, Compliance Officer

    • Tenure: 0yrs
  • Jeff Feeler (49yo)

    Chairman of the Board

    • Tenure: 6.4yrs
    • Compensation: US$1.96m
  • Eric Gerratt (48yo)

    Executive VP

    • Tenure: 7yrs
    • Compensation: US$1.00m
  • Andy Marshall (52yo)

    Executive Vice President of Regulatory Compliance & Safety

    • Tenure: 4.8yrs
    • Compensation: US$786.50k
  • Betsy Sterk

    Vice President of Human Resources

    • Tenure: 0yrs

Board Members

  • Steve Romano (64yo)

    Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$126.83k
  • Joe Colvin (76yo)

    Independent Director

    • Tenure: 11.4yrs
    • Compensation: US$133.08k
  • Glenn Eisenberg (58yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$158.29k
  • Ron Keating (50yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$133.50k
  • Jeff Feeler (49yo)

    Chairman of the Board

    • Tenure: 6.4yrs
    • Compensation: US$1.96m
  • Katina Dorton (61yo)

    Lead Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$157.33k
  • John Sahlberg (66yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$151.33k
  • Dan Fox (68yo)

    Independent Director

    • Tenure: 9.8yrs
    • Compensation: US$158.67k
  • Melanie Steiner

    Director

    • Tenure: 0.3yrs

Company Information

US Ecology, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: US Ecology, Inc.
  • Ticker: ECOL
  • Exchange: NasdaqGS
  • Founded: 1952
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$1.392b
  • Shares outstanding: 22.07m
  • Website: https://www.usecology.com

Number of Employees


Location

  • US Ecology, Inc.
  • 101 S. Capitol Boulevard
  • Suite 1000
  • Boise
  • Idaho
  • 83702
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ECOLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMay 1984
AFHDB (Deutsche Boerse AG)YesCommon StockDEEURMay 1984

Biography

US Ecology, Inc., through its subsidiaries, provides environmental services to commercial and government entities in the United States, Canada, and Mexico. It operates through two segments, Environmental S ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:03
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
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.

© 2018 SIMPLY WALL STREET PTY LTD, COMMUNITY DESIGN 2845206, US DESIGN PATENT #29/544/281, EUROPEAN DESIGN REGISTRATION #2845206, STANDARD & POOR’S FINANCIAL SERVICES LLC. ALL RIGHTS RESERVED.

Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Copyright © 2018, Standard & Poor’s Financial Services LLC. Reproduction of S&P Capital IQ in any form is prohibited except with the prior written permission of S&P. S&P does not guarantee the accuracy, adequacy, completeness or availability of any information and is not responsible for any errors or omissions, regardless of the cause or for the results obtained from the use of such information. S&P DISCLAIMS ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P be liable for any direct, indirect, special or consequential damages, costs, expenses, legal fees, or losses (including lost income or lost profit and opportunity costs) in connection with subscriber’s or others’ use of S&P Capital IQ. (2018)