Clean Harbors initiated with an Outperform at Wolfe Research

Wolfe Research initiated coverage of Clean Harbors with an Outperform rating and $184 price target as part of a broader research note on Environmental Services. The sector has clear historical outperformance during downturn and offers attractive barriers to entry and pricing power, with smaller players able to grow via M&A, the analyst tells investors in a research note, adding that the firm sees resilient pricing power and incremental upside from recycling, automation, and cost cutting. The company is also distinctive among the firm’s coverage universe for its focus on hazardous waste, surface remediation, and groundwater restoration, Wolfe added.