Waste management company Casella (NASDAQ: CWST) will be reporting earnings this Thursday after market hours. Here’s what to expect.
Casella Waste Systems beat analysts’ revenue expectations by 3.1% last quarter, reporting revenues of $417.1 million, up 22.3% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EPS estimates but a significant miss of analysts’ adjusted operating income estimates.
Is Casella Waste Systems a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Casella Waste Systems’s revenue to grow 20.5% year on year to $454.4 million, slowing from the 30.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.33 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Casella Waste Systems has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Casella Waste Systems’s peers in the waste management segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Waste Connections delivered year-on-year revenue growth of 7.1%, beating analysts’ expectations by 0.7%, and Waste Management reported revenues up 19%, topping estimates by 1.1%. Waste Connections traded up 2.2% following the results while Waste Management was also up 3.4%.
Read our full analysis of Waste Connections’s results here and Waste Management’s results here.
There has been positive sentiment among investors in the waste management segment, with share prices up 5.5% on average over the last month. Casella Waste Systems is down 3.2% during the same time and is heading into earnings with an average analyst price target of $125.86 (compared to the current share price of $111.65).
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