Citigroup Has Lowered Expectations for Republic Services (NYSE:RSG) Stock Price

Key Points

• Citigroup has lowered its price target for Republic Services (NYSE:RSG) from $280 to $270, while maintaining a "buy" rating for the stock, which indicates a potential upside of 19.31% from its previous close.
• Despite Citigroup’s downgrade, other analysts like BMO Capital Markets and JPMorgan Chase have raised their price targets, with BMO increasing it to $284 and JPMorgan to $275.
• Republic Services reported earnings of $1.77 per share for the last quarter, slightly surpassing the consensus estimate, and had revenues of $4.24 billion, reflecting a 4.6% year-over-year growth.

Republic Services (NYSE:RSG - Get Free Report) had its price objective reduced by investment analysts at Citigroup from $280.00 to $270.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the business services provider's stock. Citigroup's price target points to a potential upside of 19.31% from the company's previous close.

Other equities analysts also recently issued reports about the stock. BMO Capital Markets lifted their target price on shares of Republic Services from $280.00 to $284.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 30th. JPMorgan Chase & Co. raised their price objective on shares of Republic Services from $229.00 to $275.00 and gave the stock a "neutral" rating in a research report on Friday, May 23rd. UBS Group set a $260.00 price target on Republic Services and gave the stock a "neutral" rating in a report on Wednesday, July 30th. Melius Research upgraded shares of Republic Services to a "hold" rating and set a $281.00 price objective on the stock in a research report on Monday, June 9th. Finally, National Bank Financial raised shares of Republic Services to a "hold" rating in a report on Monday, May 26th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have given a Hold rating to the company's stock. Based on data from MarketBeat, Republic Services has an average rating of "Moderate Buy" and an average price target of $261.72.

Republic Services Trading Up 0.4%

Shares of NYSE RSG traded up $0.98 during midday trading on Wednesday, hitting $226.31. 69,374 shares of the company traded hands, compared to its average volume of 1,262,475. Republic Services has a 12-month low of $197.60 and a 12-month high of $258.75. The firm has a market cap of $70.66 billion, a P/E ratio of 33.48, a P/E/G ratio of 3.56 and a beta of 0.59. The stock has a 50-day moving average price of $235.37 and a 200 day moving average price of $240.86. The company has a debt-to-equity ratio of 1.04, a quick ratio of 0.66 and a current ratio of 0.66.

Republic Services (NYSE:RSG - Get Free Report) last issued its quarterly earnings results on Tuesday, July 29th. The business services provider reported $1.77 earnings per share for the quarter, beating the consensus estimate of $1.76 by $0.01. Republic Services had a net margin of 12.97% and a return on equity of 18.27%. The business had revenue of $4.24 billion for the quarter, compared to the consensus estimate of $4.26 billion. During the same quarter in the previous year, the firm earned $1.61 earnings per share. The company's revenue for the quarter was up 4.6% on a year-over-year basis. Republic Services has set its FY 2025 guidance at 6.820-6.900 EPS. As a group, analysts expect that Republic Services will post 6.86 earnings per share for the current year.

Insider Activity at Republic Services

In related news, major shareholder Cascade Investment, L.L.C. purchased 4,258 shares of the firm's stock in a transaction dated Tuesday, August 19th. The stock was bought at an average price of $234.91 per share, for a total transaction of $1,000,246.78. Following the purchase, the insider directly owned 109,816,832 shares in the company, valued at approximately $25,797,072,005.12. This trade represents a 0.00% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Gregg Brummer sold 7,338 shares of the business's stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $233.94, for a total transaction of $1,716,651.72. Following the transaction, the executive vice president directly owned 4,060 shares of the company's stock, valued at approximately $949,796.40. This represents a 64.38% decrease in their position. The disclosure for this sale can be found here. 0.11% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Republic Services

Several institutional investors and hedge funds have recently bought and sold shares of the business. Norges Bank purchased a new position in Republic Services in the second quarter worth about $690,313,000. GAMMA Investing LLC raised its stake in shares of Republic Services by 39,024.4% in the first quarter. GAMMA Investing LLC now owns 2,226,177 shares of the business services provider's stock worth $539,091,000 after purchasing an additional 2,220,487 shares during the last quarter. C WorldWide Group Holding A S purchased a new stake in Republic Services during the 1st quarter valued at $230,013,000. Nuveen LLC purchased a new stake in Republic Services during the 1st quarter valued at $198,685,000. Finally, M&G PLC increased its position in Republic Services by 113.0% during the second quarter. M&G PLC now owns 1,164,656 shares of the business services provider's stock valued at $287,670,000 after acquiring an additional 617,939 shares during the last quarter. Hedge funds and other institutional investors own 57.73% of the company's stock.

About Republic Services

Republic Services, Inc, together with its subsidiaries, offers environmental services in the United States and Canada. It is involved in the collection and processing of recyclable, solid waste, and industrial waste materials; transportation and disposal of non-hazardous and hazardous waste streams; and other environmental solutions.

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