Republic Services, Inc. $RSG Shares Acquired by Canada Pension Plan Investment Board

Key Points

• The Canada Pension Plan Investment Board increased its stake in Republic Services, Inc. by 59.4% in the first quarter, owning 241,498 shares valued at approximately $58.48 million.
• Analysts have varied outlooks on Republic Services, with Raymond James raising the price target to $260 and other analysts offering ratings ranging from Strong Buy to Hold, indicating a consensus rating of "Moderate Buy."
• Republic Services recently announced a dividend increase to $0.625 per share, representing an annualized yield of 1.1%, with the dividend payment set for October 15th.

Canada Pension Plan Investment Board boosted its stake in Republic Services, Inc. (NYSE:RSG - Free Report) by 59.4% in the 1st quarter, according to its most recent filing with the SEC. The fund owned 241,498 shares of the business services provider's stock after purchasing an additional 90,014 shares during the period. Canada Pension Plan Investment Board owned about 0.08% of Republic Services worth $58,481,000 at the end of the most recent quarter.

Several other institutional investors have also recently added to or reduced their stakes in RSG. Golden State Wealth Management LLC lifted its holdings in shares of Republic Services by 3,533.3% during the 1st quarter. Golden State Wealth Management LLC now owns 109 shares of the business services provider's stock valued at $26,000 after acquiring an additional 106 shares in the last quarter. Capital Management Associates Inc bought a new stake in Republic Services in the first quarter valued at approximately $314,000. Sumitomo Mitsui Trust Group Inc. lifted its stake in Republic Services by 0.7% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 563,253 shares of the business services provider's stock valued at $136,397,000 after acquiring an additional 4,110 shares during the last quarter. Sowell Financial Services LLC bought a new position in Republic Services during the first quarter worth about $260,000. Finally, GAMMA Investing LLC boosted its position in Republic Services by 61.6% during the 1st quarter. GAMMA Investing LLC now owns 9,193 shares of the business services provider's stock worth $2,226,000 after buying an additional 3,503 shares during the period. Institutional investors and hedge funds own 57.73% of the company's stock.

Republic Services Trading Down 2.3%

Shares of RSG traded down $5.30 during trading hours on Friday, reaching $228.56. 377,568 shares of the company traded hands, compared to its average volume of 1,268,878. The stock's fifty day moving average price is $237.52 and its 200 day moving average price is $240.97. The company has a current ratio of 0.66, a quick ratio of 0.66 and a debt-to-equity ratio of 1.04. The firm has a market cap of $71.36 billion, a price-to-earnings ratio of 33.83, a PEG ratio of 3.63 and a beta of 0.59. Republic Services, Inc. has a 12-month low of $197.60 and a 12-month high of $258.75.

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

Republic Services Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Thursday, October 2nd will be given a dividend of $0.625 per share. This is a positive change from Republic Services's previous quarterly dividend of $0.58. The ex-dividend date of this dividend is Thursday, October 2nd. This represents a $2.50 annualized dividend and a dividend yield of 1.1%. Republic Services's payout ratio is presently 34.32%.

Analysts Set New Price Targets

A number of research analysts have weighed in on RSG shares. JPMorgan Chase & Co. boosted their target price on shares of Republic Services from $229.00 to $275.00 and gave the company a "neutral" rating in a research note on Friday, May 23rd. Melius Research raised shares of Republic Services to a "hold" rating and set a $281.00 price target for the company in a research report on Monday, June 9th. Scotiabank increased their price objective on shares of Republic Services from $250.00 to $260.00 and gave the company a "sector perform" rating in a report on Friday, July 18th. Melius began coverage on shares of Republic Services in a report on Monday, June 9th. They issued a "hold" rating for the company. Finally, Raymond James Financial upped their target price on Republic Services from $257.00 to $260.00 and gave the stock an "outperform" rating in a research note on Tuesday, July 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $262.17.

Insider Activity

In other news, major shareholder Cascade Investment, L.L.C. acquired 4,258 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The shares were bought at an average cost of $234.91 per share, with a total value of $1,000,246.78. Following the acquisition, the insider owned 109,816,832 shares in the company, valued at approximately $25,797,072,005.12. This represents a 0.00% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available 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 value of $1,716,651.72. Following the transaction, the executive vice president directly owned 4,060 shares in the company, valued at $949,796.40. This trade represents a 64.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.11% of the stock is owned by corporate insiders.

Republic Services Profile

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.