Wedge Capital Management L L P NC Cuts Stake in Republic Services, Inc. $RSG

Key Points

• Wedge Capital Management reduced its stake in Republic Services by 23.2%, owning 35,179 shares valued at approximately $8.68 million after selling 10,615 shares in the second quarter.
• Republic Services reported an earnings per share of $1.77 for the last quarter, slightly outperforming analyst expectations, and had a revenue of $4.24 billion, which was just shy of the forecast.
• The company announced a dividend increase from $0.58 to $0.625 per share, with the new dividend set to be paid on October 15th.

Wedge Capital Management L L P NC trimmed its holdings in Republic Services, Inc. (NYSE:RSG - Free Report) by 23.2% in the second quarter, according to the company in its most recent filing with the SEC. The fund owned 35,179 shares of the business services provider's stock after selling 10,615 shares during the quarter. Wedge Capital Management L L P NC's holdings in Republic Services were worth $8,675,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Golden State Wealth Management LLC raised its holdings in 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 buying an additional 106 shares during the last quarter. TCTC Holdings LLC raised its holdings in Republic Services by 113.8% during the 1st quarter. TCTC Holdings LLC now owns 124 shares of the business services provider's stock valued at $30,000 after buying an additional 66 shares during the last quarter. Key Financial Inc raised its holdings in Republic Services by 380.8% during the 1st quarter. Key Financial Inc now owns 125 shares of the business services provider's stock valued at $30,000 after buying an additional 99 shares during the last quarter. Elequin Capital LP bought a new stake in Republic Services during the 1st quarter valued at $30,000. Finally, Atticus Wealth Management LLC purchased a new position in Republic Services during the 2nd quarter valued at $39,000. 57.73% of the stock is currently owned by institutional investors.

Republic Services Stock Performance

RSG traded down $0.77 during midday trading on Monday, hitting $226.17. 957,217 shares of the company traded hands, compared to its average volume of 1,270,621. The company has a quick ratio of 0.66, a current ratio of 0.66 and a debt-to-equity ratio of 1.04. The firm has a market capitalization of $70.61 billion, a PE ratio of 33.46, a price-to-earnings-growth ratio of 3.54 and a beta of 0.59. The company's 50-day moving average is $234.54 and its 200 day moving average is $240.71. Republic Services, Inc. has a 52 week low of $197.60 and a 52 week high of $258.75.

Republic Services (NYSE:RSG - Get Free Report) last issued its quarterly earnings data on Tuesday, July 29th. The business services provider reported $1.77 earnings per share for the quarter, topping 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 firm had revenue of $4.24 billion for the quarter, compared to analysts' expectations of $4.26 billion. During the same quarter in the prior year, the business earned $1.61 EPS. The business's quarterly revenue was up 4.6% on a year-over-year basis. Republic Services has set its FY 2025 guidance at 6.820-6.900 EPS. On average, research analysts expect that Republic Services, Inc. will post 6.86 EPS for the current year.

Republic Services Increases Dividend

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

Insider Activity at Republic Services

In related news, EVP Gregg Brummer sold 7,338 shares of the 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 completion of the sale, 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 transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Cascade Investment, L.L.C. bought 4,258 shares of Republic Services stock in a transaction that occurred on Tuesday, August 19th. The stock was purchased at an average cost of $234.91 per share, with a total value of $1,000,246.78. Following the completion of the acquisition, the insider directly owned 109,816,832 shares in the company, valued at $25,797,072,005.12. This represents a 0.00% increase in their position. The disclosure for this purchase can be found here. Corporate insiders own 0.11% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on RSG. Scotiabank boosted their price objective on shares of Republic Services from $250.00 to $260.00 and gave the company a "sector perform" rating in a research report on Friday, July 18th. Barclays began coverage on shares of Republic Services in a research report on Friday. They set an "equal weight" rating and a $240.00 price objective on the stock. Melius began coverage on shares of Republic Services in a research report on Monday, June 9th. They set a "hold" rating on the stock. BMO Capital Markets boosted their price objective on shares of Republic Services from $280.00 to $284.00 and gave the company an "outperform" rating in a research report on Wednesday, July 30th. Finally, Raymond James Financial upped their target price on shares of Republic Services from $257.00 to $260.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 22nd. Two research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $260.58.

Republic Services Company 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.