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Republic Services (RSG) to Report Q2 Earnings: What to Expect?

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Republic Services, Inc. (RSG - Free Report) is scheduled to release its second-quarter 2024 results on Jul 24, after the bell.

RSG has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in the trailing four quarters, the average surprise being 7.8%.

Republic Services, Inc. Price and EPS Surprise Republic Services, Inc. Price and EPS Surprise

Republic Services, Inc. price-eps-surprise | Republic Services, Inc. Quote

Q2 Expectations

The Zacks Consensus Estimate for the company’s revenues in the to-be-reported quarter is pegged at $4.03 billion, indicating 8.2% growth from the year-ago quarter. The improved segmental growth is likely to have benefitted top-line growth.

The consensus estimate for earnings is pegged at $1.52, up 7.8% from the year-ago actual. The bottom line is likely to have benefitted from operating strength.

Our estimate for the Collection segment’s revenues stands at $2.76 billion, indicating an 8.7% rise from the year-ago quarter. Our anticipation for Landfill revenues (Net) is pegged at $447.3 million, implying 3.8% growth from first-quarter 2023. Our estimate for Transfer revenues (Net) is pegged at $ 204.8 million, suggesting 3.8% growth from the year-ago reported figure. We expect Environmental Solutions revenues (Net) of $433.5 million, implying growth of 8.8% from the year-ago quarter. Other revenues are expected to be $180.2 million, up 15.3% from the year-ago quarter.

Our estimate for the adjusted EBITDA is pegged at $1.22 billion, indicating 9.1% growth from the year-ago quarter. The EBITDA margin is expected to be 30.2%, suggesting 20 basis points of year-over-year improvement.

What Our Model Says

Our proven model predicts a likely earnings beat for RSG this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks before they are reported with our Earnings ESP Filter.

RSG has an Earnings ESP of +3.72% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to Consider

Here are a few other stocks from the broader Business services sector, which, according to our model, also have the right combination of elements to beat on earnings this season.

Trane Technologies (TT - Free Report) : The Zacks Consensus Estimate for the company’s second-quarter 2024 revenues is pegged at $5.1 billion, indicating 8.7% growth year over year. For earnings, the consensus mark is pegged at $3.1 per share, implying a 14.9% increase from the year-ago quarter’s actual. The company beat the consensus estimate in the past four quarters, with an average surprise of 7.5%.

TT currently has an Earnings ESP of +0.95% and a Zacks Rank of 2. The company is scheduled to declare its second-quarter results on Jul 31.

S&P Global (SPGI - Free Report) : The Zacks Consensus Estimate for the company’s second-quarter 2024 revenues is pegged at $3.4 million, suggesting year-over-year growth of 9.7%. For earnings, the consensus mark is pegged at $3.6 per share, indicating a 14.7% increase from the year-ago quarter’s actual. The company beat the consensus estimate in the past two quarters, missed in one, and met in one, with an average surprise of 3.4%.

SPGI currently has an Earnings ESP of +1.96% and a Zacks Rank of 2. The company is scheduled to declare its second-quarter results on Jul 30.

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