Reasons to add Republic Services (RSG) stock to your portfolio

This story originally appeared on Zacks

Republic ServicesInc. RSG is a waste management service provider that has performed well over the past year and has the potential to increase momentum in the near term. Therefore, we think it’s time you added the stock to your portfolio.

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What makes RSG an attractive choice?

Price performance: An overview of the company’s price trend reveals that the stock has performed impressively over the past year. Republic Services shares returned 37.4% against the 7% drop in the industry it belongs to.

Solid rank: Republic Services has a Zacks Rank #2 (Buy) and a Value Growth Momentum Score (VGM Score) of B. Our research shows that stocks with a VGM score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or 2, offers the best investment opportunities. Thus, the company is a compelling investment proposition at the moment. You can see the full list of today’s Zacks #1 Rank stocks here.

Strong growth prospects: Zacks’ consensus estimate of $4.14 for RSG earnings per share in 2021 reflects 16.3% year-over-year growth. Earnings are expected to grow 10.7% year-over-year in 2022.

History of positive results: Republic Services has an impressive history of earnings surprises. The company has exceeded the Zacks consensus estimate for the past four quarters, posting an average pace of 14.2%.

Growth factors: Republic Services continues to focus on its strategic priority of increasing customer loyalty and willingness to pay for higher value services. In this regard, the company has expanded its product line and invested in customer service capabilities. Republic Services’ customer retention rate remains at 95% at the end of the third quarter of 2021.

The company continues to digitally connect customers, drivers, dispatchers, supervisors and trucks through its RISE dispatch platform. This improves productivity with more real-time routing information and data visualization tools, increases customer connectivity, and improves the employee experience.

The recent acquisition of ACV Enviro has expanded the company’s capabilities and offerings in the area of ​​environmental services.

Other actions to consider

Investors Interested in Broader Zacks Business services sector can also consider actions as Budget Reviews SELF, Cross Country Health Care CCRN and Accenture ACN.

Avis Budget forecasts a profit growth rate of around 9.4% for the current year. CAR has a four-quarter earnings surprise of 76.9%, on average.

Avis Budget shares have jumped 414.8% over the past year. It has long-term earnings growth of 19.4%. CAR sports a No. 1 Zacks rank.

CCRN has a four-quarter earnings surprise of 75%, on average.

Shares of Cross Country Healthcare have jumped 156.1% over the past year. It shows long-term earnings growth of 21.5%. CCRN sports a #1 Zacks rank.

Accenture has forecast a profit growth rate of around 20% for the current year. It has a surprise on earnings for the last four quarters of 5.3% on average.

Accenture shares have jumped 44.3% over the past year. It has a long-term earnings growth of 10%. ACN sports a #1 Zacks rank.

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Accenture PLC (ACN): Free Inventory Analysis Report

Avis Budget Group, Inc. (CAR): Free Inventory Analysis Report

Republic Services, Inc. (RSG): Free Stock Analysis Report

Cross Country Healthcare, Inc. (CCRN): Free Stock Analysis Report

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