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Strategies & Market Trends : Value Investing

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To: Sergio H who wrote (45666)11/26/2011 7:01:13 PM
From: E_K_S  Read Replies (1) of 78530
 
US Ecology, Inc. (ECOL)
finance.yahoo.com

I will add it to my watch list. ECOL has less debt than WM and is selling around the same forward PE. The hazardous waste industry can be very profitable as such their operating margins are quite high.

I like the water treatment angle for fracking as that could be a real growth business. I will have to research the business more and see if this is something they do and/or consult on. If there is some sort of future EPA permitting requirements for treating fracking effluent, this could be the perfect company to provide the certification.

I do know from limited experience that hazardous waste disposal requires extensive tracking and certification of the waste disposal. Disposal permits are filed w/ the State and Feds. The waste stream is owned by the generator and processed through to disposal (incinerated or buried).

Hazardous waste disposal is sensitive to general economic activity. Located in Idaho, they probably have MU and INTC as major customers.

This one will be a good one to research. Thanks for the lead.

EKS
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