Republic Services, Inc. RSG is scheduled to release second-quarter 2026 results on Aug. 6, after market close.
RSG has an impressive earnings surprise history. In the trailing four quarters, it surpassed the Zacks Consensus Estimate, with an average surprise of 5.2%.
Republic Services, Inc. Price and EPS Surprise
Republic Services, Inc. price-eps-surprise | Republic Services, Inc. Quote
Republic Services’ Q2 Expectations
The Zacks Consensus Estimate for the company’s revenues is set at $4.4 billion, implying a 3% uptick from the year-ago quarter’s reported figure. Republic Services is expected to have driven this top-line improvement, riding on its collection segment that delivers the majority of its revenues.
The Zacks Consensus Estimate for the collection segment’s revenues is pegged at nearly $3 billion, suggesting 5.8% growth from the year-ago quarter’s actual. We expect an uptick in small container core price, accompanied by a volume hike in large container and residential, to have supported this growth. Small container is expected to contribute 44.5% to total revenues, with large container and residential accounting for 28.2% and 26.1%, respectively.
For Landfill revenues, the consensus estimate is set at $911.2 million, hinting at 6.7% year-over-year growth. Rising municipal solid waste is anticipated to have been the key driver of this segment. A persistent increase in special waste revenues is expected to have bolstered this growth trajectory.
The consensus mark for transfer revenues is pinned at $511.1 million, implying a 6.7% year-over-year rally. While prudent yield execution and core pricing are predicted to have delivered this growth, the company’s active capital allocation strategy, completing buyouts to solidify market density and widen regional transfer and recycling network, is expected to have added to this growth.
For the environmental solutions segment, the Zacks Consensus Estimate for revenues is $456.8 million. The metric is expected to decline 4.4% from the year-ago quarter’s actual. Despite this setback, we anticipate this segment to find its pace during the second half of the year on the back of its sales pipeline facilitating rising activity across multiple end markets.
The consensus estimate for revenues from the other segment is pinned at $210.8 million, suggesting a marginal year-over-year dip. We expect this marginal decline to have stemmed from weak recycling processing business, as evidenced by its consensus estimate of $107.4 million, indicating a decline from the year-ago quarter’s actual of $114 million.
The consensus estimate for earnings per share is pinned at $1.81, which implies a 2.3% uptick from the year-ago quarter’s actual. Our expectations behind this growth are vested in top-line growth, bolstered by margin expansion, which is facilitated by expense management and share buybacks resulting in a share count fall.
What Our Model Says About RSG
Our proven model does not conclusively predict an earnings beat for Republic Services 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. But that is not the case here. You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Republic Services has an Earnings ESP of 0.00% and a Zacks Rank of 3 at present.
Stocks to Consider
Here are a few stocks from the broader Business Services sector, which, according to our model, have the right combination of elements to beat on earnings this time around.
Enpro NPO: The Zacks Consensus Estimate for the company’s second-quarter 2026 revenues is $322.9 million, indicating 12.1% year-over-year growth. For earnings, the consensus estimate is pinned at $2.3 cents per share, gaining 13.3% from the year-ago quarter. Over the four trailing quarters, the company has an average earnings surprise of 2%.
NPO has an Earnings ESP of +0.87% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is scheduled to announce second-quarter 2026 results on Aug. 4.
Thomson Reuters TRI: The Zacks Consensus Estimate for the company’s second-quarter 2026 revenues is $1.9 billion, hinting at a 7.3% increase from the year-ago quarter’s actual. For earnings, the consensus estimate is pegged at 96 cents per share, suggesting a 9.1% rally from the year-ago quarter’s reported number. Over the four trailing quarters, the company has an average earnings surprise of 3.1%.
TRI has an Earnings ESP of +2.35% and a Zacks Rank of 2 at present. The company is scheduled to announce second-quarter 2026 results on Aug. 5.
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This article originally published on Zacks Investment Research (zacks.com).