Top 10 Industrial Disributor Stocks To Own Right Now

Top 10 Industrial Disributor Stocks To Own Right Now: US Ecology Inc.(ECOL)

US Ecology, Inc., through its subsidiaries, provides waste treatment, disposal, recycling, and transportation services to commercial and government entities in the United States. The company offers treatment and disposal services for radioactive, hazardous, polychlorinated biphenyl, and non-hazardous industrial wastes. Its customers include oil refineries, chemical production facilities, manufacturers, electric utilities, steel mills, biotechnology companies, military installations, waste brokers/aggregators, and medical and academic institutions. The company was formerly known as American Ecology Corporation and changed its name to US Ecology, Inc. in February 2010. US Ecology, Inc. was founded in 1952 and is headquartered in Boise, Idaho.

Advisors' Opinion:

• [By Brian Pacampara]

  Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, hazardous waste disposal specialist US Ecology (NASDAQ: ECOL  ) has earned a coveted five-star ranking.

• [By Lauren Pollock]

  Among the stocks to watch in Monday’s session are US Ecology Inc.(ECOL), Akamai, and Dow Chemical Co.(DOW)

  US Ecology again raised its earnings guidance for the year, pointing to strong volumes and accelerated project shipments, but warned its results for next year may take a hit as a result. The company, which provides waste- management and recycling services, also outlined plans to offer about $100 million in stock. Shares dropped 10% to $34.51 premarket.

• [By Damian Illia] ides waste management and recycling services to manufacturing, industrial and energy-related sectors. The companys five waste sites treat hazardous and non-hazardous industrial waste, as well as radioactive and PCB waste. In addition, the company麓s Robstown treatment plant in Texas counts with a thermal desorp! tion unit that treats refinery sludge.

  In the following sections I will show you that we are dealing with a very profitable growth stock, that has an above average ROE rate of 13.89%, and operates with a net margin of 15.99%.

  Holding a Strong Position in the Market

  ECOL has two revenue streams. Business contracts to treat customers periodic disposal needs on the one hand, and event-driven services that apply to special projects or cleanup work on the other.

  Furthermore, the company has a wide economic moat largely stemming from three factors: its efficient scale, its high switching costs and its intangible assets. Of the 20 commercial hazardous-waste landfills operational in the U.S., the majority are run by US Ecology and its main competitors Waste Management Inc. (WM), and Clean Harbors Inc. (CLH). With barriers to entry stemming from regulatory permits, and a limited market size, ECOL has managed to achieve an efficient scale in the market with five hazardous waste-sides. The companys intangible assets consist of long-term regulatory permits, which enable US Ecology to posses a gatekeeper privilege regarding barriers to new entrants. In addition, customer switching costs are high, thus further adding to the firms ability to sustain growth in the long term.

  Good Investments and New Management Should Ensure Profitable Growth

  A range of new treatment services should also help ensure profitable growth for coming years. For example, the Texas facility which operates a new thermal desorption technology for oil refinery sludge since 2008 has been responsible for 10% of revenue and is expected to keep grow

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/top-10-industrial-disributor-stocks-to-own-right-now-5.html