Top Stock to Buy #6 – Waste Connections (WCN)
Waste Connections (WCN) is an integrated municipal solid-waste company that provides collection, transfer, disposal and recycling in the U.S. S&P upgraded its shares to a “buy” recommendation on May 30 with a target of $45 based on its expansion into oil fields, its excellent balance sheet and cash position. Consensus EPS estimates are for $1.78 in 2013 and $2.02 in 2014.
The stock appears to be under relatively heavy accumulation and received a recent buy signal from its stochastic indicator. The fundamentalists appear to be too cautious on this stock, as it has accelerated above its well-established bull channel. The technical target is $50 and WCN should be bought at the current market price.