Oppenheimer has raised its 12-month price objective on Clean Harbors, Inc. to $300 from $283 and left its Outperform rating unchanged. The move follows quarterly results and forward guidance that the firm views as reinforcing Clean Harbors’ valuation case.
At the time of the update, Clean Harbors stock was trading at $276.25. According to InvestingPro data, the shares have returned 25.7% over the past 12 months and are up 17.8% year-to-date.
Shares moved higher on Wednesday after Clean Harbors reported fourth-quarter 2025 results that beat consensus forecasts on both revenue and earnings. The company posted $1.5 billion in fourth-quarter revenue versus analysts' expectations of $1.47 billion, and delivered earnings per share of $1.62 compared with a $1.61 estimate.
Management used the quarterly release to provide initial fiscal year 2026 guidance. The company set midpoints for net income and free cash flow above Street expectations, and simultaneously outlined multiple capital allocation initiatives. Oppenheimer noted that Clean Harbors’ current market capitalization stands at $14.8 billion and that InvestingPro assigns the company a financial health score of "GOOD," positioning the business to pursue the announced initiatives.
On the operational front, Oppenheimer described the firm's initial fiscal year 2026 Environmental Services outlook as conservative, pointing to discrete demand drivers and the benefit of lapping prior macro headwinds. Clean Harbors’ management reiterated a long-term ambition to reach roughly 30% Environmental Services margins within the 2030-2032 time frame, a milestone Oppenheimer views as supportive of the company’s valuation.
Those margin targets align with current company-level profitability metrics cited in the update: Clean Harbors reports a gross profit margin of 31.1% and a return on equity of 15%. Oppenheimer highlighted improved free cash flow conversion as a key enabler of greater flexibility in capital deployment.
Planned and ongoing activities for the fourth quarter of 2025 and fiscal 2026 include new mergers and acquisitions, elevated share repurchases, and targeted organic investments in Environmental Services aimed at high returns on invested capital. Following the release of results and guidance, Oppenheimer adjusted its financial estimates for the company.
In related analyst coverage, BMO Capital also raised its price target on Clean Harbors to $310 from $290 while maintaining an Outperform rating. BMO cited improving demand, strong execution, effective cost control, and increased capital deployment as the reasons behind its target change. Both firms’ actions follow the quarterly beat and the company’s updated guidance.
Context and market reaction
The combination of a quarterly beat, raised guidance midpoints for key profit metrics, and explicit capital allocation plans contributed to analyst upgrades and positive market moves. Clean Harbors’ financial metrics and improving free cash flow conversion are central to broker assessments that valuation support exists if management can execute on margin expansion and capital deployment plans.