Is Republic Services (RSG) an Attractively Valued Stock?

2 days ago 8

Soumya Eswaran

Thu, February 19, 2026 astatine 6:14 AM CST 3 min read

The London Company, an concern absorption company, released “The London Company Large Cap Strategy” fourth-quarter 2025 capitalist letter. In Q4 2025, US equities ended the 3rd consecutive 4th of higher returns, with the Russell 3000 Index rising 2.4%. A transcript of the missive tin be downloaded here. The marketplace highlighted however investors balanced the optimism connected net maturation and concerns regarding AI returns and cooling macroeconomic factors. Against this backdrop The London Company Large Cap portfolio returned 0.4% (0.2% net) compared to a 2.4% summation successful the Russell 1000 Index. Volatility factors and concentrated marketplace enactment were notable headwinds to the Strategy’s show successful the quarter. Heading into 2026, the economical and argumentation backdrop presents a blend of assurance and doubt. Against this backdrop, the portfolio remains unchangeable and believes it tin assistance investors successful semipermanent wealthiness instauration portion managing downside risk. In addition, delight cheque the Strategy’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, The London Company Large Cap Strategy highlighted stocks similar Republic Services, Inc. (NYSE:RSG). Republic Services, Inc. (NYSE:RSG) is simply a starring biology services institution successful the United States and Canada. On February 18, 2026, Republic Services, Inc. (NYSE:RSG) banal closed astatine $216.84 per share. One-month instrumentality of Republic Services, Inc. (NYSE:RSG) was -0.51%, and its shares are up 6.07% implicit the past 12 months. Republic Services, Inc. (NYSE:RSG) has a marketplace capitalization of $67.701 billion.

The London Company Large Cap Strategy stated the pursuing regarding Republic Services, Inc. (NYSE:RSG) successful its 4th fourth 2025 capitalist letter:

"Increased: Republic Services, Inc. (NYSE:RSG) – Addition reflects charismatic accidental to summation our vulnerability successful a antiaircraft and resilient concern model. The discarded absorption manufacture has lagged the broader marketplace this twelvemonth owed to cyclical measurement weakness successful construction, demolition, and the concern sector. Despite these abbreviated word headwinds, RSG continues to grounds operational spot done pricing powerfulness and outgo controls, which person led to stronger margins. We stay attracted to the high-quality, indispensable concern with beardown and unchangeable currency travel generation. Recently, insiders person bought shares successful the unfastened market, which we presumption arsenic an further information constituent to the charismatic valuation."

Republic Services, Inc. (NYSE:RSG) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 51 hedge money portfolios held Republic Services, Inc. (NYSE:RSG) astatine the extremity of the 3rd quarter, compared to 60 successful the erstwhile quarter. While we admit the imaginable of Republic Services, Inc. (NYSE:RSG) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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