Wunderlich Reiterates Buy Rating for Clean Harbors

According to a research report published this morning, Wunderlich Securities reiterated a Buy rating and price target of $80.00 for Clean Harbors Incorporated CLH. Wunderlich Securities mentioned in the report, "We believe Clean Harbors Incorporated has been oversold on oil price fears, creating an attractive entry point. Growth in the Canadian daily oil production levels, which is forecasted at 3.8mm bbls by 2015 (6.1% CAGR) and 6.2mm bbls by 2030 (3.9% CAGR), is a large driver for CLH's Oil and Gas revenues. CLH is adding capacity, which was highlighted in its NYC conference presentation on June 5. A silver lining to a drop in oil prices and a dip in active rig counts may be more willing sellers at reasonable prices. We estimate that FY12 FCF should be $105mm or 4.7% of revenues. Our forecasted FY12 EBITDA for CLH is $412.4mm, which translates into an EV/EBITDA multiple of 11.0 times versus its current multiple of 8.2 times." Clean Harbors Incorporated closed yesterday at $57.90.