Imperial Capital Believes Things Are Improving For Casella Waste Systems

In a report published Friday, Imperial Capital analyst Scott Levine reiterated an Outperform rating and $6.50 price target on

. In the report, Imperial Capital noted, "We are maintaining our Outperform rating on CWST shares, and our one-year price target of $6.50, 51% above the recent share price. Although CWST's low margins, high debt burden, and modest cash flow have been persistent concerns among waste investors in recent years, we think its fortunes are turning, with improving macro conditions and increased traction from internal initiatives expected to drive improvement in its margins and cash flows over the next few years. Although the recent pace of de-leveraging has been modest, we expect improvement going forward, which should ultimately have positive implications for CWST's trading multiple." Casella Waste Systems closed on Thursday at $4.30.