Investors Buy Shares of These 3 Companies Following Earnings

Waste Management Inc. (NYSE:WM) reported its results for the fourth quarter. Net income for Waste Management Inc. fell to $266 million (58 cents per share) vs. $281 million (59 cents per share) a year earlier. This is a decline of 5.3% from the year earlier quarter. Revenue rose 7% to $3.41 billion from the year earlier quarter. Waste Management Inc. reported adjusted net income of 63 cents per share. By that measure, the company beat the mean estimate of 60 cents per share. Analysts were expecting revenue of $3.35 billion.

David P. Steiner, President and Chief Executive Officer of Waste Management, commented, “We had a very good fourth quarter. Our core collection, landfill, and transfer station businesses performed well. We continued to see volumes improve sequentially and we had internal revenue growth from yield of 1.4%. We also saw accelerated improvement in our cost reduction initiatives.”

Competitors to Watch: Republic Services, Inc. (NYSE:RSG), Waste Connections, Inc. (NYSE:WCN), Stericycle, Inc. (NASDAQ:SRCL), WCA Waste Corporation (NASDAQ:WCAA), Casella Waste Systems Inc. (NASDAQ:CWST), Perma-Fix Environmental Services, Inc. (NASDAQ:PESI), Clean Harbors, Inc. (NYSE:CLH), Veolia Environnement (NYSE:VE), US Ecology Inc. (NASDAQ:ECOL), and Avalon Holdings Corp. (AMEX:AWX).

Builders FirstSource Inc. ‘s (NASDAQ:BLDR) fourth quarter loss narrowed due mainly to positive revenue growth. Loss narrowed to $16.7 million (loss of 18 cents per diluted share) from $24.6 million (loss of 26 cents per share) in the same quarter a year earlier. Revenue rose 31% to $192.7 million from the year earlier quarter. Builders FirstSource Inc. reported an adjusted net loss of 10 cents per share. By that measure, the company beat the mean analyst estimate of a loss of 12 cents per share. It beat the average revenue estimate of $177.1 million.

“Our sales for the fourth quarter of 2011 were $192.7 million, up 31.0 percent from sales of $147.1 million in the fourth quarter of 2010. We accomplished this substantial sales increase despite actual U.S. single-family starts increasing only 4.7%, the average number of U.S. single-family units under construction decreasing 10.7%, and average commodity prices being relatively flat during the quarter”, said Floyd Sherman, Builders FirstSource Chief Executive Officer. “Our Adjusted EBITDA for the quarter was a loss of $3.3 million compared to a loss of $12.5 million in the fourth quarter of 2010.” Commenting on fiscal 2011 results, Mr. Sherman continued, “We ended the year with sales of $779.1 million, up 11.2 percent over 2010 sales of $700.3 million, and improved our Adjusted EBITDA by $28.6 million, to a loss of $15.0 million. Our financial results improved in spite of an 8.6% decline in U.S. single-family starts, a 14.1% decline in U.S. single-family units under construction, and commodity deflation of approximately 6.0% for the year.”

Competitors to Watch: The Home Depot, Inc. (NYSE:HD), Lowe’s Companies, Inc. (NYSE:LOW), Lumber Liquidators Hldgs., Inc. (NYSE:LL), BlueLinx Holdings Inc. (NYSE:BXC), Tractor Supply Company (NASDAQ:TSCO).

SPX Corporation (NYSE:SPW) reported its results for the fourth quarter. Net income for SPX Corporation fell to $62.5 million ($1.23 per share) vs. $65.3 million ($1.29 per share) a year earlier. This is a decline of 4.3% from the year earlier quarter. Revenue rose 12.6% to $1.49 billion from the year earlier quarter. SPX Corporation reported adjusted net income of $1.78 per share. By that measure, the company beat the mean estimate of $1.75 per share. Analysts were expecting revenue of $1.51 billion.

“The fourth quarter of 2011 was a period of strong operational performance for SPX, with organic revenue growth of 11 percent and adjusted earnings per share up 58 percent over last year.  We were particularly pleased with the performance of our Flow Technology segment, which reported 13 percent organic revenue growth and segment income margins over 15 percent,” said Christopher J. Kearney, Chairman, President and Chief Executive Officer of SPX.

Competitors to Watch: Dover Corporation (NYSE:DOV), IDEX Corporation (NYSE:IEX), General Electric Company (NYSE:GE), Flowserve Corporation (NYSE:FLS), Dynasil Corp. of America (NASDAQ:DYSL), Kennametal Inc. (NYSE:KMT), Hardinge Inc. (NASDAQ:HDNG), Rofin-Sinar Technologies (NASDAQ:RSTI), Emerson Electric Co. (NYSE:EMR).

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com