American Ecology Corp (ECOL)

20% upside expected.

This account tracks the less exciting stocks from my watch list - companies that are easy to understand with clean balance sheets and good track records in relatively straight-forward industries.

Priced for success, but over 40% over revenue comes from 1 contract ending late 2009

Found this stock while I was researching WM. The numbers are great, but since there is big risk in HazMats, I'd need a better price to put real $ into it. Selecting it for CAPS means I'll make sure to keep an eye on it.

If there is one thing that is undervalued in the world. It is the trees, the grass, the animals, the oceans, the mountains. How much would a person pay to put a 120 year old behemoth Pin Oak in their front yard? Sure some might pay to remove - while others would nearly kill for it. No ECOL does not put Pin Oaks in front yards. One day people are going to start adding it all up and what will come next? R-E-G-U-L-A-T-I-O-N. Industry isn't going to stop making waste, so waste has to be made into industry.

Scores and 8 out of 12 on Motley Fool Pro Service Capshot report. Only four criteria not met:

1) Industry. It is lumped into "Commercial Services and Supplies. Can't find a problem here as the category is probably very generic. Personally I like the waste service industry as a business, especially toxic and radioactive, as these are highly regulated and require substantial expertise.

2) YOY rev growth. Capshot looks for 14% or more, ECOL is 6%. This does not consider the macroeconomic problems, which will impact this company, as one fellow Fool put it: less mfg = less waste = smaller market for ECOL. This is temporary, economic recovery will solve problem.

3) Gross Margin TTM. Capshot looks for 35% or more; ECOL is 33.8%. Close enough for me.

4) Pretax Margin TTM. Capshot looks for 20%; ECOL is 19.2%. Close enough for me.

So realistically you have a 10 or 11 (if you discount the negative for industry) out of 12 here.

I hold it in my real money portfolio now and thinking of adding at recent prices below $17/share.

Jester

good sector, great potential for growth and a good entry point as its near its 52 week low. In my opinion will def. outperform.

Debt significant enough. Confirming dividend pay to attrackt more capital in the hope not to have to dilute.

Spike
-strong fundamentals, no debt, good returns

As nuclear becomes more of a source of green energy, these guys could could easily outperform. Not to mention the US and Russia might both agree to reduce their nuclear stockpiles. How do you do downsize the world's largest supply of nuclear weapons? Maybe ECOL could get in on some of that action...

Takeover target for Waste Management, Inc.? The B2G business model is not a favorite business model, as profit margins can get squeezed.

Over 99% All-Star member outperform picks. High scores on the Scorecard at $18 and up. Share price near 52 week low, due to economy & restructuring. Well managed and good profitability. Bill Gates likes waste management for long-term growth. Combine all factors and this stock smells like roses, in my opinion.

I think it was a mistake by Henkel to sell their stake in Ecolab. But what can you do, when you need cash to finance another deal, other than sell your valuable assets?

Niche market, room to grow substantially with Obama switching to nuclear as part of his energy program, excellent spread sheet and good management. And dividends.

tenmiles

The pitch for this stock can be found on the Stinky Feet bulletin board at http://boards.fool.com/Message.asp?mid=27399325 . Stop by and let us know what you think of this stock.

The pitch for this stock can be found on the Stinky Feet bulletin board at http://boards.fool.com/Message.asp?mid=27399325 . Hope to see you there to let us know what you think of this stock.

following tenmiles should be at bottom

Can't show a "miss" in this environment, but likely time to pick up this garbage (literally) stock. Debt free grower with increasingly attractive value metrics with a PEG under 1, strong balance sheet and 3.2% dividend. Might buy it even cheaper later in the year, but looks okay for long-term types at current $15.85