The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here.

Management attributes record results to a decade-long strategy of diversifying revenue streams to mute cyclicality, reducing reliance on any single funding source or customer cohort.

Performance was driven by broad-based organic growth across vacuum trucks and specialty equipment, complemented by the successful integration of the New Way and Mega acquisitions.

The Environmental Solutions Group (ESG) benefited from proactive price-cost management and the 'Build More Parts' initiative, which focuses on vertical integration of parts production.

Strategic diversification has resulted in a durable revenue profile where publicly funded mechanisms are spread across water taxes, refuse fees, and international budgets, with U.S. water taxes representing less than 15% of total sales.

The company is scaling its 'centers of excellence' in procurement and supply chain to unlock incremental margin expansion and accelerate the integration of future acquisitions.

Operational improvements and 80/20 processes are being internalized across the enterprise to optimize procurement spend and leverage existing manufacturing footprints.

Full-year adjusted EPS guidance was raised to $5.12-$5.30, reflecting strong first-half momentum and confidence in the execution of strategic initiatives.

Management targets annual low double-digit top-line growth through economic cycles, split roughly evenly between organic initiatives and inorganic M&A.

The company expects the aftermarket business to grow faster than the overall company, serving as a primary driver for multi-year margin expansion.

Guidance assumes continued realization of cost synergies from recent acquisitions, with New Way tracking ahead of its original $15 million-$20 million annual synergy target.

Visibility for 2027 is supported by a $1 billion backlog, though management notes that lead times for certain product lines remain elevated above target levels.

The acquisition of Western Technology marks a strategic entry into niche explosion-protected lighting, providing a template for future M&A within the Safety and Security Systems Group.

A planned decline in third-party Labrie refuse backlog (discontinued in late 2025) accounted for $75 million of the year-over-year backlog reduction.

Corporate expenses increased due to higher post-retirement expenses and medical costs, and management expects to incur additional expenses in the second half of the year as it scales its centers of excellence.

Management flagged potential upside to future orders if pending EPA regulations trigger a pre-buy cycle, though no such impact is currently included in the 2026 outlook.

One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.

Management clarified that only about 25% of the business is in the 'specialty equipment' category where municipal exposure resides, and only street sweepers are a 'pure play' municipal product.

Funding sources like property and sales taxes remain steady, and the $1 billion backlog provides strong visibility into early 2027.

Management confirmed a long-term goal of reaching 30% aftermarket revenue for ESG, noting that many business units are already at that level.

Incremental returns on aftermarket investments are high due to low capital expenditure requirements for geographic expansion and parts production.

Despite industry-wide headwinds and excess inventory in refuse, New Way orders are tracking ahead of the company's internal valuation model.

Cost synergies are being realized faster than anticipated, while revenue synergies (such as Canadian market expansion) will be more gradual through 2028.

The deal represents an effort to apply the ESG 'platform' model to the Safety and Security Systems Group by targeting niche markets with high barriers to entry.

Management indicated an active pipeline for further SSG acquisitions both domestically and internationally.