The stock of waste disposal/recycler Republic Services (RSG), first discussed here on December 6, 2010 at a price of $28.80, has meandered over the past three months at/near $29, but I still like the business model. Here's why:

The waste disposal/recycling sector is one low-profile field that's likely to perform well in the decade ahead, and probably for longer, without a lot of fanfare.

And the reason is obvious enough. The percent of businesses and citizens who recycle is likely to continue to rise -- as the value of just about every resource, scrap, and waste product rises, and as communities transition from 'low-waste' to 'no-waste' policies, with bodes well for Republic, a classic un-sexy play.

The waste disposal/recycling sector is a low-profile field that's likely to perform well in the decade ahead, and probably longer, without a lot of fanfare.

The percentage of waste recycling is likely to continue to rise as the value of just about every resource, scrap item, and waste product rises, and as communities transition from "low-waste" to "no-waste" policies. Republic Services (RSG) -- the U.S.'s third-largest solid waste service company -- is likely to benefit from this trend, and as such is worth a review.

Republic Services is boasting 376 collection companies in 40 states, including 223 transfer stations, 192 solid waste landfills, and 78 recycling landfills. Republic also has 74 landfill gas and renewable energy facilities.

"I'm usually advising investors to avoid garbage, but today I'm advising the opposite," says Jack Adamo, adding, "Waste Management (WM), the largest provider of solid waste disposal in the U.S., is my latest recommendation.

The editor of Insiders Plus explains, "The company also has a growing recyclable and waste-to-energy business.

"The two biggest players, itself and Republic Group, have been on a long road of consolidating the industry. There will eventually only be three of four players.

The positive story continues with Waste Management (WM), which I first wrote about on March 25, 2009 at a price of $25.74.

Look for Waste Management to post a 3% to 5% revenue increase in 2010, as higher prices offset modestly lower volume.

The recession hurt WM's results in 2009, as the commercial impact of reduced industrial output rippled throughout the U.S. economy. But that's just a temporary, cycling downturn. The long-term trend looks very good for WM, and here's why: 20 million customers, 273 owned/operated landfills, 16 waste-to-energy plants, 98 recycling plants, and more than 100 beneficial-use landfill gas projects. Margins should also improve in 2010. A decent $1.26 annual dividend complements the capital appreciation story.

Waste Management (WM) remains well-positioned to profit from the long-term, secular recycling and no-waste trends, and that's the main reason I'm reiterating my buy rating for the company's shares, first recommended on March 25, 2009, at a price of $25.74.

The recession hurt WM's results in 2009, as the commercial impact of reduced industrial output rippled throughout the U.S. economy. But that's just a temporary, cycling downturn. The long-term trend looks very good for WM, and here's why: 20 million customers, 267 owned/operated landfills, 16 waste-to-energy plants, 105 recycling plants, and more than 100 beneficial-use landfill gas projects.

Investors hoping to ride the climate change bandwagon have had a roller coaster ride over the past two years. Greentech stocks soared with the oil spike in 2007 and 2008, then crashed with stock market and commodity price declines in 2009. Since then, some of the most obvious stock plays have strongly rebounded. Many solar stocks have posted high double-digit gains since rebounding off year-to-date lows in March 2009.

The leading solar panel manufacturer, FirstSolar (NASDAQ: FSLR) has appreciated by 45% from lows of near $100 to a closing price of $154 on October 14. "I wouldn't be stepping into buying these stocks right now," says Pacific Crest senior analyst Mark Bachman, who covers solar stocks. Still, he rates FirstSolar as a market perform and considers it the best solar stock at present on his coverage list.

I'm Reiterating my Buy rating for Waste Management (NYSE: WMI), first recommended on March 25, 2009 at a price of $25.74.

Look for rough sailing for the remainder of 2009 for Waste Management, and that should limit the topside to shares for Q3 and Q4. Still, any sign that the U.S. economy continues to strengthen will send institutional investors back into WMI, on increased demand for both trash and recycling services.

Motorola, Inc. (NYSE: MOT). which continues to sit on the brink of a total meltdown in global wireless handset sales, announced a rather unique handset at the CES trade show in Las Vegas this week. Yes, if you've been clamoring to get your hands on a wireless phone made with almost entirely recycled plastic bottles, Motorola may soon have your product.

While this may make sense from an ecological perspective -- and Motorola should be commended for this -- customers won't care a bit. The Motorola W233 is the first carbon-neutral handset in the world that also comes in a smaller packaging with manuals printed on 100% recycled paper. This may be the greenest phone in the world in almost every respect.

The problem is Motorola's market -- where will it sell this? In a world where almost all customers need at least some mid-range features in their phones, the entry-level W233 may only find a home in emerging markets. If those customer segments really are seeking out green phones, that would be quite a surprise.

The W233 is definitely voice-focused, with nine hours of talktime, Motorola's CrystalTalk voice enhancement technology and messaging capabilities. Other than that, there's really nothing else feature-wise about this new handset. Motorola, should it focus this handset precisely in the customer segments where it needs to be, may still do well with this model. But, with voice minutes already a commodity, the differentiators in advanced mobile markets are data-focused -- and that is where this handset falls short.

It's one of the the most frustrating and unfortunate aspects of the U.S. and global recessions: a noble sector, a win-win-win all around, is facing dire times.

The recycling sector is being decimated by the economic slowdown. Many industry players may not survive, the whole process of creating new from the old seems to be stalled, and all over the globe piles of plastic, cardboard, newspaper/paper, and metal, among other re-useables, are piling up, The New York Times reported.

And the reason is obvious enough: demand for consumer goods and other finished products is declining, globally, and that means the chief manufacturing centers of the world - - China being the largest - - don't need the recyclable materials that a year ago were so much in demand, The Times reported. Prices have plunged: paper, down to $20 a ton from $105 a ton; plastic bottles to 2 cents a pound, down from 13 cents a pound; aluminum to 30 cents a pound, from $1 a pound.

Economist Peter Dawson told BloggingStocks expanded storage capabilities during this recession means recyclers will be able to hold more than 10 times the recycled material than during the last U.S. recession in 2001-2002, but there are financial and storage limits.

Best Buy, Inc. (NYSE: BBY) is rolling out a complete consumer electronics recycling program at 117 of its stores across the U.S. If all goes well and consumers start bringing in old televisions, microwaves and dishwashers, the retailer may expand the program nationwide to all stores. Best Buy states that more than two million tons of electronics are thrown in the trash each year. The small part it could play would make an impact on the amount of electronics that end up in landfills.

That sentiment is all nice and mighty, but don't think for a second there won't be an incentive to purchase that replacement piece of electronics right there on the spot as you're unloading your old console television. Best Buy has a knack for neat programs that have the end goal of driving more foot traffic into its stores, and this one is no different. This time, though, the benefits right up front equal less electronics contamination in landfills.

When many consumer electronics recycled products are shipped overseas to be "demanufactured" in unsafe conditions (then dumped into local landfills), Best Buy's effort to have its recycling partners actually recycle all the parts possible from all the products received in is admirable. If the retailer really wants to make an impact, give the customer 10% off a new piece of equipment for recycling that old microwave, then really watch the customers line up.

Readers of this space know that the investment bias is toward large-cap companies with demonstrated business models and who have a competitive advantage in established markets, preferably with a favorable global trend as a support. And with the above in mind, Nucor Steel is worth a review.

Nucor Corporation (NYSE: NUE) produces about 20 million tons of steel annually, and also is a major recycler of scrap metal.

In general, analysts expect NUE's revenue to increase 10-12% in FY 2008, aided by the Harris Steel acquisition and other acquisitions. Analysts also see strong demand for beams and bars, on continued non-residential construction growth.

An International Paper (NYSE: IP) press release announced today that the company is intending to purchase the Containerboard, Packaging and Recycling (CBPR) businesses of Weyerhaeuser (NYSE:WY)for $6 billion in cash. The deal is expected to close in Q3 2008, subject to regulatory approval and financing.

Due to the realization of tax benefits based upon International Papers purchase of Weyerhaeuser assets rather than stock, IP shall realize tax benefits in the amount of approximately $1.4 billion, making the actual purchase price closer to $4.6 billion.

International Paper Chairman and Chief Executive Officer John Faraci is quoted in the press release as stating: "This deal represents a compelling opportunity for International Paper and our share owners at a very attractive valuation... integrating Weyerhaeuser's CBPR business into our North American packaging platform fits very well with our strategy to improve our earnings, cash flow and returns by strengthening existing businesses. We expect the combined packaging business will generate stronger cash flow and higher EBITDA margins than either standalone business."

Even though International Paper sees considerable upside potential in this acquisition, as of this writing, shares of International Paper have lost nearly 8.5 percent on the day. This may signal a good near term opportunity to buy into company shares when considering that the company indicates this deal holds income increase potential of as much as $400 million annually. The company sees this acquisition improving profitability over a three year period of assimilation, with approximately 40% of that improvement to be realized within the first 12 months of closing the deal.

Best Buy, Inc. (NYSE: BBY) will be joining up with Goodwill Industries in the Silicon Valley market to host a free electronic waste recycling event this weekend. Specifically, the event will be held at the Best Buy location at 5065 Almaden Expressway in San Jose, California from from 9am to 3pm. Here's my beef with this -- why aren't all U.S. Best Buy locations doing this at the same time?

This is a great partnership between two huge brand names. If Best Buy were to really want to pump up its brand name even more, a national partnership with Goodwill seems a great way to do that. The amount of change in consumer electronics means that consumers are replacing equipment -- from older iPods to laptop PCs -- at a pretty decent rate. What happens to all that e-waste?

Toxic substances like lead and mercury exist in all those products (and more), and with more citizens in the U.S. becoming "green" -- as in ecologically-conscious -- a national partnership hosted by the largest consumer electronics retailer in the country with a goal of minimizing electronic waste is a fantastic idea. Best Buy, you could promote this just like a two-day weekend sale. Forget pitching products for a single weekend and promote a campaign like this for a single weekend on national television, cable and in your newspaper circular and website. It could turn out to be one of the best brand-builders you could ever have.

In the equities asset class, there are show horses -- high-profile, glamorous stocks that receive considerable news coverage; and work horses -- lesser-known stocks that don't receive a great of coverage, but get the job done, nonetheless. Put Waste Management decidedly in the latter category.

Waste Management, Inc. (NYSE: WMI) is the No. 1 waste disposal company in the United States. The company provides collection, transfer, recycling and resource recovery services to 21 million residential, industrial, municipal and commercial customers. WMI operates more than 430 collection operations and 277 landfills.

Analysts like WMI's strategy to sacrifice collection volume in favor of maintaining its pricing strategy and margins.

Just call Metal Management a junkyard king, or one scrappy company.

Metal Management (NYSE: MM) is one of the top metal recyclers in the United States, recycling ferrous and nonferrous metals, including aluminum brass, copper, and stainless steel.

Analysts like MM's wide recycling footprint (50 recycling centers in 17 states) and large client base (steel mills, integrated steelmakers, foundries, copper refineries, and metal brokers). Further, the company's customers span the globe.

Revenue is expected to increase about 30-32% in F2008 after a more than 40% increase in F2007.

Operating expenses are under control. Meanwhile, as recycling gains traction from both financial (it's profitable to recycle) and ethical (it's good for the environment) standpoints, look for investors to attach a higher value to the shares of recyclers such as MM. The Reuters F2007/F2008 EPS consensus estimates for MM are $3.22/$4.57.

The First Call mean rating for MM is: Buy. [3 firms.] Mean 2008 target: $50.00. [high: $60, low: $42.]

Stock Analysis: Metal Management is a moderate-risk stock not suitable for low-risk investors. Investors with an investment horizon longer than two years should be rewarded from MM's shares. Sell / Stop Loss if you were to purchase shares in this company: $24.

DISCLOSURE: Joseph Lazzaro has no positions in stocks. In addition to private real estate holdings, he owns corporate and municipal bonds, and cash certificates of deposit.