Wunderlich Reaffirms Buy on Casella Waste Systems

Wunderlich is out with its report today on Casella Waste Systems CWST, reaffirming Buy. In a note to clients, Wunderlich writes, "We reaffirm our Buy rating and $8.50 price target on Casella Waste shares. On June 27, CEO John Casella and CFO Ed Johnson met with investors in Boston and provided a road map to drive cash flow to $20mm in FY13 with $27mm-$30mm in FY14. The FCF plan focuses on more aggressive pricing, removal of the 11% second lien notes, and landfill expansions. The meetings demonstrated CWST's conviction to deliver on a clear plan based on conservative assumptions." Shares of CWST closed Monday at $5.97.