Amazon.com, Inc. (AMZN), Clean Harbors Inc (CLH): Two Attractive Stocks for Your Portfolio Today

The business operates in four segments: technical services (Hazmat and disposal); field services (environmental cleanup); industrial services (high-pressure and chemical cleaning); and oil and gas field services (exploration and directional boring services). While that may all sound extremely boring, the fact of the matter is that the company operates in a market with very high economic and regulatory barriers to entry — that’s investor code for “competitive advantage.”

During our discussion Barry brought up the fact that Clean Harbors Inc (NYSE:CLH) could be an attractive acquisition target; and I agree, it certainly could be. Its most profitable segment is in technical services, which generates 65% of the company’s operating profit, and today’s price is about 20 times full-year estimates, making it an attractive buy today. I wouldn’t invest in the company with the notion that it will be acquired, as I believe it will do quite well on its own. But an acquisition would come at a hefty premium from today’s price if it ever materialized.

Don’t just sit there, get moving!
With all the talk of where the markets are headed and when the Fed is going to take its foot off the gas, it’s understandable that investors are a bit nervous today. That’s why it’s more important than ever to make sure the companies we’re buying have durable competitive advantages, healthy financials, and room to grow. Amazon.com, Inc. (NASDAQ:AMZN) and Clean Harbors Inc (NYSE:CLH) do, and for investors with a longer time horizon, they are great opportunities today.

The article 2 Attractive Stocks for Your Portfolio Today originally appeared on Fool.com is written by Jason Moser.

Jason Moser owns shares of Amazon.com. The Motley Fool recommends Amazon.com. The Motley Fool owns shares of Amazon.com and Clean Harbors.

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