With sustainability firmly on the global agenda, companies of all stripes are being forced to innovate and modify their operations in order to stay on the right side of legislation and public sentiment. There has never been so much raw material extraction, product manufacture, consumption, and waste as there is today.

In steps Renewi (LON:RWI) . A company that has been operating for more than a century but finds itself in demand more now than ever before. Recognised as a waste-to-product leader in sustainability and circular economies, Renewi is well placed to advise and help enterprises in their drive towards more sustainable operations.

Its central purpose is hard to fault: ‘to protect the world by giving new life to used materials’.

As societies impose more environmental responsibility upon corporations, those companies are beginning to accept that they must be more economical with the finite resources at their disposal. Businesses across Europe are exploring sustainability, driven by legislation (such as the Circular Economy Package) and social pressures.

This will continue, and it is with the help of companies such as Renewi that tangible progress might be made. So it looks like the group’s longer term prospects are promising. Meanwhile, shorter term recyclate pricing tailwinds have led brokers to increase FY22 EPS forecasts by 15%.

The StockRanks are strong and Renewi is one of the highest Value-Momentum stocks on the UK market but, having already rerated substantially, are shares now up with events?

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Profile

What are the company's principal business activities, how does it generate its revenues?

Renewi is a pure play recycling company exclusively focused on extracting value from waste, rather than disposal through incineration or landfill. Revenues are generated from collecting and processing waste and by selling the recyclates and energy produced.

It is committed to turning residual materials into raw materials and secondary products, and continues to invest in new technologies to facilitate this. The focus on recycling makes it more appealing to companies looking to improve their environmental credentials compared to other waste disposal outfits that typically incinerate the bulk of their materials.

This positioning puts it at the heart of the push for ‘circular economies’ that operate more efficiently, a trend driven by both legislative initiatives and public sentiment.

The group says it is the Benelux market leader, with a presence in the more…

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