Activist Jana takes stake in Casella Waste, urges changes
CWST•Jana Partners has built a position in Casella Waste Systems and is pressing it to improve margins and returns on invested capital, including publicly committing to a 27% EBITDA margin by 2029. Casella reported a 22.7% margin for the quarter ended June 30, 2026.
1. Jana seeks operational changes
Jana managing partner Scott Ostfeld said Casella should improve margins and operational execution, align compensation more closely with shareholder value, and hire a performance improvement consulting firm. Jana also wants the company to publicly commit to reaching a 27% EBITDA margin by 2029.
2. Casella performance and context
Casella, which had a market value of roughly $5.6 billion, has seen its shares fall around 11% this year and trade roughly flat over five years, while competitors performed better. Ostfeld said the company’s depressed valuation and strong position in the northeastern United States could make it an attractive takeover target. Casella bought mid-Atlantic waste assets from GFL Environmental for $525 million in 2023 and has struggled to integrate the acquisition and improve margins.
