Barron’s reports that Covanta Holding (CVA) is at the forefront of the waste to energy industry.  "With skyrocketing fuel prices, increasing worldwide concern over climate change and overflowing landfills, Covanta is positioned to see strong growth in both domestic and international markets.

This could be a great time to buy the Fairfield, N.J.-based company, which "owns landfills and energy generation plants, the majority of which are waste-to-energy facilities. Covanta incinerates garbage to produce electricity for towns and municipalities.

After paying off a number of capital-intensive plants, Covanta now owns debt-free assets, which, in addition to beefing up the bottom line, will increase its borrowing power. Combined with a 9% free cash flow yield, the company is free to pursue new projects and acquisitions. Despite 23.4% growth in the last year, Covanta shares are down 4.8% in the last three months, as stock sales by company Chairman Sam Zell, the real-estate mogul, have rattled investors."