(WM) Waste Management - Ratings and Ratios
Waste Collection, Recycling, Renewable Energy, Landfill Services
WM EPS (Earnings per Share)
WM Revenue
Description: WM Waste Management
Waste Management, Inc. (NYSE: WM) delivers a full-stack suite of environmental services across North America and parts of Western Europe, ranging from curb-side collection of municipal solid waste to the operation of landfill-gas-to-energy plants that generate renewable electricity and natural gas.
The company’s recycling footprint includes processing of cardboard, paper, glass, metals, plastics, and construction-demolition debris, while its brokerage arm markets these commodities for third-party sellers. It also captures food- and yard-waste streams to produce mulch, compost, and soil amendments, and it offers regulated-waste compliance, hazardous-waste disposal, and secure information destruction services.
Key financial indicators (FY 2023) show revenue of roughly **$15.5 billion**, an adjusted EBITDA margin near **20 %**, and capital expenditures of about **$2.2 billion**, reflecting ongoing investment in landfill-gas projects and fleet electrification. The firm’s growth is closely tied to macro-drivers such as rising waste generation rates (U.S. municipal solid waste grew ~2 % YoY in 2023), tightening environmental regulations that favor renewable natural-gas credits, and the broader ESG trend that rewards companies with verifiable carbon-offset outputs.
From a sector perspective, WM benefits from a **high-barrier, regulated market** where scale economies and long-term service contracts create stable cash flows, while the transition to a circular economy fuels demand for advanced recycling and waste-to-energy solutions.
For a deeper quantitative view of WM’s valuation metrics and scenario analysis, you may find ValueRay’s platform useful.
WM Stock Overview
| Market Cap in USD | 88,526m |
| Sub-Industry | Environmental & Facilities Services |
| IPO / Inception | 1988-06-02 |
WM Stock Ratings
| Growth Rating | 64.1% |
| Fundamental | 63.0% |
| Dividend Rating | 60.8% |
| Return 12m vs S&P 500 | -11.2% |
| Analyst Rating | 3.84 of 5 |
WM Dividends
| Dividend Yield 12m | 1.50% |
| Yield on Cost 5y | 3.07% |
| Annual Growth 5y | 8.31% |
| Payout Consistency | 95.7% |
| Payout Ratio | 44.5% |
WM Growth Ratios
| Growth Correlation 3m | -84.1% |
| Growth Correlation 12m | 40.3% |
| Growth Correlation 5y | 94.3% |
| CAGR 5y | 12.32% |
| CAGR/Max DD 3y (Calmar Ratio) | 0.99 |
| CAGR/Mean DD 3y (Pain Ratio) | 2.74 |
| Sharpe Ratio 12m | 0.46 |
| Alpha | -9.53 |
| Beta | 0.642 |
| Volatility | 20.65% |
| Current Volume | 1152.4k |
| Average Volume 20d | 1413.7k |
| Stop Loss | 209 (-3%) |
| Signal | 0.36 |
Piotroski VR‑10 (Strict, 0-10) 4.0
| Net Income (2.72b TTM) > 0 and > 6% of Revenue (6% = 1.44b TTM) |
| FCFTA 0.05 (>2.0%) and ΔFCFTA -1.49pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -3.47% (prev 1.44%; Δ -4.92pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.12 (>3.0%) and CFO 5.62b > Net Income 2.72b (YES >=105%, WARN >=100%) |
| Net Debt (23.58b) to EBITDA (6.92b) ratio: 3.41 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.86 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (404.3m) change vs 12m ago 0.27% (target <= -2.0% for YES) |
| Gross Margin 28.97% (prev 29.12%; Δ -0.16pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 60.08% (prev 61.70%; Δ -1.61pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.29 (EBITDA TTM 6.92b / Interest Expense TTM 796.0m) >= 6 (WARN >= 3) |
Altman Z'' 2.25
| (A) -0.02 = (Total Current Assets 4.98b - Total Current Liabilities 5.82b) / Total Assets 45.72b |
| (B) 0.36 = Retained Earnings (Balance) 16.55b / Total Assets 45.72b |
| (C) 0.11 = EBIT TTM 4.21b / Avg Total Assets 39.86b |
| (D) 0.45 = Book Value of Equity 16.57b / Total Liabilities 36.52b |
| Total Rating: 2.25 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 62.95
| 1. Piotroski 4.0pt = -1.0 |
| 2. FCF Yield 1.93% = 0.96 |
| 3. FCF Margin 9.03% = 2.26 |
| 4. Debt/Equity 2.61 = -0.17 |
| 5. Debt/Ebitda 3.41 = -2.23 |
| 6. ROIC - WACC (= 4.01)% = 5.01 |
| 7. RoE 31.93% = 2.50 |
| 8. Rev. Trend 92.11% = 6.91 |
| 9. EPS Trend -25.66% = -1.28 |
What is the price of WM shares?
Over the past week, the price has changed by -1.72%, over one month by -0.08%, over three months by -4.17% and over the past year by +2.58%.
Is Waste Management a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of WM is around 210.03 USD . This means that WM is currently overvalued and has a potential downside of -2.53%.
Is WM a buy, sell or hold?
- Strong Buy: 9
- Buy: 4
- Hold: 11
- Sell: 1
- Strong Sell: 0
What are the forecasts/targets for the WM price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 256.9 | 19.2% |
| Analysts Target Price | 256.9 | 19.2% |
| ValueRay Target Price | 230.5 | 7% |
Last update: 2025-10-06 02:02
WM Fundamental Data Overview
P/E Trailing = 32.557
P/E Forward = 25.0627
P/S = 3.6963
P/B = 9.4966
P/EG = 2.4465
Beta = 0.642
Revenue TTM = 23.95b USD
EBIT TTM = 4.21b USD
EBITDA TTM = 6.92b USD
Long Term Debt = 23.06b USD (from longTermDebt, last quarter)
Short Term Debt = 964.0m USD (from shortTermDebt, last quarter)
Debt = 24.02b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 23.58b USD (from netDebt column, last quarter)
Enterprise Value = 112.11b USD (88.53b + Debt 24.02b - CCE 440.0m)
Interest Coverage Ratio = 5.29 (Ebit TTM 4.21b / Interest Expense TTM 796.0m)
FCF Yield = 1.93% (FCF TTM 2.16b / Enterprise Value 112.11b)
FCF Margin = 9.03% (FCF TTM 2.16b / Revenue TTM 23.95b)
Net Margin = 11.36% (Net Income TTM 2.72b / Revenue TTM 23.95b)
Gross Margin = 28.97% ((Revenue TTM 23.95b - Cost of Revenue TTM 17.01b) / Revenue TTM)
Gross Margin QoQ = 29.28% (prev 28.50%)
Tobins Q-Ratio = 2.45 (Enterprise Value 112.11b / Total Assets 45.72b)
Interest Expense / Debt = 0.97% (Interest Expense 232.0m / Debt 24.02b)
Taxrate = 21.66% (201.0m / 928.0m)
NOPAT = 3.30b (EBIT 4.21b * (1 - 21.66%))
Current Ratio = 0.86 (Total Current Assets 4.98b / Total Current Liabilities 5.82b)
Debt / Equity = 2.61 (Debt 24.02b / totalStockholderEquity, last quarter 9.20b)
Debt / EBITDA = 3.41 (Net Debt 23.58b / EBITDA 6.92b)
Debt / FCF = 10.90 (Net Debt 23.58b / FCF TTM 2.16b)
Total Stockholder Equity = 8.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.95% (Net Income 2.72b / Total Assets 45.72b)
RoE = 31.93% (Net Income TTM 2.72b / Total Stockholder Equity 8.52b)
RoCE = 13.32% (EBIT 4.21b / Capital Employed (Equity 8.52b + L.T.Debt 23.06b))
RoIC = 10.76% (NOPAT 3.30b / Invested Capital 30.62b)
WACC = 6.75% (E(88.53b)/V(112.55b) * Re(8.38%) + D(24.02b)/V(112.55b) * Rd(0.97%) * (1-Tc(0.22)))
Discount Rate = 8.38% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.01%
[DCF Debug] Terminal Value 75.71% ; FCFE base≈2.14b ; Y1≈1.97b ; Y5≈1.76b
Fair Price DCF = 73.92 (DCF Value 29.78b / Shares Outstanding 402.8m; 5y FCF grow -10.27% → 3.0% )
EPS Correlation: -25.66 | EPS CAGR: -54.49% | SUE: -4.0 | # QB: 0
Revenue Correlation: 92.11 | Revenue CAGR: 8.99% | SUE: 1.04 | # QB: 1
Additional Sources for WM Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle