WM - Waste Management Inc.

Stock Details

Waste Management Inc. (WM), a prominent company in the energy & transportation sector within the refuse systems industry, is based in USA and primarily trades on the NYSE.Currently, the stock is trading at $226.00. Over the past 52 weeks, it has ranged between $193.83 and $241.74. This places the current price at 93.5% of its 52-week high and 16.6% above its 52-week low. Recent trading volume was recorded at 3. The International Securities Identification Number (ISIN) for this stock is US94106L1098.

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

34.38

Above market average

Forward P/E

29.76

Earnings expected to grow

PEG Ratio

2.92

Potentially overvalued

Price to Book

10.62

EV/EBITDA

17.80

EPS (TTM)

$6.64

Price to Sales

4.01

Beta

0.67

Less volatile than market

How is WM valued relative to its earnings and growth?

Waste Management Inc. trades at a P/E ratio of 34.38, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 29.76 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 2.92 indicates a premium valuation even accounting for growth.

What is WM's risk profile compared to the market?

With a beta of 0.67, Waste Management Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 10.62 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

11.70%

Operating Margin

17.10%

Return on Equity

34.00%

Return on Assets

7.00%

Revenue Growth (YoY)

16.70%

Earnings Growth (YoY)

-9.70%

How profitable and efficient is WM's business model?

Waste Management Inc. achieves a profit margin of 11.70%, meaning it retains $11.70 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 17.10% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 34.00% and ROA at 7.00%, the company generates strong returns on invested capital.

What are WM's recent growth trends?

Waste Management Inc.'s revenue grew by 16.70% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings decreased by 9.70% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against REFUSE SYSTEMS industry averages for proper context.

Dividend Information

Dividend Per Share

$3.08

Dividend Yield

1.45%

Ex-Dividend Date

6/6/2025

Dividend Date

6/20/2025

What dividend income can investors expect from WM?

Waste Management Inc. offers a dividend yield of 1.45%, paying $3.08 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of 6/6/2025.

How reliable is WM's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - Waste Management Inc. pays $3.08 per share in dividends against earnings of $6.64 per share, resulting in a payout ratio of 46.31%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 6/20/2025.

Company Size & Market

Market Cap

$91.85B

Shares Outstanding

402.41M

Book Value/Share

$21.50

Asset Type

Common Stock

What is WM's market capitalization and position?

Waste Management Inc. has a market capitalization of $91.85B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 402.41M shares outstanding, the company's ownership is relatively concentrated. As a participant in the REFUSE SYSTEMS industry, it competes with other firms in this sector.

How does WM's price compare to its book value?

Waste Management Inc.'s book value per share is $21.50, while the current stock price is $226.00, resulting in a price-to-book (P/B) ratio of 10.51. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

Analyst Ratings

Analyst Target Price

$249.73

10.50% upside potential

Analyst Recommendations

Strong Buy

Buy

Hold

Sell

Strong Sell

How reliable are analyst predictions for WM?

25 analysts cover WM with 52% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $249.73 implies 10.5% upside, but targets are often adjusted to follow price moves rather than predict them.

What is the Wall Street consensus on WM?

Current analyst recommendations:4 Strong Buy, 9 Buy, 11 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Jul 1, 2025, 03:10 AM

Waste Management Inc. (WM) Stock