Waste Management, Inc. (WM) - Stock Analysis

Last updated: Apr 11, 2026

IndustrialsClosed

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Waste Management qualifies as a hot idea supported by record Q3 revenue growth, increased margins, strong free cash flow, a raised dividend and share buybacks, combined with positive technical momentum and favorable industry tailwinds for sustainable near-term price appreciation.

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Idea window: 1/23/2026 – 1/30/2026Sector: Industrials

AI Analyst Overview

Last Price
$229.45
Market Cap
$92.55B
1D Return
-1.57%
YTD Return
+4.85%

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Valuation Metrics

P/E
34.1
P/B
9.3
P/S
3.7
EV/EBITDA
15.9
Div Yield
1.49%

Fundamental Analysis

6.0

Key Financial Insights: • Strong cash generation • High leverage • Elevated valuation Waste Management delivers strong cash generation and high returns (FY EBITDA margin ~29%, NCFO $6.0B, FCF $2.8B, ROE ~29%) but is constrained by weak liquidity and heavy leverage (current ratio 0.89, cash $201M vs $22.9B debt, D/E ~3.6) amid rich valuation (P/E ~34, P/B ~9.3).

CashGenerative
HighLeverage

Price Behavior

5.0

Key Price Behavior Insights: • Mild downtrend • Near-term support • Resistance band Support Level: $224–$226 Resistance Level: $235–$239 Short-term mildly bearish: price slipped ~3.5% last month to $229.45, trading just below the last-month average (~$231.60) with resistance near $235–$239 and support around $224–$226, suggesting caution unless resistance is cleared or support breaks.

caution
meanreversion

Sentiment & News

6.0

Key News Insights: • Dividend growth • Strategic investments • Balance‑sheet strain Waste Management shows durable cash-flow and strategic growth (dividend hike, renewables, acquisitions) but faces notable debt/liquidity pressure ahead of its late‑April earnings.

Resilient
DebtRisks
AI

AI Summary

6.0
Neutral

WM's strategic pivot from a utility‑like hauler to a higher‑margin environmental solutions platform offers significant upside if Healthcare, RNG, and recycling integrations monetize as planned, but the critical near‑term risk is elevated leverage combined with aggressive shareholder returns that could force balance‑sheet actions if FCF or integration execution falter.

Transformation
Leverage
Execution
AI summary updated 2 days ago

Description

Waste Management, Inc. is a North American provider of waste collection, processing, disposal and related environmental services for residential, commercial, industrial and municipal clients. The company owns and operates a network of landfills, material recovery facilities, transfer stations and landfill gas-to-energy sites, and offers recycling brokerage, materials processing, construction/remediation and specialized disposal services. Headquartered in Houston and incorporated in 1987, it maintained several hundred landfill, MRF and transfer station locations as of year-end 2021.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Jan 23Jan 30WMWaste Management, Inc.
Waste Management qualifies as a hot idea supported by record Q3 revenue growth, increased margins, strong free cash flow, a raised dividend and share buybacks, combined with positive technical momentum and favorable industry tailwinds for sustainable near-term price appreciation.
Closed-3.0%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.