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CWY

Cleanaway Waste Management ASX:CWY Stock Report

Last Price

AU$2.92

Market Cap

AU$6.2b

7D

-3.0%

1Y

5.8%

Updated

26 May, 2022

Data

Company Financials +
CWY fundamental analysis
Snowflake Score
Valuation1/6
Future Growth4/6
Past Performance2/6
Financial Health3/6
Dividends2/6

CWY Stock Overview

Cleanaway Waste Management Limited provides waste management, industrial, and environmental services in Australia.

Rewards

Trading at 13.9% below our estimate of its fair value

Earnings are forecast to grow 20.89% per year

Risk Analysis

No risks detected for CWY from our risk checks.

Cleanaway Waste Management Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cleanaway Waste Management
Historical stock prices
Current Share PriceAU$2.92
52 Week HighAU$3.31
52 Week LowAU$2.46
Beta0.86
1 Month Change-8.75%
3 Month Change3.55%
1 Year Change5.80%
3 Year Change33.33%
5 Year Change117.91%
Change since IPO9.36%

Recent News & Updates

May 05
Calculating The Fair Value Of Cleanaway Waste Management Limited (ASX:CWY)

Calculating The Fair Value Of Cleanaway Waste Management Limited (ASX:CWY)

Today we will run through one way of estimating the intrinsic value of Cleanaway Waste Management Limited ( ASX:CWY...

Apr 06
These 4 Measures Indicate That Cleanaway Waste Management (ASX:CWY) Is Using Debt Reasonably Well

These 4 Measures Indicate That Cleanaway Waste Management (ASX:CWY) Is Using Debt Reasonably Well

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Mar 07
What Does Cleanaway Waste Management Limited's (ASX:CWY) Share Price Indicate?

What Does Cleanaway Waste Management Limited's (ASX:CWY) Share Price Indicate?

Cleanaway Waste Management Limited ( ASX:CWY ), might not be a large cap stock, but it received a lot of attention from...

Shareholder Returns

CWYAU Commercial ServicesAU Market
7D-3.0%-0.2%-0.4%
1Y5.8%0.8%-1.1%

Return vs Industry: CWY exceeded the Australian Commercial Services industry which returned 0.8% over the past year.

Return vs Market: CWY exceeded the Australian Market which returned -1.1% over the past year.

Price Volatility

Is CWY's price volatile compared to industry and market?
CWY volatility
CWY Average Weekly Movement3.4%
Commercial Services Industry Average Movement7.4%
Market Average Movement9.3%
10% most volatile stocks in AU Market16.4%
10% least volatile stocks in AU Market4.2%

Stable Share Price: CWY is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: CWY's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20026,000Mark Schuberthttps://www.cleanaway.com.au

Cleanaway Waste Management Limited provides waste management, industrial, and environmental services in Australia. It operates through three segments: Solid Waste Services, Industrial & Waste Services, and Liquid Waste & Health Services. The company offers commercial and industrial, municipal, and residential collection services for various types of solid waste streams, including general waste, recyclables, construction, and demolition waste, as well as medical and washroom services.

Cleanaway Waste Management Fundamentals Summary

How do Cleanaway Waste Management's earnings and revenue compare to its market cap?
CWY fundamental statistics
Market CapAU$6.17b
Earnings (TTM)AU$118.50m
Revenue (TTM)AU$2.60b

50.8x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CWY income statement (TTM)
RevenueAU$2.60b
Cost of RevenueAU$1.95b
Gross ProfitAU$654.10m
Other ExpensesAU$535.60m
EarningsAU$118.50m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.057
Gross Margin25.15%
Net Profit Margin4.56%
Debt/Equity Ratio40.4%

How did CWY perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

83%

Payout Ratio
New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

How is Cleanaway Waste Management forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


20.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CWY's forecast earnings growth (20.9% per year) is above the savings rate (1.8%).

Earnings vs Market: CWY's earnings (20.9% per year) are forecast to grow faster than the Australian market (6.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CWY's revenue (6.1% per year) is forecast to grow faster than the Australian market (4.9% per year).

High Growth Revenue: CWY's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CWY's Return on Equity is forecast to be low in 3 years time (9.2%).


Past Performance

How has Cleanaway Waste Management performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


13.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CWY has high quality earnings.

Growing Profit Margin: CWY's current net profit margins (4.6%) are lower than last year (6.3%).


Past Earnings Growth Analysis

Earnings Trend: CWY's earnings have grown by 13.6% per year over the past 5 years.

Accelerating Growth: CWY's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CWY had negative earnings growth (-18.3%) over the past year, making it difficult to compare to the Commercial Services industry average (3.7%).


Return on Equity

High ROE: CWY's Return on Equity (4.6%) is considered low.


Financial Health

How is Cleanaway Waste Management's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CWY's short term assets (A$540.9M) do not cover its short term liabilities (A$656.2M).

Long Term Liabilities: CWY's short term assets (A$540.9M) do not cover its long term liabilities (A$2.0B).


Debt to Equity History and Analysis

Debt Level: CWY's net debt to equity ratio (38.5%) is considered satisfactory.

Reducing Debt: CWY's debt to equity ratio has increased from 20.6% to 40.4% over the past 5 years.

Debt Coverage: CWY's debt is well covered by operating cash flow (41.7%).

Interest Coverage: CWY's interest payments on its debt are well covered by EBIT (7x coverage).


Balance Sheet


Dividend

What is Cleanaway Waste Management current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.68%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CWY's dividend (1.68%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.6%).

High Dividend: CWY's dividend (1.68%) is low compared to the top 25% of dividend payers in the Australian market (6.23%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CWY has been paying a dividend for less than 10 years.

Growing Dividend: CWY's dividend payments have increased, but the company has only paid a dividend for 8 years.


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (83.4%), CWY's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (53.3%), CWY's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

0.8yrs

Average management tenure


CEO

Mark Schubert

0.75

Tenure

Mr. Mark John Schubert, BE (Chemical), has been Chief Executive Officer, Managing Director and Director at Cleanaway Waste Management Limited since August 30, 2021. He had been Executive General Manager of...


Leadership Team

Experienced Management: CWY's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: CWY's board of directors are considered experienced (8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cleanaway Waste Management Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Cleanaway Waste Management Limited
  • Ticker: CWY
  • Exchange: ASX
  • Founded: 2002
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Implied Market Cap: AU$6.167b
  • Shares outstanding: 2.06b
  • Website: https://www.cleanaway.com.au

Number of Employees


Location

  • Cleanaway Waste Management Limited
  • 441 St Kilda Road
  • Level 4
  • Melbourne
  • Victoria
  • 3004
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/26 00:00
End of Day Share Price2022/05/26 00:00
Earnings2021/12/31
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.