Waste Management Valuation
Is WMI * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
1/6Valuation Score 1/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of WMI * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: WMI * (MX$4277.5) is trading above our estimate of fair value (MX$4245.07)
Significantly Below Fair Value: WMI * is trading above our estimate of fair value.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for WMI *?
Key metric: As WMI * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is WMI *'s PE Ratio? | |
|---|---|
| PE Ratio | 34.1x |
| Earnings | US$2.64b |
| Market Cap | US$90.07b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 5x |
| Enterprise Value/EBITDA | 16.6x |
| PEG Ratio | 3.1x |
Price to Earnings Ratio vs Peers
How does WMI *'s PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 36.5x | ||
PASA B Promotora Ambiental. de | 26.6x | n/a | Mex$5.1b |
RSG Republic Services | 34.5x | 6.7% | US$67.9b |
WCN Waste Connections | 52.1x | 14.9% | US$49.0b |
VLTO Veralto | 32.7x | 9.1% | US$26.3b |
WMI * Waste Management | 34.1x | 10.9% | Mex$90.1b |
Price-To-Earnings vs Peers: WMI * is good value based on its Price-To-Earnings Ratio (34.1x) compared to the peer average (36.5x).
Price to Earnings Ratio vs Industry
How does WMI *'s PE Ratio compare vs other companies in the Global Commercial Services Industry?
| 20 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 20 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: WMI * is expensive based on its Price-To-Earnings Ratio (34.1x) compared to the Global Commercial Services industry average (17.2x).
Price to Earnings Ratio vs Fair Ratio
What is WMI *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 34.1x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate WMI *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | Mex$4,277.50 | Mex$4,689.15 +9.6% | 7.3% | Mex$5,188.69 | Mex$3,682.95 | n/a | 20 |
| Nov ’25 | Mex$4,363.00 | Mex$4,633.08 +6.2% | 7.6% | Mex$5,143.99 | Mex$3,510.02 | n/a | 21 |
| Oct ’25 | Mex$3,997.00 | Mex$4,147.24 +3.8% | 8.1% | Mex$4,674.12 | Mex$3,165.74 | n/a | 20 |
| Sep ’25 | Mex$4,120.00 | Mex$4,147.24 +0.7% | 8.1% | Mex$4,674.12 | Mex$3,165.74 | n/a | 20 |
| Aug ’25 | Mex$3,617.54 | Mex$4,147.24 +14.6% | 8.1% | Mex$4,674.12 | Mex$3,165.74 | n/a | 20 |
| Jul ’25 | Mex$3,872.75 | Mex$4,123.98 +6.5% | 8.9% | Mex$4,768.22 | Mex$3,019.26 | n/a | 20 |
| Jun ’25 | n/a | Mex$3,764.15 0% | 9.1% | Mex$4,351.20 | Mex$2,704.80 | n/a | 20 |
| May ’25 | Mex$3,561.10 | Mex$3,785.27 +6.3% | 8.9% | Mex$4,407.61 | Mex$2,739.87 | n/a | 21 |
| Apr ’25 | Mex$3,541.99 | Mex$3,507.46 -1.0% | 8.5% | Mex$4,277.66 | Mex$2,656.83 | n/a | 21 |
| Mar ’25 | Mex$3,539.80 | Mex$3,545.11 +0.1% | 8.0% | Mex$3,936.38 | Mex$2,721.24 | n/a | 22 |
| Feb ’25 | Mex$3,192.85 | Mex$3,134.74 -1.8% | 8.0% | Mex$3,676.20 | Mex$2,581.89 | n/a | 21 |
| Jan ’25 | Mex$2,972.50 | Mex$3,098.48 +4.2% | 7.5% | Mex$3,465.07 | Mex$2,577.46 | n/a | 21 |
| Dec ’24 | Mex$2,962.50 | Mex$3,083.96 +4.1% | 7.7% | Mex$3,488.17 | Mex$2,594.65 | n/a | 21 |
| Nov ’24 | Mex$2,925.41 | Mex$3,199.09 +9.4% | 8.0% | Mex$3,615.90 | Mex$2,654.03 | Mex$4,363.00 | 20 |
| Oct ’24 | Mex$2,670.00 | Mex$3,047.70 +14.1% | 7.5% | Mex$3,448.16 | Mex$2,543.44 | Mex$3,997.00 | 20 |
| Sep ’24 | n/a | Mex$2,998.47 0% | 7.6% | Mex$3,405.98 | Mex$2,512.33 | Mex$4,120.00 | 19 |
| Aug ’24 | n/a | Mex$2,998.47 0% | 7.6% | Mex$3,405.98 | Mex$2,512.33 | Mex$3,617.54 | 19 |
| Jul ’24 | n/a | Mex$3,048.89 0% | 7.9% | Mex$3,478.48 | Mex$2,521.90 | Mex$3,872.75 | 20 |
| Jun ’24 | n/a | Mex$3,106.23 0% | 8.1% | Mex$3,551.04 | Mex$2,574.50 | n/a | 19 |
| May ’24 | n/a | Mex$3,118.63 0% | 8.0% | Mex$3,585.72 | Mex$2,599.65 | Mex$3,561.10 | 19 |
| Apr ’24 | n/a | Mex$3,046.59 0% | 9.2% | Mex$3,618.52 | Mex$2,496.78 | Mex$3,541.99 | 18 |
| Mar ’24 | Mex$2,667.55 | Mex$3,083.38 +15.6% | 8.4% | Mex$3,629.04 | Mex$2,555.14 | Mex$3,539.80 | 17 |
| Feb ’24 | Mex$2,903.29 | Mex$3,117.85 +7.4% | 9.3% | Mex$3,649.72 | Mex$2,402.11 | Mex$3,192.85 | 16 |
| Jan ’24 | Mex$3,055.23 | Mex$3,400.69 +11.3% | 8.7% | Mex$3,881.84 | Mex$2,554.88 | Mex$2,972.50 | 17 |
| Dec ’23 | Mex$3,172.18 | Mex$3,413.35 +7.6% | 8.9% | Mex$3,888.31 | Mex$2,559.14 | Mex$2,962.50 | 17 |
| Nov ’23 | Mex$3,139.61 | Mex$3,413.35 +8.7% | 8.9% | Mex$3,888.31 | Mex$2,559.14 | Mex$2,925.41 | 17 |
Analyst Forecast: Target price is less than 20% higher than the current share price.