Waste Management, Inc., through its subsidiaries, provides waste management environmental services to residential, commercial, industrial, and municipal customers in North America.
Established dividend payer with limited growth.
Share Price & News
How has Waste Management's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WM has not had significant price volatility in the past 3 months.
7 Day Return
US Commercial Services
1 Year Return
US Commercial Services
Return vs Industry: WM underperformed the US Commercial Services industry which returned 5.2% over the past year.
Return vs Market: WM underperformed the US Market which returned 15.8% over the past year.
Price Volatility Vs. Market
How volatile is Waste Management's share price compared to the market and industry in the last 5 years?
Simply Wall St News
16 hours ago | Simply Wall StWhat You Need To Know About Waste Management, Inc.'s (NYSE:WM) Investor Composition
3 months ago | Simply Wall StEstimating The Fair Value Of Waste Management, Inc. (NYSE:WM)
3 months ago | Simply Wall StWaste Management, Inc. (NYSE:WM) Is Employing Capital Very Effectively
Is Waste Management undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: WM ($112.72) is trading above our estimate of fair value ($83.89)
Significantly Below Fair Value: WM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WM is poor value based on its PE Ratio (29.7x) compared to the US Commercial Services industry average (25.3x).
PE vs Market: WM is poor value based on its PE Ratio (29.7x) compared to the US market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: WM is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: WM is overvalued based on its PB Ratio (6.9x) compared to the US Commercial Services industry average (1.4x).
How is Waste Management forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WM's forecast earnings growth (11.5% per year) is above the savings rate (2.2%).
Earnings vs Market: WM's earnings (11.5% per year) are forecast to grow slower than the US market (22.9% per year).
High Growth Earnings: WM's earnings are forecast to grow, but not significantly.
Revenue vs Market: WM's revenue (5.5% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: WM's revenue (5.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WM's Return on Equity is forecast to be high in 3 years time (24.4%)
How has Waste Management performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WM has high quality earnings.
Growing Profit Margin: WM's current net profit margins (10.7%) are lower than last year (11.5%).
Past Earnings Growth Analysis
Earnings Trend: WM's earnings have grown by 13.4% per year over the past 5 years.
Accelerating Growth: WM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: WM had negative earnings growth (-8.4%) over the past year, making it difficult to compare to the Commercial Services industry average (-6%).
Return on Equity
High ROE: Whilst WM's Return on Equity (23.36%) is high, this metric is skewed due to their high level of debt.
How is Waste Management's financial position?
Financial Position Analysis
Short Term Liabilities: WM's short term assets ($5.1B) do not cover its short term liabilities ($5.8B).
Long Term Liabilities: WM's short term assets ($5.1B) do not cover its long term liabilities ($14.0B).
Debt to Equity History and Analysis
Debt Level: WM's debt to equity ratio (174.2%) is considered high.
Reducing Debt: WM's debt to equity ratio has increased from 168.5% to 174.2% over the past 5 years.
Debt Coverage: WM's debt is well covered by operating cash flow (29.9%).
Interest Coverage: WM's interest payments on its debt are well covered by EBIT (5.8x coverage).
What is Waste Management current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: WM's dividend (1.93%) is higher than the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: WM's dividend (1.93%) is low compared to the top 25% of dividend payers in the US market (4.45%).
Stability and Growth of Payments
Stable Dividend: WM's dividends per share have been stable in the past 10 years.
Growing Dividend: WM's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (55.7%), WM's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: WM's dividends in 3 years are forecast to be covered by earnings (54.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jim Fish (58 yo)
Mr. James C. Fish, Jr., also known as Jim, has been the Chief Executive Officer of Waste Management, Inc. since November 11, 2016 and as has been its President since July 27, 2016. Mr. Fish served as Execu ...
CEO Compensation Analysis
Compensation vs Market: Jim's total compensation ($USD11.30M) is about average for companies of similar size in the US market ($USD11.30M).
Compensation vs Earnings: Jim's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
|Executive VP & CFO||3.5yrs||US$3.62m||0.0060% |
|Executive VP & COO||1.58yrs||US$4.04m||0.021% |
|Senior Vice President of Operations||8.42yrs||US$3.00m||0.0050% |
|Senior Vice President of Field Operations||1.58yrs||US$2.99m||0.0050% |
|VP & Chief Accounting Officer||2.75yrs||no data||0.000090% |
|Director of Investor Relations||no data||no data||no data|
|Executive VP of Corporate Development & Chief Legal Officer||3.58yrs||no data||0.0041% |
|Senior VP & Chief People Officer||1.67yrs||no data||no data|
|Senior VP & Chief Digital Officer||2.83yrs||no data||0.0051% |
|Senior VP & Chief Customer Officer||1.83yrs||no data||0.0043% |
|VP & Secretary||no data||no data||no data|
Experienced Management: WM's management team is considered experienced (2.8 years average tenure).
|Independent Director||14.17yrs||US$290.06k||0.0059% |
|Independent Director||17.83yrs||US$285.06k||0.0077% |
|Non-Executive Independent Chairman||2.33yrs||US$464.96k||0.0077% |
|Independent Director||7.58yrs||US$265.06k||0.0043% |
|Independent Director||1yr||US$107.28k||0.00046% |
|Independent Director||23.58yrs||US$265.06k||0.013% |
|Independent Director||5.58yrs||US$265.06k||0.0028% |
|Independent Director||4.83yrs||US$280.06k||0.0023% |
Experienced Board: WM's board of directors are considered experienced (5.6 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Waste Management, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Waste Management, Inc.
- Ticker: WM
- Exchange: NYSE
- Founded: 1987
- Industry: Environmental and Facilities Services
- Sector: Commercial Services
- Market Cap: US$47.620b
- Shares outstanding: 422.46m
- Website: https://www.wm.com
Number of Employees
- Waste Management, Inc.
- 1001 Fannin Street
- Suite 4000
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|WM||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jun 1988|
|UWS||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jun 1988|
|0LTG||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Jun 1988|
|WM||WBAG (Wiener Boerse AG)||Yes||Common Stock||AT||EUR||Jun 1988|
|UWS||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Jun 1988|
|W1MC34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH REPR 2 COM||BR||BRL||Dec 2019|
Waste Management, Inc., through its subsidiaries, provides waste management environmental services to residential, commercial, industrial, and municipal customers in North America. It offers collection ser ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/08/07 23:47|
|End of Day Share Price||2020/08/07 00:00|
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.