Waste Management, Inc.WM
NYSE•Industrials•Waste Management
Waste Management, Inc., through its subsidiaries, provides environmental solutions to residential, commercial, industrial, and municipal customers in the United States, Canada, Western Europe, and internationally. It offers collection services, including picking up and transporting waste and recyclable materials from where it was generated to a transfer station, recovery facility, or disposal site; owns and operates transfer stations; and owns, develops, and operates landfill gas-to-energy facilities that produce renewable electricity and renewable natural gas. It also operates materials processing and commodities recycling services, including cardboard, paper, glass, metals, plastics, construction and demolition materials, and other recycling commodities are recovered for resale or redirected for other purposes; markets and resells recycling commodities; recycling brokerage services, such as managing the marketing of recyclable materials for third parties; and other strategic business solutions. In addition, the company collects recyclable food and yard waste, as well as markets and sells mulch, compost, soil amendments, and renewable energy; offers remediation and construction, and industrial waste services; and manages and markets fly ash. Further, it provides Regulated Waste and Compliance Services (RWCS), which offers compliance programs, as well as collection, processing, and disposal of regulated and specialized waste, including medical, pharmaceutical, and hazardous waste; and Secure Information Destruction (SID) services that include the collection of personal and confidential information for secure destruction and recycling of sorted office paper. The company was formerly known as USA Waste Services, Inc. and changed its name to Waste Management, Inc. in 1998. Waste Management, Inc. was founded in 1968 and is based in Houston, Texas.
as of March 2026
Are revenues and earnings expanding?
$25.41B in TTM revenue grew 10.9% YoY, reaching $6.23B last quarter. TTM EBITDA of $7.35B on operating income of $1.11B shows growth is flowing through. Net income of $2.79B TTM confirms the company is converting revenue into profit. Revenue is growing at a healthy pace — a signal to hold.
Is revenue turning into profit effectively?
Op. margin of 17.9% is up 1.0% YoY — cost efficiency is improving. Net margin at 11.6%. ROE of 27.9% shows the company generates solid returns on shareholder equity.
Is the stock cheap or expensive?
At 31.1x P/E, the stock trades at a premium — the market expects above-average growth. P/S of 3.4x and P/B of 8.7x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.
Is the company financially stable?
With $45.70B in assets and $22.25B in long-term debt, the D/E of 2.2 indicates elevated leverage — the company has significant financial risk and may struggle in a downturn.
Is the business self-funding?
FCF of $851.00M on $1.50B in operating cash flow. The FCF / Net Income ratio of 0.3x indicates partial cash conversion — earnings quality needs attention. Cash reserves of $158.00M provide financial flexibility. Share count is stable — no dilution or buyback activity.
Competitive analysis based on 68 quarters of fundamental data
Operating margins are positive at ~17.6% on average, but show some variability — pricing power may be sensitive to market conditions.
Consistently high ROE averaging 30.4% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~21.2% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 68 quarters
Margins are stable or improving at ~17.4% — no sign of cost or pricing stress.
FCF covers net income by 0.9x on average — earnings are well-supported by cash generation.
D/E ratio of 2.2 is elevated. Monitor for further debt accumulation.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.