Waste Management Inc.

224.91 (-0.88%) 1.97

90.44(B)

Industrials

Commercial Services and Supplies

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; 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 includes 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.

Holdings:

Cost basis:

Valuation Overview Growth Estimates Per Share Data Similar Companies Historical Data Calculators

Waste Management Inc. (WM) price target and intrinsic value estimate

WM's fair price estimate is $85.4

This valuation is based on a fair P/E of 10.7 and EPS estimates of $8.00

The median analyst price target for WM is $237.0.

Analyst price targets range from $191.0 to $262.0

Is WM overvalued or undervalued?

WM is currently trading at $224.91

WM is overvalued by 163% using the pevaluation method.

WM is undervalued by 5% compared to median analyst price targets.

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Valuation

PEvaluation

Current price

$224.9

Overvalued

Low

$64.1

Median

$85.4

High

$106.8

Fair P/E

Margin of safety

Analyst valuation

Current price

$225

Fairly valued

Low

$191

Median

$237

High

$262

Strong Buy3

Buy8

Hold9

Sell0

Strong Sell1

Discounted cash-flow

N/A
Negative FCF or FCF estimates

TTM FCFFCF est.Growth FCFTerminal FCF

Discount
rate10%

Terminal
rate5%

Growth p.
length5y

Growth p.
rate10%

Economic moat: None/narrow

Overview

Market data

Market cap:$90.44(B)

Enterprise value:$114.97(B)

Total Equity:$8.25(B)

Shares outstanding:402.12(M)

Div. yield:1.33%

P/S:4.09

P/E:32.88

P/FCF:41.80

P/B:10.94

EPS:$6.8

FCF per share:$5.4

Dividend per share:$3.0

Income (TTM)

Revenue$22.06(B)

Gross profit$8.68(B)

EBITDA$6.58(B)

Net income$2.75(B)

Gross margin39.3%

Net margin12.4%

Balance sheet

Total assets$44.57(B)

Total liabilities$36.31(B)

Cash & Short-term inv.$414.00(M)

Long-term debt$22.17(B)

Debt issued$24.58(B)

Debt repaid$-17.87(B)

Cash flow (TTM)

FCF$2.16(B)

CapEx$-3.23(B)

Dividends paid$-1.21(B)

Stock issued$53.00(M)

Stock repurchased$-314.00(M)

Stock-based comp.$118.00(M)

Per Share Data

Zoom x1

Show Growth

Growth Estimates

Revenue

CAGR: 6.0%

FY+1$25.64(B)

FY+2$27.09(B)

FY+3$28.44(B)

FY+4$30.70(B)

FY+5$32.38(B)

Net Income

CAGR: 10.1%

FY+1$3.07(B)

FY+2$3.49(B)

FY+3$3.86(B)

FY+4$4.26(B)

FY+5$4.52(B)

EPS

CAGR: 10.4%

FY+1$7.66

FY+2$8.69

FY+3$9.66

FY+4$10.66

FY+5$11.36

FCF per share

CAGR: 9.4%

FY+1$14.30

FY+2$15.65

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Historical Financials

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Calculators

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