# Waste Management Inc. (WM) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Industrials / Transportation Infrastructure. Price $218.99, market value $87.5 billion.

## Valuation
- **P/E (trailing): 31.0×** (5-yr avg 31.2×, 3-yr avg 30.7×). Waste Management Inc. trades at 31.0× trailing earnings, close to its own five-year average of 31.2×. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 24.0×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 3.4×**. Each dollar of revenue is priced at 3.4×.
- **Price / book: 8.8×**. The shares trade at 8.8× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 11.7×**. Enterprise value is 11.7× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 4.1%** (5-yr avg 3.0%). Free cash flow equals 4.1% of the market value, above its five-year average of 3.0%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 3.2%**. The inverse of the P/E: 3.2% of the price is earned each year.

## Profitability
- **Operating margin: 17.6%**. 17.6% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 10.7%**. 10.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 27.1%**. 27.1% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 33.9%**. Return on all capital, debt included, is 33.9%: comfortably above what that capital costs.
- **Return on assets: 6.2%**. Each dollar of assets produces 6.2% of profit.

## Growth
- **Revenue growth (1 yr): 14.2%** (3-yr 8.6%/yr, 5-yr 10.6%/yr). Revenue grew 14.2% over the last year, against 10.6% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): -1.6%** (3-yr 7.5%/yr, 5-yr 13.7%/yr). Earnings per share fell 1.6%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 17.7%/yr**. Free cash flow has compounded at 17.7% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.07**. Debt is 0.07 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 0.1×**. It would take 0.1 years of operating earnings to repay net borrowings, within the comfortable range.
- **Altman Z-score: 2.63**. A Z-score of 2.63 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.73%** ($3.54 per share, trailing). Waste Management Inc. yields 1.73%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 49%** (40% of free cash flow). 49% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 26**. 26 straight years of increases (the data covers 26 years, so this may be longer): a record very few companies hold.
- **Dividend growth (5 yr): 8.6%/yr** (1-yr 10.0%). The dividend has grown 8.6% a year over five years.

## Analyst view
- **Analyst consensus: buy** (25 analysts). 25 analysts cover Waste Management Inc.; the consensus is buy, with an average price target of $259.92 (+19% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -1.1%** (YTD 0.5%, 3-mo -0.6%). The shares are down 1.1% over twelve months including dividends.
- **From 52-week high: -11.7%** (12.8% above the low). Trading 12% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 40**. An RSI of 40 is neutral.
- **Beta (1 yr): -0.37** (volatility 20%). Beta of -0.37 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=WM · Page: https://foliofundamentals.com/stocks/wm

Not investment advice.