WASTE MANAGEMENT INC · Refuse Systems

WM

Low riskNext report: Around Jan 27, 2027 (est.)

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The short version

A high-quality, profitable business with steady sales.

Going well

Profitable every year for 10 years
Sales up 14% last year
Brings in more cash than it spends

Watch out for

High debt: 2.22x equity

Money moves

No insider buying or selling in the last 30 days
Institutions added 0.8% to their holdings in the quarter ending June 2026 (1059 bought, 1014 sold)
Held by Terry Smith (Fundsmith)

Facts from SEC filings, not a recommendation.

What the price means

Price as of Oct 26

$241.08+0.7% that day

Company value: $96.4B; Share price times all shares
Price vs profit (P/E): 34.1x; You pay about $34 for each $1 of yearly profit
Price vs sales: 3.8x; Company value is 3.8 times a year of sales
Dividend yield: 1.4%; Yearly dividend as a share of today's price
Cash vs value: 1%; Cash as a share of company value
Debt vs value: 23%; Debt as a share of company value

From WM's last IEX trade and its SEC filings (profits and sales over the last four quarters). A starting point for research, not a verdict.

The business over time

Last 12 quarters, from SEC filings

Sales, Jun '26

$6.7B+4.0% vs a year earlier

Sep '23Tap a barJun '26

Last 12 months: $25.7B, up 7.2% from the 12 months before. Over 5 years, sales grew about 11% a year.

What the price assumes

Your guesses, our math

Move the sliders to your own view of WM. Starting points are the company's recent numbers.

Sales growth+7% a yearRecently: +7.2% a yearProfit margin11%Last 12 months: 11.1%P/E at the end34xToday: 34.1x. Many steady companies trade at 12x to 25xShare count change-1% a yearBelow zero means buybacks; above zero means new shares (dilution)

Sales in 5 years$36.0B

Profit in 5 years$4.0B

Price these guesses point to$354.19+47% vs $241.08 todayAbout +8.0% a year, before dividends

What today's price needs: with a 11% margin and a 34x P/E, sales could shrink about 0.9% a year for 5 years and still match today's price.

Simple math on your guesses, not a forecast or a price target. Real results depend on many things these sliders leave out.

Price

Price chart by TradingView.

Business quality

The checklist Warren Buffett-style investors use. Annual numbers for 2025.

5/6Strong

PassReturn on equity 15%+Earns a lot on the money owners have in the business.29.7%
MissDebt under half of equityNot relying on borrowed money.2.22x equity
PassNet margin 10%+Keeps at least 10 cents of profit from each dollar of sales.10.7%
PassProfitable every yearSteady profits, not one good year.10 of 10 years
PassFree cash flow positiveBrings in more cash than it spends to run and grow.$6.0B
PassShare count not growingNot diluting owners. Falling means buybacks.-2.6% in 3 years

Revenue: $25.2B; +14.2% vs prior year
5-year growth: +10.6%/yr; revenue, per year
Total debt: $22.2B; 2.22x equity
Current ratio: 0.89x; short-term assets / bills due

From annual reports filed with the SEC. Not in this company's SEC data, so not scored: gross margin 40%+. A checklist is a starting point for research, not a verdict.