Waste Management (WM) Upgraded to Outperform as Baird Sees Upside Potential Ahead

Waste Management, Inc. (NYSE:WM) ranks among the stocks in Bill Gates’ portfolio that analysts are watching. On November 4, Baird raised its price target from $238 to $242 and upgraded Waste Management (NYSE:WM) from Neutral to Outperform.

Despite several challenges, Baird was optimistic about Waste Management’s 2026 prospects, pointing out that the company’s present valuation “looks well-grounded and leaves solid upside for a large-cap name.”

The rating follows the company’s third-quarter adjusted earnings on October 27 which came in below analyst forecasts. The waste collection and disposal company revealed revenue of $6.44 billion, which was below the consensus forecast of $6.5 billion, and adjusted earnings per share of $1.98, which fell short of the analyst forecasts of $2.03.

The company maintained its free cash flow projection between $2.8 billion to $2.9 billion and its full-year adjusted operating EBITDA forecast at $7.475 billion and $7.625 billion.

However, Waste Management, Inc. (NYSE:WM) reduced its total company revenue forecast to around $25.275 billion, the low end of its previous guidance range, citing continuing decreases in recycled commodity pricing and somewhat lower revenue projections from WM Healthcare Solutions.

Waste Management, Inc. (NYSE:WM) is a waste collection and disposal industry leader with a dominant market share and unequaled landfill ownership.

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Disclosure: None. This article is originally published at Insider Monkey.