Waste Management (WM) closed the latest trading day at $229.96, indicating a +1.05% change from the previous session's end. This move lagged the S&P 500's daily gain of 2.51%. On the other hand, the Dow registered a gain of 2.66%, and the technology-centric Nasdaq increased by 2.71%.
Heading into today, shares of the garbage and recycling hauler had gained 0.59% over the past month, outpacing the Business Services sector's loss of 7.26% and the S&P 500's loss of 8.86% in that time.
The investment community will be closely monitoring the performance of Waste Management in its forthcoming earnings report. The company is scheduled to release its earnings on April 28, 2025. It is anticipated that the company will report an EPS of $1.66, marking a 5.14% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $6.11 billion, reflecting a 18.39% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $7.60 per share and a revenue of $25.63 billion, signifying shifts of +5.12% and +16.18%, respectively, from the last year.
Any recent changes to analyst estimates for Waste Management should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. At present, Waste Management boasts a Zacks Rank of #3 (Hold).
Investors should also note Waste Management's current valuation metrics, including its Forward P/E ratio of 29.96. This denotes a premium relative to the industry's average Forward P/E of 24.93.
It's also important to note that WM currently trades at a PEG ratio of 2.73. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Waste Removal Services industry was having an average PEG ratio of 2.33.
The Waste Removal Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 197, which puts it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Waste Management, Inc. (WM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
