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Waste Management (WM) Stock Moves 0.13%: What You Should Know

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In the latest trading session, Waste Management (WM - Free Report) closed at $208.32, marking a +0.13% move from the previous day. The stock performed in line with S&P 500. At the same time, the Dow added 0.55%, and the tech-heavy Nasdaq lost 0.52%.

Shares of the garbage and recycling hauler witnessed a gain of 1.29% over the previous month, trailing the performance of the Business Services sector with its gain of 6.81% and the S&P 500's gain of 3.67%.

Investors will be eagerly watching for the performance of Waste Management in its upcoming earnings disclosure. On that day, Waste Management is projected to report earnings of $1.86 per share, which would represent year-over-year growth of 14.11%. In the meantime, our current consensus estimate forecasts the revenue to be $5.5 billion, indicating a 5.82% growth compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates project earnings of $7.24 per share and a revenue of $21.54 billion, demonstrating changes of +16.96% and +5.46%, respectively, from the preceding year.

Investors should also note any recent changes to analyst estimates for Waste Management. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Waste Management presently features a Zacks Rank of #3 (Hold).

With respect to valuation, Waste Management is currently being traded at a Forward P/E ratio of 28.74. This indicates no noticeable deviation in contrast to its industry's Forward P/E of 28.74.

Meanwhile, WM's PEG ratio is currently 2.33. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Waste Removal Services industry had an average PEG ratio of 2.81 as trading concluded yesterday.

The Waste Removal Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 206, which puts it in the bottom 19% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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