Back to top

Image: Bigstock

Waste Management (WM) Stock Moves -1.19%: What You Should Know

Read MoreHide Full Article

In the latest trading session, Waste Management (WM - Free Report) closed at $148.01, marking a -1.19% move from the previous day. This change was narrower than the S&P 500's 1.22% loss on the day. At the same time, the Dow lost 0.19%, and the tech-heavy Nasdaq lost 0.53%.

Coming into today, shares of the garbage and recycling hauler had lost 8.55% in the past month. In that same time, the Business Services sector lost 24.14%, while the S&P 500 lost 6.58%.

Waste Management will be looking to display strength as it nears its next earnings release, which is expected to be February 2, 2022. On that day, Waste Management is projected to report earnings of $1.25 per share, which would represent year-over-year growth of 10.62%. Meanwhile, our latest consensus estimate is calling for revenue of $4.59 billion, up 12.88% from the prior-year quarter.

Investors might also notice recent changes to analyst estimates for Waste Management. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.04% lower. Waste Management is currently a Zacks Rank #3 (Hold).

In terms of valuation, Waste Management is currently trading at a Forward P/E ratio of 27.56. Its industry sports an average Forward P/E of 26.89, so we one might conclude that Waste Management is trading at a premium comparatively.

Meanwhile, WM's PEG ratio is currently 2.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Waste Removal Services stocks are, on average, holding a PEG ratio of 2.53 based on yesterday's closing prices.

The Waste Removal Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 99, putting it in the top 39% of all 250+ industries.

The Zacks Industry Rank includes is listed in order 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.

To follow WM in the coming trading sessions, be sure to utilize Zacks.com.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Waste Management, Inc. (WM) - free report >>

Published in