Waste Management Valuation
| WM Stock | USD 228.46 1.01 0.44% |
At this time, the company appears to be overvalued. Waste Management maintains a prevalent Real Value of $172.03 per share. The last-minute price of the company is $228.46. Our model calculates the value of Waste Management from examining the company fundamentals such as Return On Asset of 0.0795, profit margin of 0.12 %, and Current Valuation of 107.33 B as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Waste Management's valuation include:
Price Book 11.4414 | Enterprise Value 107.3 B | Enterprise Value Ebitda 17.6878 | Price Sales 4.2685 | Forward PE 28.2486 |
Overvalued
Today
Please note that Waste Management's price fluctuation is very steady at this time. Calculation of the real value of Waste Management is based on 3 months time horizon. Increasing Waste Management's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Waste stock is determined by what a typical buyer is willing to pay for full or partial control of Waste Management. Since Waste Management is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Waste Stock. However, Waste Management's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 228.46 | Real 172.03 | Target 179.56 | Hype 228.28 | Naive 226.89 |
The intrinsic value of Waste Management's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Waste Management's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Waste Management helps investors to forecast how Waste stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Waste Management more accurately as focusing exclusively on Waste Management's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Waste Management's intrinsic value based on its ongoing forecasts of Waste Management's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Waste Management's closest peers.
Waste Management Cash |
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Waste Valuation Trend
Knowing Waste Management's actual value is paramount for traders when making sound investment determinations. Using both Waste Management's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Waste Revenue by Product
Waste Management Total Value Analysis
Waste Management is at this time expected to have takeover value of 107.33 B with market capitalization of 91.29 B, debt of 16.23 B, and cash on hands of 351 M. Please note that takeover value may be misleading and is a subject to accounting mistakes. We encourage investors to methodically examine all of the Waste Management fundamentals before making investment evaluation based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
107.33 B | 91.29 B | 16.23 B | 351 M |
Waste Management Investor Information
About 84.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.43. Waste Management recorded earning per share (EPS) of 6.55. The entity last dividend was issued on the 6th of December 2024. Based on the key indicators related to Waste Management's liquidity, profitability, solvency, and operating efficiency, Waste Management is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.19 | 0.175 |
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| Total Cash From Operating Activities | 5 B | 4.7 B |
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| Operating Income | 3.8 B | 3.6 B |
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Waste Management Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Waste Management has an asset utilization ratio of 62.23 percent. This suggests that the Company is making $0.62 for each dollar of assets. An increasing asset utilization means that Waste Management is more efficient with each dollar of assets it utilizes for everyday operations.Waste Management Ownership Allocation
Waste Management retains a total of 401.37 Million outstanding shares. The majority of Waste Management outstanding shares are owned by institutional investors. These institutions are usually referred to as non-private investors looking to purchase positions in Waste Management to benefit from reduced commissions. Consequently, other corporate entities are subject to a different set of regulations than regular investors in Waste Management. Please pay attention to any change in the institutional holdings of Waste Management as this could imply that something significant has changed or is about to change at the company. On November 11, 2024, Representative Ro Khanna of US Congress acquired under $15k worth of Waste Management's common stock.Waste Management Profitability Analysis
The company generated the yearly revenue of 20.43 B. Reported Net Income was 2.28 B with gross profit of 7.4 B.Waste Management Past Distributions to stockholders
About Waste Management Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Waste Management. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Waste Management based exclusively on its fundamental and basic technical indicators. By analyzing Waste Management's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Waste Management's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Waste Management. We calculate exposure to Waste Management's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Waste Management's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 7.8 B | 4.1 B | |
| Pretax Profit Margin | 0.15 | 0.09 | |
| Operating Profit Margin | 0.18 | 0.19 | |
| Net Profit Margin | 0.11 | 0.06 | |
| Gross Profit Margin | 0.38 | 0.46 |
A single share of Waste Management represents a small ownership stake in the entity. As a stockholder of Waste, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Waste Management Dividends Analysis For Valuation
At this time, Waste Management's Dividends Paid is very stable compared to the past year. As of the 28th of November 2024, Dividend Yield is likely to grow to 0.02, while Dividend Paid And Capex Coverage Ratio is likely to drop 0.90. . At this time, Waste Management's Retained Earnings are very stable compared to the past year. As of the 28th of November 2024, Price Earnings To Growth Ratio is likely to grow to 6.63, while Retained Earnings Total Equity is likely to drop about 9.3 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 1.1 B | 1.2 B | |
| Dividend Yield | 0.02 | 0.02 | |
| Dividend Payout Ratio | 0.49 | 0.50 | |
| Dividend Paid And Capex Coverage Ratio | 1.17 | 0.90 |
There are various types of dividends Waste Management can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Waste shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Waste Management directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Waste pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Waste Management by the value of the dividends paid out.
Waste Management Growth Indicators
Investing in growth stocks can be very risky. If the company such as Waste Management does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 406.9 M | |
| Quarterly Earnings Growth Y O Y | 0.153 | |
| Forward Price Earnings | 28.2486 |
Waste Management Current Valuation Indicators
Waste Management's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Waste Management's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Waste Management, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Waste Management's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Waste Management's worth.Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Waste Management. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. To learn how to invest in Waste Stock, please use our How to Invest in Waste Management guide.You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Is Environmental & Facilities Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Waste Management. If investors know Waste will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Waste Management listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.153 | Dividend Share 2.95 | Earnings Share 6.55 | Revenue Per Share 53.245 | Quarterly Revenue Growth 0.079 |
The market value of Waste Management is measured differently than its book value, which is the value of Waste that is recorded on the company's balance sheet. Investors also form their own opinion of Waste Management's value that differs from its market value or its book value, called intrinsic value, which is Waste Management's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Waste Management's market value can be influenced by many factors that don't directly affect Waste Management's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Waste Management's value and its price as these two are different measures arrived at by different means. Investors typically determine if Waste Management is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Waste Management's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.