Latest news with #WasteManagement
Yahoo
24 minutes ago
- Business
- Yahoo
Waste Management (NYSE:WM) Beats Q2 Sales Targets
Waste management services provider Waste Management (NYSE:WM) beat Wall Street's revenue expectations in Q2 CY2025, with sales up 19% year on year to $6.43 billion. On the other hand, the company's full-year revenue guidance of $25.38 billion at the midpoint came in 0.5% below analysts' estimates. Its non-GAAP profit of $1.92 per share was 1.6% above analysts' consensus estimates. Is now the time to buy Waste Management? Find out in our full research report. Waste Management (WM) Q2 CY2025 Highlights: Revenue: $6.43 billion vs analyst estimates of $6.36 billion (19% year-on-year growth, 1.1% beat) Adjusted EPS: $1.92 vs analyst estimates of $1.89 (1.6% beat) Adjusted EBITDA: $1.92 billion vs analyst estimates of $1.87 billion (29.9% margin, 2.6% beat) EBITDA guidance for the full year is $7.55 billion at the midpoint, in line with analyst expectations Operating Margin: 17.9%, in line with the same quarter last year Free Cash Flow Margin: 11.1%, up from 9.8% in the same quarter last year Market Capitalization: $92.42 billion 'As we described at our recent Investor Day, WM is building distinctive platforms to drive competitive differentiation and fuel a powerful, long-term growth engine to create shareholder value. Our second quarter results are a strong demonstration of our progress on all fronts,' said Jim Fish, WM's CEO. Company Overview Headquartered in Houston, Waste Management (NYSE:WM) is a provider of comprehensive waste management services in North America. Revenue Growth A company's long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last five years, Waste Management grew its sales at a solid 9.7% compounded annual growth rate. Its growth beat the average industrials company and shows its offerings resonate with customers. Long-term growth is the most important, but within industrials, a half-decade historical view may miss new industry trends or demand cycles. Waste Management's annualized revenue growth of 9.4% over the last two years aligns with its five-year trend, suggesting its demand was predictably strong. This quarter, Waste Management reported year-on-year revenue growth of 19%, and its $6.43 billion of revenue exceeded Wall Street's estimates by 1.1%. Looking ahead, sell-side analysts expect revenue to grow 9.6% over the next 12 months, similar to its two-year rate. This projection is particularly healthy for a company of its scale and indicates the market is forecasting success for its products and services. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Operating Margin Operating margin is a key measure of profitability. Think of it as net income - the bottom line - excluding the impact of taxes and interest on debt, which are less connected to business fundamentals. Waste Management's operating margin might fluctuated slightly over the last 12 months but has generally stayed the same, averaging 17.4% over the last five years. This profitability was elite for an industrials business thanks to its efficient cost structure and economies of scale. This is seen in its fast historical revenue growth and healthy gross margin, which is why we look at all three data points together. Looking at the trend in its profitability, Waste Management's operating margin might fluctuated slightly but has generally stayed the same over the last five years. This raises questions about the company's expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability. In Q2, Waste Management generated an operating margin profit margin of 17.9%, in line with the same quarter last year. This indicates the company's cost structure has recently been stable. Earnings Per Share We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. Waste Management's solid 11.6% annual EPS growth over the last five years aligns with its revenue performance. This tells us it maintained its per-share profitability as it expanded. Like with revenue, we analyze EPS over a more recent period because it can provide insight into an emerging theme or development for the business. For Waste Management, its two-year annual EPS growth of 13% was higher than its five-year trend. We love it when earnings growth accelerates, especially when it accelerates off an already high base. In Q2, Waste Management reported EPS at $1.92, up from $1.82 in the same quarter last year. This print beat analysts' estimates by 1.6%. Over the next 12 months, Wall Street expects Waste Management's full-year EPS of $7.25 to grow 11.7%. Key Takeaways from Waste Management's Q2 Results It was encouraging to see Waste Management beat analysts' revenue, EPS, and EBITDA expectations this quarter. On the other hand, its full-year revenue guidance slightly missed. Overall, this print had some key positives. The stock remained flat at $229.25 immediately after reporting. So should you invest in Waste Management right now? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free. 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Yahoo
10 hours ago
- Business
- Yahoo
Waste Management Q2 2025 Earnings Preview: Volume Growth Faces Pricing Pressure
Waste Management (NYSE:WM) reports Q2 2025 earnings after market close on Monday, July 28, with the conference call slated for Tuesday, July 29. Consensus estimates peg EPS at $1.90 and revenue at approximately $6.34 billion, which would represent a significant 18% revenue increase YoY. The giant in waste collection trades 5% below its all-time high, roughly flat month-to-date and up about 13% year-to-date. Consensus anticipates healthy mid-teens top-line growth as commercial and industrial volumes stay firm, yet margin optics will decide the narrative. The Street wants proof that Waste Management's mid-year price increases can outrun higher diesel, labor, and landfill-operating costs while recycling revenue grapples with Old Corrugated Container prices stuck near $70/ton, down about a third from last year. Management has guided 2025 free cash flow of $2.68-$2.78 billion, so any tweak here or to CapEx needed for fleet conversion could sway investor sentiment. Strategic moves add another layer. Investors will look for early read-outs on the $7.2 billion Stericycle acquisition, which promises over $125 million in annual cost savings within a year of close and opens a higher-margin medical-waste line. Meanwhile, Waste Management is exploring options for its renewable-natural-gas portfolio, a business that could fetch $3 billion and reshape the sustainability CapEx glide-path. Clarity on either front, plus color on landfill gas-to-RNG EBITDA run-rate targets, will help the market judge whether Waste Management can defend its premium multiple through 2025. With pricing, integration, and portfolio strategy all converging this quarter, even a routine beat may not be enough if cash-flow or synergy timelines slip. This article first appeared on GuruFocus.
Yahoo
19 hours ago
- Business
- Yahoo
Republic Services (RSG) Reports Earnings Tomorrow: What To Expect
Waste management company Republic Services (NYSE:RSG) will be reporting results this Tuesday afternoon. Here's what you need to know. Republic Services missed analysts' revenue expectations by 0.9% last quarter, reporting revenues of $4.01 billion, up 3.8% year on year. It was a mixed quarter for the company, with a solid beat of analysts' adjusted operating income estimates but sales volume in line with analysts' estimates. Is Republic Services a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Republic Services's revenue to grow 5.3% year on year to $4.26 billion, slowing from the 8.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.76 per share. Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 9 downward revisions over the last 30 days (we track 16 analysts). Republic Services has missed Wall Street's revenue estimates five times over the last two years. Looking at Republic Services's peers in the environmental and facilities services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Waste Connections delivered year-on-year revenue growth of 7.1%, beating analysts' expectations by 0.7%, and Rollins reported revenues up 12.1%, topping estimates by 1.1%. Waste Connections traded up 2.2% following the results while Rollins was also up 5.2%. Read our full analysis of Waste Connections's results here and Rollins's results here. There has been positive sentiment among investors in the environmental and facilities services segment, with share prices up 6.8% on average over the last month. Republic Services's stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $263.90 (compared to the current share price of $245.16). Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
Yahoo
2 days ago
- Business
- Yahoo
Waste Management (WM) Reports Q2: Everything You Need To Know Ahead Of Earnings
Waste management services provider Waste Management (NYSE:WM) will be reporting results this Monday afternoon. Here's what to expect. Waste Management missed analysts' revenue expectations by 1.4% last quarter, reporting revenues of $6.02 billion, up 16.7% year on year. It was a mixed quarter for the company, with a decent beat of analysts' EPS estimates. Is Waste Management a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Waste Management's revenue to grow 17.8% year on year to $6.36 billion, improving from the 5.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.89 per share. Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 11 downward revisions over the last 30 days (we track 16 analysts). Waste Management has missed Wall Street's revenue estimates five times over the last two years. Looking at Waste Management's peers in the environmental and facilities services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Waste Connections delivered year-on-year revenue growth of 7.1%, beating analysts' expectations by 0.7%, and Rollins reported revenues up 12.1%, topping estimates by 1.1%. Waste Connections traded up 2.2% following the results while Rollins was also up 5.2%. Read our full analysis of Waste Connections's results here and Rollins's results here. There has been positive sentiment among investors in the environmental and facilities services segment, with share prices up 6.7% on average over the last month. Waste Management's stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $252.57 (compared to the current share price of $229.65). When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we've found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Waste Management (WM) Reports Q2: Everything You Need To Know Ahead Of Earnings
Waste management services provider Waste Management (NYSE:WM) will be reporting results this Monday afternoon. Here's what to expect. Waste Management missed analysts' revenue expectations by 1.4% last quarter, reporting revenues of $6.02 billion, up 16.7% year on year. It was a mixed quarter for the company, with a decent beat of analysts' EPS estimates. Is Waste Management a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Waste Management's revenue to grow 17.8% year on year to $6.36 billion, improving from the 5.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.89 per share. Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 11 downward revisions over the last 30 days (we track 16 analysts). Waste Management has missed Wall Street's revenue estimates five times over the last two years. Looking at Waste Management's peers in the environmental and facilities services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Waste Connections delivered year-on-year revenue growth of 7.1%, beating analysts' expectations by 0.7%, and Rollins reported revenues up 12.1%, topping estimates by 1.1%. Waste Connections traded up 2.2% following the results while Rollins was also up 5.2%. Read our full analysis of Waste Connections's results here and Rollins's results here. There has been positive sentiment among investors in the environmental and facilities services segment, with share prices up 6.7% on average over the last month. Waste Management's stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $252.57 (compared to the current share price of $229.65). When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we've found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Sign in to access your portfolio
