NYSE · Industrials

Waste Management, Inc.

WM · Waste Management

$228.22

▼ -0.55 (-0.24%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Waste Management, Inc. at $228.22.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

Overall Grade

Defensive

Enterprising

Profitability B

Gross Profit Margin 40.4%

Operating Margin 18.3%

Net Income Margin 10.7%

Fin. Health F

Years to Pay Off Debt 8.5 yrs

Working Capital vs Long-Term Debt -$22.8B

Working Capital -$614M

Valuation F

Margin of Safety 0.0%

Price-to-Book 9.17x

Cash Flow C

Free Cash Flow $2.8B

CapEx % of Net Income 119.2%

Owner Earnings $8.8B

3/7

Graham Score

Speculative

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $91.6B

Enterprise Value $114.6B

P/E (TTM) 33.03

Dividend Yield 1.49%

Exchange NYSE

Key Margins

Gross Profit 40.4%

Operating Margin 18.3%

Net Margin 10.7%

Company Info

Sector Industrials

Industry Waste Management

Employees 60500

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Waste Management, Inc. at $228.22.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

At $228.22, the stock trades at a 273% premium to its Graham Number of $61.24. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

About Waste Management, Inc.

Waste Management, Inc., through its subsidiaries, provides environmental solutions to residential, commercial, industrial, and municipal customers in the United States, Canada, Western Europe, and internationally. It offers collection services, including picking up and transporting waste and recyclable materials from where it was generated to a transfer station, recovery facility, or disposal site; owns and operates transfer stations; and owns, develops, and operates landfill gas-to-energy facilities that produce renewable electricity and renewable natural gas. It also operates materials processing and commodities recycling services, including cardboard, paper, glass, metals, plastics, construction and demolition materials, and other recycling commodities are recovered for resale or redirected for other purposes; markets and resells recycling commodities; recycling brokerage services, such as managing the marketing of recyclable materials for third parties; and other strategic business solutions. In addition, the company collects recyclable food and yard waste, as well as markets and sells mulch, compost, soil amendments, and renewable energy; offers remediation and construction, and industrial waste services; and manages and markets fly ash. Further, it provides Regulated Waste and Compliance Services (RWCS), which offers compliance programs, as well as collection, processing, and disposal of regulated and specialized waste, including medical, pharmaceutical, and hazardous waste; and Secure Information Destruction (SID) services that include the collection of personal and confidential information for secure destruction and recycling of sorted office paper. The company was formerly known as USA Waste Services, Inc. and changed its name to Waste Management, Inc. in 1998. Waste Management, Inc. was founded in 1968 and is based in Houston, Texas.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	40.4% ▲	39.3%	38.3%	37.6%	N/A
Operating Margin %	18.3% ▼	18.8%	18.7%	17.4%	N/A
Net Income %	10.7% ▼	12.4%	11.3%	11.4%	N/A
Diluted EPS	6.70 ▼	6.81	5.66	5.39	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022
Total Assets	$45.8B	$44.6B	$32.8B	$31.4B
Total Debt	$22.9B ↓	$23.9B	$16.2B	$15.0B
Working Capital	-$614M ▲	-$1.5B	-$422M	-$843M
Years to Pay Debt	8.46	8.70	7.04	6.70

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$2.8B ▲	$2.2B	$1.8B	$1.9B	N/A
Owner Earnings	$8.8B	$8.2B	$7.3B	$6.9B	N/A
CapEx % of Net Income	119.2%	117.7%	125.7%	115.6%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Effect Of Unusual Items	-62,491	-17,716	-61,256	-14,641
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	7,500,000	6,409,000	5,840,000	5,397,000
Total Unusual Items	-299,000	-86,000	-248,000	-63,000
Total Unusual Items Excluding Goodwill	-299,000	-86,000	-248,000	-63,000
Net Income From Continuing Operation Net Minority Interest	2,708,000	2,746,000	2,304,000	2,238,000
Reconciled Depreciation	2,863,000	2,267,000	2,071,000	2,038,000
Reconciled Cost Of Revenue	15,012,000	13,383,000	12,606,000	12,294,000
EBITDA	7,201,000	6,323,000	5,592,000	5,334,000
EBIT	4,338,000	4,056,000	3,521,000	3,296,000
Net Interest Income	-912,000	-598,000	-500,000	-378,000
Interest Expense	912,000	598,000	500,000	378,000
Normalized Income	2,944,509	2,814,284	2,490,744	2,286,359
Net Income From Continuing And Discontinued Operation	2,708,000	2,746,000	2,304,000	2,238,000
Total Expenses	20,597,000	17,914,000	16,603,000	16,270,000
Total Operating Income As Reported	4,308,000	4,063,000	3,575,000	3,365,000
Diluted Average Shares	404,200	403,400	406,900	415,000
Basic Average Shares	402,700	401,500	404,900	412,800
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	2,708,000	2,746,000	2,304,000	2,238,000
Net Income Common Stockholders	2,708,000	2,746,000	2,304,000	2,238,000
Net Income	2,708,000	2,746,000	2,304,000	2,238,000
Minority Interests	-1,000	1,000	28,000	-2,000
Net Income Including Noncontrolling Interests	2,709,000	2,745,000	2,276,000	2,240,000
Net Income Continuous Operations	2,709,000	2,745,000	2,276,000	2,240,000
Tax Provision	717,000	713,000	745,000	678,000
Pretax Income	3,426,000	3,458,000	3,021,000	2,918,000
Other Income Expense	-269,000	-93,000	-302,000	-132,000
Other Non Operating Income Expenses	20,000	-11,000	6,000	-2,000
Special Income Charges	-299,000	-86,000	-248,000	-63,000
Gain On Sale Of Business	0	26,000	0	5,000
Other Special Charges	16,000	18,000	-32,000	17,000
Impairment Of Capital Assets	232,000	90,000	275,000	50,000
Restructuring And Mergern Acquisition	51,000	4,000	5,000	1,000
Earnings From Equity Interest	10,000	4,000	-60,000	-67,000
Net Non Operating Interest Income Expense	-912,000	-598,000	-500,000	-378,000
Interest Expense Non Operating	912,000	598,000	500,000	378,000
Operating Income	4,607,000	4,149,000	3,823,000	3,428,000
Operating Expense	5,585,000	4,531,000	3,997,000	3,976,000
Provision For Doubtful Accounts	93,000	51,000	56,000	50,000
Depreciation Amortization Depletion Income Statement	2,863,000	2,267,000	2,071,000	2,038,000
Depletion Income Statement			745,000		731,000
Depreciation And Amortization In Income Statement	2,863,000	2,267,000	2,071,000	2,038,000
Amortization	421,000	180,000	129,000	129,000
Amortization Of Intangibles Income Statement	421,000	180,000	129,000	129,000
Depreciation Income Statement	2,442,000	2,087,000	1,942,000	1,909,000
Selling General And Administration	2,629,000	2,213,000	1,870,000	1,888,000
General And Administrative Expense	2,629,000	2,213,000	1,870,000	1,888,000
Other Gand A	974,000	813,000	665,000	693,000
Salaries And Wages	1,655,000	1,400,000	1,205,000	1,195,000
Gross Profit	10,192,000	8,680,000	7,820,000	7,404,000
Cost Of Revenue	15,012,000	13,383,000	12,606,000	12,294,000
Total Revenue	25,204,000	22,063,000	20,426,000	19,698,000
Operating Revenue	25,204,000	22,063,000	20,426,000	19,698,000

Balance Sheet

	2025	2024	2023	2022
Treasury Shares Number	227,341	228,788	228,827	222,396
Ordinary Shares Number	402,942	401,494	401,455	407,886
Share Issued	630,282	630,282	630,282	630,282
Net Debt	22,706,000	23,486,000	15,771,000	14,633,000
Total Debt	22,907,000	23,900,000	16,229,000	14,984,000
Tangible Book Value	-7,657,000	-9,374,000	-3,129,000	-3,301,000
Invested Capital	32,897,000	32,152,000	23,132,000	21,833,000
Working Capital	-614,000	-1,484,000	-422,000	-843,000
Net Tangible Assets	-7,657,000	-9,374,000	-3,129,000	-3,301,000
Common Stock Equity	9,990,000	8,252,000	6,903,000	6,849,000
Total Capitalization	32,186,000	30,793,000	22,798,000	21,419,000
Total Equity Gross Minority Interest	9,991,000	8,254,000	6,896,000	6,864,000
Minority Interest	1,000	2,000	-7,000	15,000
Stockholders Equity	9,990,000	8,252,000	6,903,000	6,849,000
Gains Losses Not Affecting Retained Earnings	-10,000	-115,000	-37,000	-69,000
Other Equity Adjustments	-10,000	-115,000	-37,000	-69,000
Treasury Stock	12,914,000	12,993,000	12,751,000	11,569,000
Retained Earnings	17,232,000	15,858,000	14,334,000	13,167,000
Additional Paid In Capital	5,676,000	5,496,000	5,351,000	5,314,000
Capital Stock	6,000	6,000	6,000	6,000
Common Stock	6,000	6,000	6,000	6,000
Total Liabilities Net Minority Interest	35,844,000	36,313,000	25,927,000	24,503,000
Total Non Current Liabilities Net Minority Interest	30,320,000	30,055,000	21,701,000	20,109,000
Other Non Current Liabilities	1,686,000	1,651,000	1,092,000	1,106,000
Non Current Deferred Liabilities	3,160,000	2,815,000	1,826,000	1,733,000
Non Current Deferred Taxes Liabilities	3,160,000	2,815,000	1,826,000	1,733,000
Long Term Debt And Capital Lease Obligation	22,196,000	22,541,000	15,895,000	14,570,000
Long Term Debt	22,196,000	22,541,000	15,895,000	14,570,000
Long Term Provisions	3,278,000	3,048,000	2,888,000	2,700,000
Current Liabilities	5,524,000	6,258,000	4,226,000	4,394,000
Current Deferred Liabilities	735,000	673,000	578,000	589,000
Current Deferred Revenue	735,000	673,000	578,000	589,000
Current Debt And Capital Lease Obligation	711,000	1,359,000	334,000	414,000
Current Debt	711,000	1,359,000	334,000	414,000
Payables And Accrued Expenses	4,078,000	4,226,000	3,314,000	3,391,000
Current Accrued Expenses	2,211,000	2,180,000	1,605,000	1,625,000
Payables	1,867,000	2,046,000	1,709,000	1,766,000
Accounts Payable	1,867,000	2,046,000	1,709,000	1,766,000
Total Assets	45,835,000	44,567,000	32,823,000	31,367,000
Total Non Current Assets	40,925,000	39,793,000	29,038,000	27,816,000
Other Non Current Assets	2,121,000	1,981,000	1,432,000	1,369,000
Investments And Advances	779,000	846,000	606,000	578,000
Long Term Equity Investment	779,000	846,000	606,000	578,000
Goodwill And Other Intangible Assets	17,647,000	17,626,000	10,032,000	10,150,000
Other Intangible Assets	3,767,000	4,188,000	778,000	827,000
Goodwill	13,880,000	13,438,000	9,254,000	9,323,000
Net PPE	20,378,000	19,340,000	16,968,000	15,719,000
Accumulated Depreciation	-25,096,000	-23,777,000	-22,826,000	-21,627,000
Gross PPE	45,474,000	43,117,000	39,794,000	37,346,000
Other Properties	3,482,000	3,369,000	3,104,000	3,021,000
Machinery Furniture Equipment	14,228,000	13,392,000	12,179,000	11,238,000
Buildings And Improvements	5,709,000	5,210,000	4,266,000	3,809,000
Land And Improvements	22,055,000	21,146,000	20,245,000	19,278,000
Current Assets	4,910,000	4,774,000	3,804,000	3,551,000
Other Current Assets	429,000	467,000	303,000	284,000
Inventory	225,000	206,000	173,000	164,000
Raw Materials	225,000	206,000	173,000	164,000
Receivables	4,055,000	3,687,000	2,870,000	2,752,000
Other Receivables	620,000	415,000	237,000	291,000
Accounts Receivable	3,435,000	3,272,000	2,633,000	2,461,000
Allowance For Doubtful Accounts Receivable	-87,000	-165,000	-30,000	-26,000
Gross Accounts Receivable	3,522,000	3,437,000	2,663,000	2,487,000
Cash Cash Equivalents And Short Term Investments	201,000	414,000	458,000	351,000
Cash And Cash Equivalents	201,000	414,000	458,000	351,000

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	2,816,000	2,159,000	1,824,000	1,949,000
Repurchase Of Capital Stock	0	-262,000	-1,302,000	-1,500,000
Repayment Of Debt	-21,747,000	-17,870,000	-20,394,000	-7,328,000
Issuance Of Debt	20,414,000	24,578,000	21,306,000	8,688,000
Capital Expenditure	-3,227,000	-3,231,000	-2,895,000	-2,587,000
Interest Paid Supplemental Data	927,000	530,000	447,000	348,000
Income Tax Paid Supplemental Data	494,000	645,000	633,000	736,000
End Cash Position	297,000	487,000	552,000	445,000
Beginning Cash Position	487,000	552,000	445,000	194,000
Effect Of Exchange Rate Changes	6,000	-9,000	3,000	-6,000
Changes In Cash	-196,000	-56,000	104,000	257,000
Financing Cash Flow	-2,673,000	5,155,000	-1,524,000	-1,216,000
Cash Flow From Continuing Financing Activities	-2,673,000	5,155,000	-1,524,000	-1,216,000
Net Other Financing Charges	-67,000	-134,000	-42,000	-43,000
Proceeds From Stock Option Exercised	61,000	53,000	44,000	44,000
Cash Dividends Paid	-1,334,000	-1,210,000	-1,136,000	-1,077,000
Common Stock Dividend Paid	-1,334,000	-1,210,000	-1,136,000	-1,077,000
Net Common Stock Issuance	0	-262,000	-1,302,000	-1,500,000
Common Stock Payments	0	-262,000	-1,302,000	-1,500,000
Net Issuance Payments Of Debt	-1,333,000	6,708,000	912,000	1,360,000
Net Long Term Debt Issuance	-1,333,000	6,708,000	912,000	1,360,000
Long Term Debt Payments	-21,747,000	-17,870,000	-20,394,000	-7,328,000
Long Term Debt Issuance	20,414,000	24,578,000	21,306,000	8,688,000
Investing Cash Flow	-3,566,000	-10,601,000	-3,091,000	-3,063,000
Cash Flow From Continuing Investing Activities	-3,566,000	-10,601,000	-3,091,000	-3,063,000
Net Other Investing Changes	-65,000	-40,000	-104,000	-126,000
Net Business Purchase And Sale	-274,000	-7,330,000	-92,000	-350,000
Sale Of Business	121,000	158,000	78,000	27,000
Purchase Of Business	-395,000	-7,488,000	-170,000	-377,000
Capital Expenditure Reported	-3,227,000	-3,231,000	-2,895,000	-2,587,000
Operating Cash Flow	6,043,000	5,390,000	4,719,000	4,536,000
Cash Flow From Continuing Operating Activities	6,043,000	5,390,000	4,719,000	4,536,000
Change In Working Capital	-513,000	-24,000	-251,000	-145,000
Change In Other Working Capital	-219,000	-213,000	-239,000	-216,000
Change In Other Current Assets	176,000	221,000	59,000	7,000
Change In Payables And Accrued Expense	41,000	281,000	90,000	393,000
Change In Receivables	-511,000	-313,000	-161,000	-329,000
Other Non Cash Items	142,000	133,000	130,000	112,000
Stock Based Compensation	169,000	118,000	93,000	84,000
Provisionand Write Offof Assets	93,000	51,000	56,000	50,000
Asset Impairment Charge		0	168,000	0	0
Deferred Tax	363,000	124,000	83,000	49,000
Deferred Income Tax	363,000	124,000	83,000	49,000
Depreciation Amortization Depletion	2,863,000	2,267,000	2,071,000	2,038,000
Depletion	898,000	795,000	745,000	754,000
Depreciation And Amortization	1,965,000	1,472,000	1,326,000	1,284,000
Amortization Cash Flow	421,000	180,000	129,000	129,000
Amortization Of Intangibles	421,000	180,000	129,000	129,000
Depreciation	1,544,000	1,292,000	1,197,000	1,155,000
Operating Gains Losses	217,000	-24,000	261,000	108,000
Earnings Losses From Equity Investments	-10,000	-4,000	60,000	67,000
Gain Loss On Sale Of Business	248,000	82,000	243,000	62,000
Net Income From Continuing Operations	2,709,000	2,745,000	2,276,000	2,240,000

These metrics estimate what Waste Management, Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$61.24

Margin of Safety

Market Cap ÷ Company Value

3.22

P/B Ratio

9.17

Warren's Owner Earnings

$8.8B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

3/7 — Speculative Investor

✅ Adequate Size

$25.2B

vs > $1.5B revenue

❌ Strong Financial Condition

0.89x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

1.49%

vs Uninterrupted dividends

❌ Earnings Growth

+24.3% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

33.0x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

9.17x P/B (P/E×P/B: 303.0)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-77.03

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$127.47

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	119.2%	117.7%	125.7%	115.6%	N/A
Repurchase of Capital Stock	$0M	-$262M	-$1.3B	-$1.5B	N/A
Free Cash Flow	$2.8B ▲	$2.2B ▲	$1.8B ▼	$1.9B •	N/A •
Warren's Owner Earnings	$8.8B	$8.2B	$7.3B	$6.9B	N/A

Peers & Industry

No auto-detected peers for Waste Management. You can manually compare WM against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.25%

Low — management has little skin in the game

Return on Equity (ROE)

27.1%

Excellent — management generates strong returns on equity

Return on Assets (ROA)

5.9%

Strong — management uses assets efficiently

Debt Trend YoY

-4.2% YoY

Debt is declining — management is deleveraging

Leadership Team

James Fish Jr.

CEO & Director

Age 63

Pay: $4,242,287

0.157% of net income

John Morris Jr.

President & COO

Age 55

Pay: $2,344,000

0.087% of net income

David Reed

CFO & Executive VP

Age 47

Pay: $973,849

0.036% of net income

Rafael Carrasco

Senior Vice President of Enterprise Strategy

Age 53

Pay: $1,455,586

0.054% of net income

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	9.71%	38,990,067
Blackrock Inc.	7.40%	29,725,046
Gates Foundation Trust	7.21%	28,934,344
State Street Corporation	4.33%	17,390,748
Geode Capital Management, LLC	2.24%	8,993,006
Morgan Stanley	1.66%	6,671,652
Ameriprise Financial, Inc.	1.66%	6,683,859
Parnassus Investments, LLC	1.31%	5,277,285

⚠️ Current ratio below 1 — liquidity risk

Risk Analysis

Beta (Market Risk)

0.49

Low volatility — more stable than the market

Short Interest

1.5% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

2.28x

High leverage — significant financial risk

Current Ratio

0.93x

Weak liquidity — current liabilities exceed current assets

52-Week Price Range

Low: $194.11 Current: $228.22 High: $248.13

Currently at 63% of 52-week range

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