Waste Management Inc. (NYSE:WM) finished Wednesday with a subtraction of -$1.26 to close at $154.42, a downside of -0.81 percent. An average of 1,489,480 shares of common stock have been traded in the last five days. There was a fall of -$5.63 in the past week, and it reached a new high 6 times over the past 12 months. The last 20 days have seen an average of 1,428,835 shares traded, while the 50-day average volume stands at 1,415,010.
WM stock has decreased by -2.23% in the last month. The company shares reached their 1-month lowest point of $153.48 on 09/27/23. With the stock rallying to its 52-week high on 06/30/23, shares of the company touched a low of $148.31 and a high of $173.71 in 52 weeks. It has reached a new high 19 times so far this year and lost -1.57% or -$2.46 in price. In spite of this, the price is down -11.10% from the 52-week high.
Insider Transactions
WM stock investors should be aware that Waste Management Inc. (WM) stock had its last reported insider trading activity 44 days ago on Aug 15. In this transaction, the insider spent $27,425. Director, POPE JOHN C, disposed of 198 shares at a price of $168.40 on Jul 17. The insider now owns more than $33,343 worth of shares. Prior to that, VP & Chief Accounting Officer Nagy Leslie K went on to Sale 800 shares at $151.11 each on Feb 24. An amount of $120,888 was transacted.
Valuation Metrics
Waste Management Inc. (WM) has a trailing price-to-earnings (P/E) ratio of 27.74. The stock’s beta is 0.71. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 3.12, the price-to-book (PB) ratio at 9.05, and the price-to-cash flow ratio at 41.53.
The company has a payout ratio of 48.21%. The company’s most recent quarterly dividend payment was $0.70 a share, without any change from last year. Its latest increase dividend $0.05 reported on Monday February 6 2023.
Financial Health
The quick ratio of Waste Management Inc. for the three months ended June 29 was 0.78, and the current ratio was 0.82, indicating that the company is not able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 2.15 and a total debt to equity ratio of 2.22 for the quarter ending June 29. Waste Management Inc.’s EBITDA margin for the year ending June 29 is 28.37%, while its operating margin for the same period stands at 17.60%. Its gross profit as reported stood at $7.4 billion compared to revenue of $19.7 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Waste Management Inc.’s return on assets was 7.41%.
Earnings Surprise
For the three-month period that ended June 29, Waste Management Inc. had $14.86 billion in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $615.0 million in the quarter, while revenues were grew 4.55%. The analyst consensus anticipated Waste Management Inc.’s latest quarter earnings to come in at $1.54 per share, but it turned out to be $1.51, a -1.90% surprise. For the quarter, EBITDA amounted to $1.5 billion. Shareholders own equity worth $405.06 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Waste Management Inc. (WM) price momentum. RSI 9-day as of the close on 27 September was 28.40%, suggesting the stock is oversold, with historical volatility in this time frame at 9.18%.
As of today, WM’s price is $156.24 -3.52% or -$5.63 from its 5-day moving average. WM is currently trading -2.35% lower than its 20-day SMA and -7.98% lower than its 100-day SMA. However, the stock’s current price level is -7.32% below the SMA50 and -6.98% below the SMA200.
The stochastic %K and %D were 15.01% and 20.10%, respectively, and the average true range (ATR) was 1.93. With the 14-day stochastic at 11.10% and the average true range at 1.95, the RSI (14) stands at 33.56%. The stock has reached -2.16 on the 9-day MACD Oscillator while the 14-day reading was at -2.43.
Analyst Ratings
HSBC Securities launched coverage on Waste Management Inc. (NYSE: WM) in its analyst report released on September 15, 2023. The firm assigned the stock a Buy rating. The consensus rating for Waste Management Inc. (WM) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell WM, while 10 suggest investors hold. There are 1 analyst who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 8 others rate it as a “buy”.
