GFL Environmental (TSE:GFL) Hits New 52-Week Low - Should You Sell?

Key Points

• 52-week low: GFL hit a new 52-week low, trading as low as C$50.86 and last at C$51.86 (down about 3.4%) on heavy volume amid deal-related selling.
• GFL agreed to acquire Secure Waste for roughly C$6.4B, which expands its Western Canada and oilfield/industrial waste exposure but likely raises leverage and integration risk given GFL's high debt-to-equity (114.8) and negative net margin (~-22.8%).
• Despite the stock weakness, analysts remain bullish — MarketBeat shows a consensus "Strong Buy" rating (five Strong Buys, one Hold), including a Wolfe Research upgrade.

GFL Environmental Inc. (TSE:GFL - Get Free Report)'s share price reached a new 52-week low on Tuesday . The company traded as low as C$50.86 and last traded at C$51.86, with a volume of 929467 shares changing hands. The stock had previously closed at C$53.63.

Key Headlines Impacting GFL Environmental

Here are the key news stories impacting GFL Environmental this week:

• Positive Sentiment: Expands Western Canada footprint and scale — the acquisition gives GFL more assets, customers and infrastructure in Alberta/BC, strengthening its market position and potential pricing power. Truck News article
• Positive Sentiment: Revenue and waste-stream diversification — Secure Waste adds oilfield and industrial waste capabilities that can boost topline and provide cross-sell and operational synergies if integration succeeds. Waste Advantage article
• Neutral Sentiment: Deal size and headline prices vary across reports (C$6.4B widely cited; some outlets show different USD figures); details on cash vs. equity financing and timing are still emerging. Financial Post article
• Neutral Sentiment: Reports note the purchase carries a ~15% premium to Secure Waste’s trading price, implying a meaningful payout for sellers but also a price tag that investors will scrutinize. Yahoo Markets article
• Negative Sentiment: Financing and leverage risk — the large purchase will likely add material debt or equity dilution; GFL already carries high leverage, so the market is reacting to potential covenant, interest and credit-pressure implications. BNN Bloomberg article
• Negative Sentiment: Integration and execution risk — large acquisitions in waste management can take time to realize synergies and can pressure margins during transition. Investors will watch near-term earnings guidance closely. Calgary Herald article
• Negative Sentiment: Market reaction reflects uncertainty — share price weakness reflects investor concern over price paid, financing mix and immediate impact on profitability given GFL’s recent negative margins and high debt ratios. Yahoo Energy article

Analyst Ratings Changes

Separately, Wolfe Research upgraded shares of GFL Environmental to a "strong-buy" rating in a report on Friday, March 13th. Five analysts have rated the stock with a Strong Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Strong Buy".

GFL Environmental Stock Down 3.4%

The stock has a market cap of C$18.70 billion, a P/E ratio of 5.19, a P/E/G ratio of -0.76 and a beta of 0.23. The company has a current ratio of 0.58, a quick ratio of 0.57 and a debt-to-equity ratio of 114.80. The firm's fifty day moving average is C$58.79 and its 200 day moving average is C$60.62.

GFL Environmental (TSE:GFL - Get Free Report) last announced its earnings results on Wednesday, February 11th. The company reported C$0.36 EPS for the quarter. The firm had revenue of C$1.69 billion for the quarter. GFL Environmental had a negative net margin of 22.76% and a negative return on equity of 21.15%. As a group, equities research analysts forecast that GFL Environmental Inc. will post 1.6870788 EPS for the current year.

GFL Environmental Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, April 30th. Investors of record on Thursday, April 30th will be issued a $0.0169 dividend. This represents a $0.07 annualized dividend and a yield of 0.1%. The ex-dividend date is Monday, April 13th. GFL Environmental's dividend payout ratio (DPR) is 0.85%.

About GFL Environmental

GFL is the fourth largest diversified environmental services company in North America, providing comprehensive solid waste management services from its platform of facilities throughout Canada and 18 U.S. states. GFL has a workforce of more than 15,000 employees across its organization.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.