Waste Management (NYSE:WM) Announces Quarterly Earnings Results, Beats Estimates By $0.03 EPS

Key Points

• Waste Management reported quarterly earnings of $1.92 per share, surpassing the expected $1.90 EPS by $0.02.
• The company announced a quarterly dividend of $0.825, resulting in an annualized dividend yield of 1.45% and a dividend payout ratio of 49.77%.
• Institutional investors hold 80.40% of Waste Management's shares, with analysts projecting a growth in stock price, setting the average target price at $252.41.

Waste Management (NYSE:WM - Get Free Report) announced its earnings results on Monday. The business services provider reported $1.92 earnings per share for the quarter, topping analysts' consensus estimates of $1.89 by $0.03, Zacks reports. The company had revenue of $6.43 billion during the quarter, compared to the consensus estimate of $6.37 billion. Waste Management had a net margin of 11.36% and a return on equity of 34.37%. The company's revenue was up 19.0% on a year-over-year basis. During the same period in the previous year, the firm posted $1.82 earnings per share. Waste Management updated its FY 2025 guidance to EPS.

Waste Management Stock Down 0.3%

Shares of WM traded down $0.77 during midday trading on Friday, reaching $228.39. 346,134 shares of the stock were exchanged, compared to its average volume of 1,717,550. Waste Management has a 52 week low of $199.69 and a 52 week high of $242.58. The company has a current ratio of 0.86, a quick ratio of 0.79 and a debt-to-equity ratio of 2.51. The company's 50 day moving average is $231.65 and its two-hundred day moving average is $227.97. The company has a market capitalization of $91.91 billion, a P/E ratio of 33.86, a PEG ratio of 2.83 and a beta of 0.64.

Waste Management Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, June 20th. Stockholders of record on Friday, June 6th were given a dividend of $0.825 per share. The ex-dividend date of this dividend was Friday, June 6th. This represents a $3.30 dividend on an annualized basis and a dividend yield of 1.4%. Waste Management's dividend payout ratio is presently 48.96%.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Raymond James Financial upped their price target on shares of Waste Management from $255.00 to $256.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 22nd. HSBC raised shares of Waste Management from a "hold" rating to a "buy" rating and boosted their target price for the stock from $210.00 to $265.00 in a report on Friday, April 25th. William Blair restated an "outperform" rating on shares of Waste Management in a research report on Tuesday. Hsbc Global Res upgraded shares of Waste Management from a "hold" rating to a "strong-buy" rating in a research report on Friday, April 25th. Finally, Wall Street Zen upgraded shares of Waste Management from a "hold" rating to a "buy" rating in a research report on Tuesday, April 29th. Eight investment analysts have rated the stock with a hold rating, thirteen have issued a buy rating and two have issued a strong buy rating to the company's stock. Based on data from MarketBeat, Waste Management has an average rating of "Moderate Buy" and a consensus target price of $254.35.

Insider Transactions at Waste Management

In related news, SVP Rafael Carrasco sold 674 shares of the firm's stock in a transaction dated Tuesday, May 27th. The stock was sold at an average price of $236.81, for a total transaction of $159,609.94. Following the sale, the senior vice president owned 16,542 shares of the company's stock, valued at $3,917,311.02. This trade represents a 3.91% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Devina A. Rankin sold 57,888 shares of the firm's stock in a transaction dated Tuesday, May 27th. The shares were sold at an average price of $237.36, for a total value of $13,740,295.68. Following the sale, the chief financial officer directly owned 83,934 shares in the company, valued at approximately $19,922,574.24. The trade was a 40.82% decrease in their position. The disclosure for this sale can be found here. 0.18% of the stock is owned by company insiders.

Institutional Inflows and Outflows

An institutional investor recently bought a new position in Waste Management stock. Sprott Inc. acquired a new position in shares of Waste Management, Inc. (NYSE:WM - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 1,402 shares of the business services provider's stock, valued at approximately $325,000. Institutional investors own 80.40% of the company's stock.

Waste Management Company Profile

Waste Management, Inc, through its subsidiaries, engages in the provision of environmental solutions to residential, commercial, industrial, and municipal customers in the United States and Canada. It offers collection services, including picking up and transporting waste and recyclable materials from where it was generated to a transfer station, material recovery facility (MRF), or disposal site; and owns and operates transfer stations, as well as owns, develops, and operates landfill facilities that produce landfill gas used as renewable natural gas for generating electricity.