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Here's Why You Should Buy Waste Management (WM) Stock Now
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Waste Management, Inc. (WM - Free Report) is currently a well-performing stock in the Waste Removal Services space, with a significant rise in share price over the past year and strong fundamentals. Therefore, if you haven’t taken advantage of the price appreciation yet, it’s time you add the stock to your portfolio, as we believe that it has the potential to carry the momentum in the near term.
Why an Attractive Pick?
Share Price Appreciation: A glimpse at the company’s price trend reveals that the stock has had an impressive run over the past year. Waste Management has returned 22.3%, which compared favorably with the 20.6% rally of the industry it belongs to.
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Solid Rank & VGM Score: Waste Management currently carries a Zacks Rank #2 (Buy) and has a VGM Score of B. Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or #2, offer the best investment opportunities. Thus, the company appears to be a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions:One estimate for 2024 moved north over the past 60 days versus no southward revisions, reflecting analysts’ confidence in the company. Over the same period, the Zacks Consensus Estimate for 2024 earnings has increased 0.7%.
Strong Growth Prospects: The company has an expected long-term earnings per share (three to five years) growth rate of 11.8%. Its earnings for 2024 and 2025 are expected to improve 18.1% and 8.9%, respectively, year over year.
Positive Earnings Surprise History: Waste Management has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed estimates once, delivering an average positive earnings surprise of 7%.
Growth Drivers: As a leading provider of comprehensive waste management and environmental services, WM is poised to benefit from ongoing trends such as rising environmental concerns, rapid industrialization, population growth, and proactive government measures to curb illegal dumping. In the first quarter of 2024, the company’s revenue grew 5.5% year over year.
Waste Management continues to implement core operating initiatives aimed at focused differentiation and continuous improvement while maintaining price and cost discipline to achieve better margins. Differentiation through leveraging extensive assets ensures long-term profitable growth and competitive advantages. Additionally, cost control, process improvements and enhancements to its digital platform help improve service quality.
Parsons presently carries a Zacks Rank of 2. PSN has a long-term earnings growth expectation of 12.9%. It delivered a trailing four-quarter earnings surprise of 16.5%, on average.
Paysafe Limited currently carries a Zacks Rank of 2. It has a long-term earnings growth expectation of 18.7%. PSFE delivered a trailing four-quarter earnings surprise of 18.3%, on average.
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Here's Why You Should Buy Waste Management (WM) Stock Now
Waste Management, Inc. (WM - Free Report) is currently a well-performing stock in the Waste Removal Services space, with a significant rise in share price over the past year and strong fundamentals. Therefore, if you haven’t taken advantage of the price appreciation yet, it’s time you add the stock to your portfolio, as we believe that it has the potential to carry the momentum in the near term.
Why an Attractive Pick?
Share Price Appreciation: A glimpse at the company’s price trend reveals that the stock has had an impressive run over the past year. Waste Management has returned 22.3%, which compared favorably with the 20.6% rally of the industry it belongs to.
Solid Rank & VGM Score: Waste Management currently carries a Zacks Rank #2 (Buy) and has a VGM Score of B. Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or #2, offer the best investment opportunities. Thus, the company appears to be a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions:One estimate for 2024 moved north over the past 60 days versus no southward revisions, reflecting analysts’ confidence in the company. Over the same period, the Zacks Consensus Estimate for 2024 earnings has increased 0.7%.
Strong Growth Prospects: The company has an expected long-term earnings per share (three to five years) growth rate of 11.8%. Its earnings for 2024 and 2025 are expected to improve 18.1% and 8.9%, respectively, year over year.
Positive Earnings Surprise History: Waste Management has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed estimates once, delivering an average positive earnings surprise of 7%.
Growth Drivers: As a leading provider of comprehensive waste management and environmental services, WM is poised to benefit from ongoing trends such as rising environmental concerns, rapid industrialization, population growth, and proactive government measures to curb illegal dumping. In the first quarter of 2024, the company’s revenue grew 5.5% year over year.
Waste Management continues to implement core operating initiatives aimed at focused differentiation and continuous improvement while maintaining price and cost discipline to achieve better margins. Differentiation through leveraging extensive assets ensures long-term profitable growth and competitive advantages. Additionally, cost control, process improvements and enhancements to its digital platform help improve service quality.
Other Stocks to Consider
Some other top-ranked stocks in the broader Zacks Business Services sector are Parsons (PSN - Free Report) and Paysafe Limited (PSFE - Free Report) .
Parsons presently carries a Zacks Rank of 2. PSN has a long-term earnings growth expectation of 12.9%. It delivered a trailing four-quarter earnings surprise of 16.5%, on average.
Paysafe Limited currently carries a Zacks Rank of 2. It has a long-term earnings growth expectation of 18.7%. PSFE delivered a trailing four-quarter earnings surprise of 18.3%, on average.