WM

Waste Management Inc. demonstrates distinctive profitability metrics within the waste services sector, with systematic screening highlighting a return on equity of 28.86% paired with a notably defensive beta of 0.49. Trading at $222.73 against a market capitalization of $90.1 billion, the company commands premium valuation multiples including a P/E ratio of 31.59 and price-to-book of 8.86, reflecting the market's recognition of its entrenched competitive position in essential infrastructure services.

The fundamental profile reveals several structural advantages:

• Margin resilience: Net margin of 10.99% and operating margin of 17.35% demonstrate pricing power in a sector characterized by high fixed costs and regulatory barriers to entry
• Revenue acceleration: Year-over-year revenue growth of 10.87% significantly outpaces the mature nature of waste collection, indicating successful volume expansion and price realization
• Capital efficiency: Return on assets of 6.11% and return on investment of 8.47% underscore effective asset deployment despite capital-intensive operations

The model flags balance sheet considerations, with debt-to-equity of 2.29 and current ratio of 0.89 reflecting the leverage typical of infrastructure-oriented business models. The current price sits 10.2% below the 52-week high of $248.13, while EPS growth of 4.21% trails revenue expansion, suggesting near-term margin pressures or elevated capital deployment.

Relative to peers RSG and WCN.TO, the valuation premium indicates differentiated scale advantages and market positioning. The price-to-sales ratio of 3.47 represents sector-leading multiples, supported by the company's comprehensive integrated waste management platform and renewable energy assets that distinguish it from pure-play collection competitors.