CluenexWaste Management WM
Waste Management scores average on business quality (5.7 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Waste Management does
Waste Management makes money by collecting, recycling, and disposing of waste for commercial and residential customers, charging recurring fees for essential municipal services. The company is expanding its network through large capital investments into recycling facilities and renewable energy projects.
- What it does best
Waste Management operates the largest network of landfills and collection routes in North America, driving a gross margin of 40.9% that edges out Republic Services at 42.0%. This physical footprint is nearly impossible to replicate due to strict local zoning laws and environmental permitting.
- The main risk
Heavy debt loads create structural vulnerability, with total debt sitting at $22.9 billion against just $201 million in cash. If interest rates remain elevated or cash flows stall, debt servicing costs will consume a larger share of operating income.
Quality, check by check
Scored against its own industry, from company filings.
Operating margins stand at 18.6% with a free cash flow margin of 13.9%, supported by efficient route density. Profitability scales predictably as collection volume grows across its established network, keeping margins stable.
Municipal waste collection locks in customers through long-term service contracts and entrenched landfill access. Operating margins sit in the 68th sector percentile, protecting its network from new entrants who face massive permitting barriers.
Revenue growth hit 14.2%, placing the company in the top quartile of its sector at the 84th percentile. This marks an acceleration over its historical annual revenue path, which rose from $20.4 billion in 2023 to $25.7 billion.
Debt-to-equity of 2.3 and interest coverage of 5.3x leave little room for error. Free cash flow reached $3.6 billion, showing solid generation that supports dividends of $1.4B, though the balance sheet remains soft overall.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
1 sold $300K outside pre-planned sales.
Our sealed record on WM
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Waste Management scores average on the Cluenex quality check (5.7 of 10), measured against its own industry. Profitability is fair, moat fair, growth fast and financial health weak.
In the last 90 days of SEC Form 4 filings: 1 sold $300K outside pre-planned sales.
Oct 27, 2026, after the close.
See WM today
- Today's verdict on WM, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Waste Management (WM)”, https://cluenex.com/stocks/wm/, data as of Oct 10, 2026.