WASTE MANAGEMENT INC (UWS.DE) Stock Fundamental Analysis
FRA:UWS - Deutsche Boerse Ag - US94106L1098 - Common Stock - Currency: EUR
UWS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 43 industry peers in the Commercial Services & Supplies industry. UWS scores excellent on profitability, but there are concerns on its financial health. While showing a medium growth rate, UWS is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year UWS was profitable.
In the past year UWS had a positive cash flow from operations.
Each year in the past 5 years UWS has been profitable.
UWS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
UWS's Return On Assets of 6.16% is fine compared to the rest of the industry. UWS outperforms 79.07% of its industry peers.
The Return On Equity of UWS (33.28%) is better than 90.70% of its industry peers.
UWS has a better Return On Invested Capital (8.38%) than 79.07% of its industry peers.
UWS had an Average Return On Invested Capital over the past 3 years of 9.52%. This is above the industry average of 7.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 33.28% | ||
| ROIC | 8.38% |
ROA(3y)6.77%
ROA(5y)6.33%
ROE(3y)33.11%
ROE(5y)28.98%
ROIC(3y)9.52%
ROIC(5y)9.04%
1.3 Margins
The Profit Margin of UWS (12.45%) is better than 90.70% of its industry peers.
In the last couple of years the Profit Margin of UWS has grown nicely.
With an excellent Operating Margin value of 18.81%, UWS belongs to the best of the industry, outperforming 95.35% of the companies in the same industry.
In the last couple of years the Operating Margin of UWS has remained more or less at the same level.
UWS's Gross Margin of 39.34% is in line compared to the rest of the industry. UWS outperforms 46.51% of its industry peers.
In the last couple of years the Gross Margin of UWS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.81% | ||
| PM (TTM) | 12.45% | ||
| GM | 39.34% |
OM growth 3Y4.47%
OM growth 5Y1.08%
PM growth 3Y7.11%
PM growth 5Y2.87%
GM growth 3Y1.13%
GM growth 5Y-3.63%
2. Health
2.1 Basic Checks
UWS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
UWS has about the same amout of shares outstanding than it did 1 year ago.
UWS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for UWS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.80 indicates that UWS is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.80, UWS belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
The Debt to FCF ratio of UWS is 11.07, which is on the high side as it means it would take UWS, 11.07 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.07, UWS is in line with its industry, outperforming 51.16% of the companies in the same industry.
UWS has a Debt/Equity ratio of 2.73. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of UWS (2.73) is worse than 74.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.73 | ||
| Debt/FCF | 11.07 | ||
| Altman-Z | 2.8 |
ROIC/WACC1.08
WACC7.75%
2.3 Liquidity
A Current Ratio of 0.76 indicates that UWS may have some problems paying its short term obligations.
UWS's Current ratio of 0.76 is on the low side compared to the rest of the industry. UWS is outperformed by 76.74% of its industry peers.
UWS has a Quick Ratio of 0.76. This is a bad value and indicates that UWS is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.73, UWS is not doing good in the industry: 69.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
UWS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.80%, which is quite good.
UWS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.29% yearly.
The Revenue has grown by 8.01% in the past year. This is quite good.
The Revenue has been growing slightly by 7.38% on average over the past years.
EPS 1Y (TTM)16.8%
EPS 3Y14.23%
EPS 5Y10.29%
EPS Q2Q%-2.3%
Revenue 1Y (TTM)8.01%
Revenue growth 3Y7.16%
Revenue growth 5Y7.38%
Sales Q2Q%12.96%
3.2 Future
UWS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.11% yearly.
The Revenue is expected to grow by 7.98% on average over the next years.
EPS Next Y9.48%
EPS Next 2Y11.37%
EPS Next 3Y10.68%
EPS Next 5Y10.11%
Revenue Next Year16.02%
Revenue Next 2Y10.64%
Revenue Next 3Y8.59%
Revenue Next 5Y7.98%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.46, the valuation of UWS can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of UWS is on the same level as its industry peers.
UWS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.22, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 29.66 indicates a quite expensive valuation of UWS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UWS is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.86. UWS is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.46 | ||
| Fwd PE | 29.66 |
4.2 Price Multiples
65.12% of the companies in the same industry are cheaper than UWS, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UWS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.75 | ||
| EV/EBITDA | 18.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates UWS does not grow enough to justify the current Price/Earnings ratio.
UWS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.42
PEG (5Y)3.15
EPS Next 2Y11.37%
EPS Next 3Y10.68%
5. Dividend
5.1 Amount
UWS has a Yearly Dividend Yield of 1.45%.
Compared to an average industry Dividend Yield of 4.07, UWS has a dividend in line with its industry peers.
With a Dividend Yield of 1.45, UWS pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
5.2 History
On average, the dividend of UWS grows each year by 7.84%, which is quite nice.
Dividend Growth(5Y)7.84%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
44.06% of the earnings are spent on dividend by UWS. This is a bit on the high side, but may be sustainable.
UWS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP44.06%
EPS Next 2Y11.37%
EPS Next 3Y10.68%
FRA:UWS (5/2/2025, 7:00:00 PM)
206.45
+3.15 (+1.55%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners84.94%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap83.06B
Analysts77.42
Price Target214.9 (4.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
Yearly Dividend2.65
Dividend Growth(5Y)7.84%
DP44.06%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.49%
Min EPS beat(2)-7.87%
Max EPS beat(2)0.88%
EPS beat(4)2
Avg EPS beat(4)0.67%
Min EPS beat(4)-7.87%
Max EPS beat(4)12.87%
EPS beat(8)3
Avg EPS beat(8)0.63%
EPS beat(12)5
Avg EPS beat(12)0.39%
EPS beat(16)7
Avg EPS beat(16)-0.18%
Revenue beat(2)0
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-1.25%
Max Revenue beat(2)-0.81%
Revenue beat(4)0
Avg Revenue beat(4)-2.31%
Min Revenue beat(4)-3.82%
Max Revenue beat(4)-0.81%
Revenue beat(8)0
Avg Revenue beat(8)-2.89%
Revenue beat(12)2
Avg Revenue beat(12)-2.22%
Revenue beat(16)3
Avg Revenue beat(16)-1.68%
PT rev (1m)-7.45%
PT rev (3m)-6.03%
EPS NQ rev (1m)-2.9%
EPS NQ rev (3m)-10.22%
EPS NY rev (1m)-0.14%
EPS NY rev (3m)-4.91%
Revenue NQ rev (1m)-0.44%
Revenue NQ rev (3m)6.24%
Revenue NY rev (1m)-0.6%
Revenue NY rev (3m)3.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.46 | ||
| Fwd PE | 29.66 | ||
| P/S | 4.28 | ||
| P/FCF | 43.75 | ||
| P/OCF | 17.53 | ||
| P/B | 11.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.16 |
EPS(TTM)6.36
EY3.08%
EPS(NY)6.96
Fwd EY3.37%
FCF(TTM)4.72
FCFY2.29%
OCF(TTM)11.78
OCFY5.71%
SpS48.22
BVpS18.03
TBVpS-20.49
PEG (NY)3.42
PEG (5Y)3.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 33.28% | ||
| ROCE | 10.83% | ||
| ROIC | 8.38% | ||
| ROICexc | 8.47% | ||
| ROICexgc | 15.84% | ||
| OM | 18.81% | ||
| PM (TTM) | 12.45% | ||
| GM | 39.34% | ||
| FCFM | 9.79% |
ROA(3y)6.77%
ROA(5y)6.33%
ROE(3y)33.11%
ROE(5y)28.98%
ROIC(3y)9.52%
ROIC(5y)9.04%
ROICexc(3y)9.65%
ROICexc(5y)9.16%
ROICexgc(3y)16.08%
ROICexgc(5y)15.26%
ROCE(3y)12.3%
ROCE(5y)11.69%
ROICexcg growth 3Y1.2%
ROICexcg growth 5Y0.78%
ROICexc growth 3Y-2.68%
ROICexc growth 5Y-3.51%
OM growth 3Y4.47%
OM growth 5Y1.08%
PM growth 3Y7.11%
PM growth 5Y2.87%
GM growth 3Y1.13%
GM growth 5Y-3.63%
F-Score5
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.73 | ||
| Debt/FCF | 11.07 | ||
| Debt/EBITDA | 3.51 | ||
| Cap/Depr | 142.52% | ||
| Cap/Sales | 14.64% | ||
| Interest Coverage | 7.83 | ||
| Cash Conversion | 84.01% | ||
| Profit Quality | 78.62% | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 2.8 |
F-Score5
WACC7.75%
ROIC/WACC1.08
Cap/Depr(3y)136.42%
Cap/Depr(5y)120.43%
Cap/Sales(3y)13.98%
Cap/Sales(5y)12.66%
Profit Quality(3y)81.63%
Profit Quality(5y)99.46%
High Growth Momentum
Growth
EPS 1Y (TTM)16.8%
EPS 3Y14.23%
EPS 5Y10.29%
EPS Q2Q%-2.3%
EPS Next Y9.48%
EPS Next 2Y11.37%
EPS Next 3Y10.68%
EPS Next 5Y10.11%
Revenue 1Y (TTM)8.01%
Revenue growth 3Y7.16%
Revenue growth 5Y7.38%
Sales Q2Q%12.96%
Revenue Next Year16.02%
Revenue Next 2Y10.64%
Revenue Next 3Y8.59%
Revenue Next 5Y7.98%
EBIT growth 1Y8.53%
EBIT growth 3Y11.95%
EBIT growth 5Y8.54%
EBIT Next Year74.25%
EBIT Next 3Y26.18%
EBIT Next 5Y17.46%
FCF growth 1Y18.37%
FCF growth 3Y-3.92%
FCF growth 5Y0.98%
OCF growth 1Y14.22%
OCF growth 3Y7.51%
OCF growth 5Y6.83%