Waste Management's Q3 revenue rises on record margins

Waste Management

27/10/2025 20:43

Corrects headline to compare revenue to estimates, and third bullet in Result Drivers to specify that VM Healthcare Solutions revenue was below the company's expectations

Overview

Waste Management Q3 revenue up 14.9% yr/yr, but missed analyst expectations

Adjusted EPS for Q3 missed analyst expectations

Company advances sustainability projects with new renewable gas and recycling facilities

Outlook

Company affirms 2025 adjusted operating EBITDA guidance of $7.475 to $7.625 bln

Free cash flow guidance remains between $2.8 and $2.9 bln for 2025

Total 2025 revenue expected at $25.275 bln, at low end of prior guidance

Result Drivers

COLLECTION AND DISPOSAL - Record margins achieved through strategic pricing and technology investments

SUSTAINABILITY INVESTMENTS - Growth in renewable natural gas and recycling projects despite commodity price headwinds

WM HEALTHCARE SOLUTIONS - Revenue slightly below company's expectations

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$6.44 bln
$6.50 bln (18 Analysts)
Q3 Adjusted EPS
Miss
$1.98
$2.01 (20 Analysts)
Q3 EPS
$1.49


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the environmental services & equipment peer group is "buy"

Wall Street's median 12-month price target for Waste Management Inc is $251.50, about 14.6% above its October 24 closing price of $214.66

The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nBw5mZcfna

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)