WASTE CONNECTIONS INC (WCN) Stock Fundamental Analysis
NYSE:WCN • CA94106B1013
163.62 USD
-2.44 (-1.47%)
At close: Feb 20, 2026
163.62 USD
0 (0%)
After Hours: 2/20/2026, 8:10:21 PM
Taking everything into account, WCN scores 5 out of 10 in our fundamental rating. WCN was compared to 80 industry peers in the Commercial Services & Supplies industry. WCN scores excellent on profitability, but there are concerns on its financial health. WCN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year WCN was profitable.
- In the past year WCN had a positive cash flow from operations.
- WCN had positive earnings in each of the past 5 years.
- In the past 5 years WCN always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of WCN (5.10%) is better than 72.50% of its industry peers.
- WCN has a Return On Equity of 13.06%. This is in the better half of the industry: WCN outperforms 71.25% of its industry peers.
- WCN has a Return On Invested Capital of 7.60%. This is in the better half of the industry: WCN outperforms 70.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for WCN is below the industry average of 10.56%.
- The 3 year average ROIC (7.41%) for WCN is below the current ROIC(7.60%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.1% | ||
| ROE | 13.06% | ||
| ROIC | 7.6% |
ROA(3y)4.16%
ROA(5y)4.31%
ROE(3y)10.28%
ROE(5y)10.29%
ROIC(3y)7.41%
ROIC(5y)7%
1.3 Margins
- WCN has a Profit Margin of 11.37%. This is amongst the best in the industry. WCN outperforms 88.75% of its industry peers.
- In the last couple of years the Profit Margin of WCN has grown nicely.
- WCN has a better Operating Margin (19.48%) than 92.50% of its industry peers.
- In the last couple of years the Operating Margin of WCN has grown nicely.
- The Gross Margin of WCN (42.37%) is better than 76.25% of its industry peers.
- WCN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.48% | ||
| PM (TTM) | 11.37% | ||
| GM | 42.37% |
OM growth 3Y3.01%
OM growth 5Y3.6%
PM growth 3Y-0.62%
PM growth 5Y24.78%
GM growth 3Y2.05%
GM growth 5Y1.25%
2. Health
2.1 Basic Checks
- WCN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- WCN has less shares outstanding than it did 1 year ago.
- WCN has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for WCN is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.01 indicates that WCN is not in any danger for bankruptcy at the moment.
- WCN's Altman-Z score of 3.01 is fine compared to the rest of the industry. WCN outperforms 63.75% of its industry peers.
- The Debt to FCF ratio of WCN is 7.23, which is on the high side as it means it would take WCN, 7.23 years of fcf income to pay off all of its debts.
- WCN has a Debt to FCF ratio of 7.23. This is in the better half of the industry: WCN outperforms 68.75% of its industry peers.
- WCN has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
- WCN has a worse Debt to Equity ratio (1.07) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 7.23 | ||
| Altman-Z | 3.01 |
ROIC/WACC0.98
WACC7.74%
2.3 Liquidity
- A Current Ratio of 0.62 indicates that WCN may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.62, WCN is doing worse than 88.75% of the companies in the same industry.
- WCN has a Quick Ratio of 0.62. This is a bad value and indicates that WCN is not financially healthy enough and could expect problems in meeting its short term obligations.
- WCN's Quick ratio of 0.58 is on the low side compared to the rest of the industry. WCN is outperformed by 86.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 7.52% over the past year.
- Measured over the past years, WCN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.21% on average per year.
- WCN shows a small growth in Revenue. In the last year, the Revenue has grown by 6.14%.
- Measured over the past years, WCN shows a quite strong growth in Revenue. The Revenue has been growing by 11.69% on average per year.
EPS 1Y (TTM)7.52%
EPS 3Y10.57%
EPS 5Y14.21%
EPS Q2Q%11.21%
Revenue 1Y (TTM)6.14%
Revenue growth 3Y9.49%
Revenue growth 5Y11.69%
Sales Q2Q%5%
3.2 Future
- WCN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.51% yearly.
- WCN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.27% yearly.
EPS Next Y11.61%
EPS Next 2Y12.62%
EPS Next 3Y13.89%
EPS Next 5Y8.51%
Revenue Next Year5.38%
Revenue Next 2Y5.87%
Revenue Next 3Y6.21%
Revenue Next 5Y6.27%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 31.77, WCN can be considered very expensive at the moment.
- WCN's Price/Earnings ratio is in line with the industry average.
- WCN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.99, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 28.47, WCN can be considered very expensive at the moment.
- Based on the Price/Forward Earnings ratio, WCN is valued a bit cheaper than 61.25% of the companies in the same industry.
- WCN's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.06.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.77 | ||
| Fwd PE | 28.47 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as WCN.
- WCN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.34 | ||
| EV/EBITDA | 16.67 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- WCN has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as WCN's earnings are expected to grow with 13.89% in the coming years.
PEG (NY)2.74
PEG (5Y)2.24
EPS Next 2Y12.62%
EPS Next 3Y13.89%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.81%, WCN is not a good candidate for dividend investing.
- WCN's Dividend Yield is a higher than the industry average which is at 0.80.
- With a Dividend Yield of 0.81, WCN pays less dividend than the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.81% |
5.2 History
- The dividend of WCN is nicely growing with an annual growth rate of 11.37%!
- WCN has paid a dividend for at least 10 years, which is a reliable track record.
- WCN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.37%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- WCN pays out 31.01% of its income as dividend. This is a sustainable payout ratio.
- WCN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.01%
EPS Next 2Y12.62%
EPS Next 3Y13.89%
163.62
-2.44 (-1.47%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)02-11 2026-02-11/amc
Earnings (Next)04-21 2026-04-21/amc
Inst Owners89.12%
Inst Owner Change1.38%
Ins Owners0.11%
Ins Owner Change-1%
Market Cap41.89B
Revenue(TTM)9.47B
Net Income(TTM)1.08B
Analysts83
Price Target152.34 (-6.89%)
Short Float %0.9%
Short Ratio1.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.81% |
Yearly Dividend1.3
Dividend Growth(5Y)11.37%
DP31.01%
Div Incr Years3
Div Non Decr Years3
Ex-Date02-25 2026-02-25 (0.35)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.4%
Min EPS beat(2)-0.31%
Max EPS beat(2)3.11%
EPS beat(4)3
Avg EPS beat(4)1.65%
Min EPS beat(4)-0.31%
Max EPS beat(4)3.11%
EPS beat(8)6
Avg EPS beat(8)1.47%
EPS beat(12)9
Avg EPS beat(12)1.17%
EPS beat(16)11
Avg EPS beat(16)1.38%
Revenue beat(2)0
Avg Revenue beat(2)-0.71%
Min Revenue beat(2)-0.82%
Max Revenue beat(2)-0.59%
Revenue beat(4)0
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-0.82%
Max Revenue beat(4)-0.45%
Revenue beat(8)2
Avg Revenue beat(8)-0.2%
Revenue beat(12)2
Avg Revenue beat(12)-0.36%
Revenue beat(16)5
Avg Revenue beat(16)-0.21%
PT rev (1m)2.27%
PT rev (3m)-25.82%
EPS NQ rev (1m)-0.89%
EPS NQ rev (3m)-1.03%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)-0.09%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.77 | ||
| Fwd PE | 28.47 | ||
| P/S | 4.42 | ||
| P/FCF | 34.34 | ||
| P/OCF | 17.35 | ||
| P/B | 5.08 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.67 |
EPS(TTM)5.15
EY3.15%
EPS(NY)5.75
Fwd EY3.51%
FCF(TTM)4.76
FCFY2.91%
OCF(TTM)9.43
OCFY5.76%
SpS36.98
BVpS32.21
TBVpS-8.41
PEG (NY)2.74
PEG (5Y)2.24
Graham Number61.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.1% | ||
| ROE | 13.06% | ||
| ROCE | 9.7% | ||
| ROIC | 7.6% | ||
| ROICexc | 7.62% | ||
| ROICexgc | 16.88% | ||
| OM | 19.48% | ||
| PM (TTM) | 11.37% | ||
| GM | 42.37% | ||
| FCFM | 12.88% |
ROA(3y)4.16%
ROA(5y)4.31%
ROE(3y)10.28%
ROE(5y)10.29%
ROIC(3y)7.41%
ROIC(5y)7%
ROICexc(3y)7.44%
ROICexc(5y)7.03%
ROICexgc(3y)16.68%
ROICexgc(5y)15.84%
ROCE(3y)9.46%
ROCE(5y)8.93%
ROICexgc growth 3Y5.3%
ROICexgc growth 5Y5.84%
ROICexc growth 3Y5.56%
ROICexc growth 5Y6.23%
OM growth 3Y3.01%
OM growth 5Y3.6%
PM growth 3Y-0.62%
PM growth 5Y24.78%
GM growth 3Y2.05%
GM growth 5Y1.25%
F-Score6
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 7.23 | ||
| Debt/EBITDA | 2.86 | ||
| Cap/Depr | 96.94% | ||
| Cap/Sales | 12.62% | ||
| Interest Coverage | 5.98 | ||
| Cash Conversion | 78.48% | ||
| Profit Quality | 113.3% | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 3.01 |
F-Score6
WACC7.74%
ROIC/WACC0.98
Cap/Depr(3y)93.59%
Cap/Depr(5y)94.33%
Cap/Sales(3y)12.03%
Cap/Sales(5y)12.17%
Profit Quality(3y)153.2%
Profit Quality(5y)149.35%
High Growth Momentum
Growth
EPS 1Y (TTM)7.52%
EPS 3Y10.57%
EPS 5Y14.21%
EPS Q2Q%11.21%
EPS Next Y11.61%
EPS Next 2Y12.62%
EPS Next 3Y13.89%
EPS Next 5Y8.51%
Revenue 1Y (TTM)6.14%
Revenue growth 3Y9.49%
Revenue growth 5Y11.69%
Sales Q2Q%5%
Revenue Next Year5.38%
Revenue Next 2Y5.87%
Revenue Next 3Y6.21%
Revenue Next 5Y6.27%
EBIT growth 1Y8.05%
EBIT growth 3Y12.78%
EBIT growth 5Y15.71%
EBIT Next Year81.87%
EBIT Next 3Y29.59%
EBIT Next 5Y19.58%
FCF growth 1Y3.99%
FCF growth 3Y3.2%
FCF growth 5Y10.39%
OCF growth 1Y8.31%
OCF growth 3Y6.08%
OCF growth 5Y11.38%
WASTE CONNECTIONS INC / WCN FAQ
What is the ChartMill fundamental rating of WASTE CONNECTIONS INC (WCN) stock?
ChartMill assigns a fundamental rating of 5 / 10 to WCN.
What is the valuation status of WASTE CONNECTIONS INC (WCN) stock?
ChartMill assigns a valuation rating of 3 / 10 to WASTE CONNECTIONS INC (WCN). This can be considered as Overvalued.
What is the profitability of WCN stock?
WASTE CONNECTIONS INC (WCN) has a profitability rating of 8 / 10.
What are the PE and PB ratios of WASTE CONNECTIONS INC (WCN) stock?
The Price/Earnings (PE) ratio for WASTE CONNECTIONS INC (WCN) is 31.77 and the Price/Book (PB) ratio is 5.08.
Can you provide the dividend sustainability for WCN stock?
The dividend rating of WASTE CONNECTIONS INC (WCN) is 5 / 10 and the dividend payout ratio is 31.01%.