Waste Management stock price has rebounded in the past few months, helped by its recent dividend and buyback hikes. WM jumped to a high of $230 on Monday, up by 20% from its lowest level in October. The rebound has pushed its market capitalization to over $92 billion.
Analysts have mixed opinions about WM stock ahead of earnings
Some Wall Street analysts are largely optimistic about the Waste Management stock ahead of its earnings. Jerry Revich, an analyst from Wells Fargo, boosted his target for the company from $238 to $246.
Similarly, a UBS analyst boosted the outlook from $225 to $263 while Oppenheimer raised the target from $262 to $265.
However, other analysts have recently reduced their estimates for the company, citing its slow growth. Barclays reduced the estimate from $266 to $265, while Citigroup reduced from $270 to $263.
As a result, the consensus target for the stock is $251, representing a 9% increase from the current level. The target has risen slightly from $248 a month ago.
Waste Management earnings ahead
The next main catalyst for the stock is its upcoming earnings, which will come out on Wednesday this week.
Data compiled by Yahoo Finance shows that the average estimate is that its revenue will be $6.39 billion, up by 8.38% from the same period in 2024. This revenue will bring its annual figure to $25 billion, up by 14.65% because of its Stericycle acquisition.
The company’s revenue is then expected to move to $26.64 billion, up by 5.30% from 2025. Also, its earnings per share (EPS) is expected to come in at $7.51 from the $7.23 it made in the same period in 2024.
The most recent results showed that its revenue rose to $6.4 billion from $5.6 billion, while its operating EBITDA rose to $1.7 billion, while its net income slowed to $603 million. The CEO said:
“Strong results across all aspects of our business reinforce our confidence in achieving our full-year earnings and free cash flow guidance, as well as our long-term financial objectives and strategic priorities.”
Waste Management stock price technical analysis
WM stock chart | Source: TradingView
The three-day chart shows that the Waste Management stock price has rebounded in the past few months, moving from a low of $193 in October to the current $230.
It formed an inverse head-and-shoulders pattern, a common bullish reversal sign. The stock has moved above the 50-day and 100-day Exponential Moving Averages (EMA) and is slowly nearing the all-time high of $240.
The Relative Strength Index (RSI) has continued rising, while the Average Directional Index (ADX) remains at 32.5.
Therefore, the most likely scenario is where the stock continues rising as bulls target the all time high of $239. A move above that level will point to more gains to $250.
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