WM Earnings Prediction
The chart below shows how WM performed 10 days before and after its earnings report, based on data from the past quarters. Typically, WM sees a -0.55% change in stock price 10 days leading up to the earnings, and a +1.70% change 10 days following the report. On the earnings day itself, the stock moves by -0.39%. This data can give you a slight idea of what to expect for the next quarter's release.
WM Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
5.61B
7.91%
3.83%
Gross Margin
29.45%
2.68%
1.45%
Operating Margin
20.09%
2.29%
1.72%
Net Margin
13.55%
6.36%
7.63%
EPS
1.88
15.34%
11.24%
No Data Available
WM Earnings Analysis
Waste Management, Inc. Corporation (WM.N) Earnings Conference Call
Positive
Operational Performance Success: Quarterly results reflect robust operational performance in our collection and disposal business as well as our success executing on our strategic priorities.
Double-Digit EBITDA Growth: We reported another quarter of double-digit operating EBITDA growth, positioning us well to deliver about $6.5 billion for the fully year, near the upper end of our guidance.
Record EBITDA Margin Expansion: The third quarter set a new record for operating EBITDA margin at 30.5%, a year-over-year expansion of 90 basis points.
Cost Optimization and Pricing: Our cost optimization efforts and disciplined pricing programs together are increasing the spread between price growth and our cost to serve and our sustainability investments are providing margin accretive growth.
Project Completion Overview: During the quarter, we completed eight projects across our network, including six automation upgrades and new facilities in New York and Florida.
Negative
Operating Expenses Improvement: Operating expenses were 60.6% of revenue in the third quarter, which improved 70 basis points but still faced a headwind from additional workdays in the quarter.
Volume Decline Challenges: The company reported a decline in volume, with a negative 2.9% for the quarter, indicating challenges in maintaining growth in that area.
Residential Business Decline: The residential business has been underperforming, with a reported decline of 4.1% for the quarter, reflecting ongoing struggles in that segment.
Share Buyback Suspension: The company has suspended its share buyback program due to a focus on M&A growth, indicating a shift in capital allocation strategy that may affect shareholder returns.
Capital Expenditure Projections: The anticipated capital expenditures for the year are expected to be between $3.15 billion to $3.25 billion, which may indicate increased spending without guaranteed returns.
WM FAQs
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WM Earning Call Sentiment
Waste Management, Inc. (WM) Q3 2024 Earnings Call Transcript
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WM.N
2%Positive
The company's strong financial performance, with an 11% EBITDA growth and 30.5% margin expansion, is a positive indicator. Despite supply chain challenges and regulatory risks, optimistic guidance for 2025, strong cash flow, and a focus on high-margin businesses suggest positive sentiment. Suspension of share buybacks is a slight negative, but overall, growth prospects in sustainability and strategic acquisitions outweigh concerns. The Q&A reinforced solid performance and strategic focus, with no significant negative surprises. Given the lack of market cap data, the sentiment is rated as Positive (2% to 8%).