Earnings To Watch: Waste Management (WM) Reports Q1 Results Tomorrow

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Waste management services provider Waste Management (NYSE: WM) will be announcing earnings results this Tuesday after the bell. Here’s what you need to know.

Waste Management missed analysts’ revenue expectations last quarter, reporting revenues of $6.31 billion, up 7.1% year on year. It was a slower quarter for the company, with a slight miss of analysts’ revenue estimates and a miss of analysts’ adjusted operating income estimates.

Is Waste Management a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Waste Management’s revenue to grow 4.4% year on year, slowing from the 16.7% increase it recorded in the same quarter last year.

Waste Management Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Waste Management has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Waste Management’s peers in the environmental and facilities services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Waste Connections delivered year-on-year revenue growth of 6.4%, beating analysts’ expectations by 0.8%, and Rollins reported revenues up 10.2%, topping estimates by 1.2%. Waste Connections traded up 7.9% following the results while Rollins was also up 3%.

Read our full analysis of Waste Connections’s results here and Rollins’s results here.

There has been positive sentiment among investors in the environmental and facilities services segment, with share prices up 15% on average over the last month. Waste Management’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $254.72 (compared to the current share price of $228.77).

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