what's up guys johnny here and in today's video
i'm going to show you why i think waste management
inc is a strong buy we're going to go over
the earnings the max chart life we're
going to go over the highs the lows
news predictions future growth competition if
any so stick around and watch until the end
smash that like button if you haven't already
as you can see on weeble right now at 156.39
to buy this share there are 18 analysts saying
that is a buy rating they have a high price
target of 198 an average of 172 and a low of 160.
now what i thought was interesting here for all
of you don't know what waste management is it is a
company that gathers collects and disposes of our
waste but as you can see here it has had extreme
growth since 2020 but if you look in the long run
it's actually had growth since august 1st 1988
you could have bought this company for 2.75 cents
as you can see it had an all-time high
right before um y2k basically of 52.88
and then it dropped all the way down to 15 since
then it's had a great track record moving through
and even with the financial crisis
in 2008 it was sitting around 37 38
and made a slight bounce back to about twenty
seven dollars twenty five dollars so it wasn't
really affected by the financial crash because
no one stopped throwing their trash they need
trash to throw so they kept throwing it and as you
can see from there it just continues to skyrocket
up to where you get our um little our big epidemic
that it happened um and it got as high up as 121
january 2020 and then made a huge pullback
to 92 dollars and since then it has just been
increasing ever since as you can see on the charts
here that um the street rating i like to use this
it's a great company to get analysis of stocks
it's free and they'll send it straight to your
email this was actually done on july 24th 2022
they have a buy rating of an a minus because
they have a target price of a hundred and ninety
three dollar which is amazing now stick around
till the end and i'll show you exactly how much
you can make from where we are now to their price
evaluation of 193 i'll show you that right
here on weeble after i'm done with this waste
management inc it actually provides environmental
services to residential commercial industrial and
municipal companies in the united states or
northern america they have an annual dividend
rate of two dollars and sixty cents which gives
them an annual dividend yield right now of 1.67
so it is a extremely safe dividend producing
company that's been paying out for a long time
their market cap right now is 64.5 billion dollars
they've actually had a buy rating since 2015
which is pretty amazing as you can see here
this line is showing a 193.90 target price
and as you can see the volume has been there for
some time real quick before we get into the amount
of profit you can make here are some highlights
from the street rating based on several analysts
the company's strengths can be seen in multiple
areas such as a solid stock price performance
impressive record of earnings per share growth
compelling growth in net income revenue growth
and notably return on equity now with that said
waste management has improved earnings per share
by 24.2 percent in the recent quarter compared to
last year the company also demonstrated a pattern
of positive earnings per share growth over the
past two years and they've managed to increase
their bottom line by earning four dollars and 30
cents this year versus 3.52 cents the prior year
now that does have to do with a bit of inflation
but expecting this year's potential improvement
on earnings would be 5.56 versus the 4.30 cents
it's at right now the net income increased by 21.9
percent when compared to the same quarter a year
previously going from 421 million to 513 million
dollars they have rose by 13.4 percent of their
earnings compared to a sub sector average of
about 14.8 just a slight difference not bad
with that said i believe waste management
is favorable compared to some of its other
competitors like gfl or gfl environmental
or clean harbor inc and those are also other good
companies if you want me to do a video on any of
those comment in the comment section below and
i could do a video on those but companies with
higher ebitda margins and revenue growth ratings
are outperforming companies with lower ebitda
margins and revenue growth which means that
companies for this scattered plot have a
market capitalization between 3 billion and 65
billion dollars the street rating is currently
tracking 80 percent of these companies in this
sector around 555 billion dollars in market cap
which means that waste management just this
one company waste management alone makes up
for 27.8 that's almost a third of the market cap
for the entire sector as you can see companies
that exhibit both a high earnings yield and high
revenue growth are generally more attractive
than companies with lower revenue growth and it's
sitting right here alongside its competition which
i think is great as you can see here compared to
them they have the highest the recent price of 150
million dollars and their market cap of course is
a 64.5 billion price earnings 34 net sales is is
just insane compared to these other companies like
the the one that's closest would be this one here
and it's republic services or rsg so it's doing
great compared to its competitors now what i like
also is stock at a glance and basically gives you
a summary of the major fundamental and technical
factors that we consider when they determine their
overall recommendation of it as you can see growth
has 5 out of 5 stars total return is 5 out of
5 stars efficiency is four out of five price
volatility is five out of five solvency is five
out of five and income is three and a half out
of five stars which is just great i do believe
this company is moving in the right direction
we're gonna have waste and garbage until the day
that we can like you know vaporize garbage but
until there's like a weird technology like that we
are always gonna have trash to dispose no matter
how much we try to recycle um we're just always
going to have trash and that's the thing when
it comes to this company and then why i think it
would be a strong buy now for what you guys have
waiting for i'll go ahead and give it to you here
so right now we're sitting at 156.48 they have
a 93 dollar evaluation it was like 93 and some
change let's go ahead and do this trend line here
and if we took it from right where it's at now say
you got in at like 663 by the time you watch this
video it's gone up about 50 cents well if you can
get up to the 193 mark even if it took you 78 days
or longer maybe it'd take you closer to maybe
half a year right like say six months you're
still looking at a 24 profit or appreciation on
this company like 23 and a half so that means
if you invested a thousand dollars then you
would have the potential to make 230 dollars
in appreciation but not only that in between this
say six months here you're gonna have dividends
because the company does pay dividends so if you
had a thousand dollars in this company at 169
you might only get about maybe eight shares or
so maybe about seven but you would be able to get
dividends per share which is 50 cents per quarter
so then that would mean say you have to go through
three quarters 58 cents so say even 50 cents
to make it even you'd be looking at maybe
three to four dollars a quarter 369 you'd make
another 10 to 15 dollars in just holding this
company in a small amount of time i'd say about
six months or so now there's a great potential
for this company to grow as you can see even
what is this 2001 in march it was at 115 dollars
and if we were just to use the trend line here
you do about the 120 mark here because you weren't
too sure about when to pick it up and you sold
it around like the 160 mark that would be a 35
profit already from march 2021 to april 2022 so in
a year you would have actually made 35 on this one
company you would have beat the market five times
over and you would actually be getting dividends
every quarter in this period you would have
got one two three four five dividends per share
which is pretty amazing so it does help to
hold these companies long term and as you can
see waste management is one of those companies
that's going to be around for a very long time
cool little article here did you guys know that
waste management is owned by 74 of institutional
shareholders and 24 percent is retail investors
now vanguard corp is the largest individual waste
management shareholder owning 35.31
million shares which represents 8.51
of the entire company guys vanguard inc so
vanguard owns it then you know it's a good
company to get involved with as well i'm going to
show you the etf weightings here and as you can
see the top holder right now is at 10 percent and
it's the neck vectors environmental services etf
coming next is 5.3 percent is i shares u.s utility
and then um goldman sachs is down here at 2.2
percent holdings um i believe i seen another
vanguard over here yep vanguard industrials at
1.52 percent and another one that i wanted to call
out was vanguard u.s liquidity factor etf at 1.19
so vanguard definitely has some shares
in this company motley full capital you
guys hear of that a lot and last but not
least i wanted to show you that i shares
russell top 200 etf also has some holdings in this
at 0.21 percent so that is pretty cool that they
are invested in this company they
believe in it just as much as i do
i do believe this company is a strong buy they
have strong earnings per share right now at 1.4
their revenues are extremely high eight 4.84
billion dollars in three months their ebitda is
good and their net income is fantastic i love
their upward trend they are staying extremely
bullish even through the downsides of the economy
because there is just trash i mean we're gonna
have trash there's nothing we can do about it
but we have to dispose of it and they are seeing
the potential of it i mean they're really seeing
the the effects of something that is going good
for them they have to control waste somehow and
with that they're able to so as you can see here
great great growth potential is very strong
from here to here you're already at 25
you're gonna beat the market extremely well
especially in this time right now with inflation
of like nine percent average although it seems
like it's more like 25 or 30 percent by the time
it's said and done so you need to find these big
players or these big stock moves to where you can
potentially make more money to beat the market to
beat inflation to beat the raising gas prices and
food prices to where now you're not losing money
because if you make eight percent and inflation's
20 you're definitely going to be losing money so
you're going to want to find some of these top
companies to get involved with as far as that goes
i do believe this company is rated as a strong buy
it's not going anywhere anytime soon and what's
great about it is that there's many people to
back it up and many people that want to see it
do well so they're going to keep investing in it
a couple quick little facts i found here
waste management also provides electronic
waste recycling which is the world's fastest
growing waste stream and increasing environmental
hazard when not properly disposed of which is just
great right i mean they're getting they're finding
new alternatives to get rid of more stuff or to
recycle it and they're providing more services
to people like you and me now waste management is
the top dog in the trash and recycling industry
adding more than 117 000 tons of trash to its
252 landfills in 2018 so business is booming
for waste management even then to now now over
21 million municipal and commercial stores are
provided this service of waste management in an
effective and efficient manner to attain the goal
of sustainable development so they have 21 million
municipal and commercial sectors that is just nuts
i mean they have a huge market they've done very
well for themselves and that's exactly why i think
this is a strong buy hope you enjoyed if you want
me to do another stock analysis on another video
or another video on any other stock that
you find interesting i can do that for you
exactly the way i did here showing weeble
charts as well as the street rating
and even looking back at max chart history on
yahoo finance all these resources are free i
give you free knowledge and do research for you
so you don't have to and with that said guys
subscribe so you don't miss the next video and
smash the like button thanks and have a great day
沒有留言:
張貼留言