Is Waste Management Stock Underperforming the Dow?

Is Waste Management Stock Underperforming the Dow?

Thu, September 3, 2026 at 5:37 PM GMT+3 2 min read

• WM -1.23%
• ^DJI -0.51%

With a market cap of $87.6 billion, Waste Management, Inc. (WM) is a leading environmental solutions provider serving residential, commercial, industrial, and municipal customers across the United States, Canada, Western Europe, and select international markets. It also delivers specialized services such as regulated and hazardous waste management, secure information destruction, and sustainability-focused recycling and recovery solutions.

Companies valued at $10 billion or more are generally considered "large-cap" stocks and Waste Management fits this criterion perfectly. The company offers comprehensive waste collection, recycling, landfill, and renewable energy services, including landfill gas-to-energy facilities that generate renewable electricity and natural gas.

More News from Barchart

Shares of the Houston, Texas-based company have fallen 11.9% from its 52-week high of $248.13. Over the past three months, shares of the company have gained marginally, lagging behind the broader Dow Jones Industrial Average's ($DOWI) 5.5% rise during the same timeframe.

WM stock has fallen marginally on a YTD basis, underperforming DOWI's 11.3% gain. Longer term, the trash and recycling company's shares have declined 2.5% over the past 52 weeks, compared to DOWI's 18.1% return over the same time frame.

Despite a few fluctuations, the stock has been trading below its 50-day and 200-day moving averages since August.

Waste Management shares fell 1.2% following its Q2 2026 results on Jul. 28 as revenue of $6.68 billion missed the consensus, and the company cut its 2026 revenue outlook to $26.28 billion - $26.48 billion, below its prior forecast due to weaker collection volumes. Despite adjusted EPS beating expectations at $2.02, softer volumes raised concerns about slowing top-line growth, even as pricing, efficiency and sustainability businesses supported profitability.

In comparison, rival Republic Services, Inc. (RSG) has outpaced WM stock on a YTD basis, with RSG stock gaining 5.2%. However, RSG stock has decreased 4.1% over the past year, lagging behind WM stock.

Despite WM stock's underperformance relative to the Dow, analysts are moderately optimistic, with a consensus rating of "Moderate Buy" from 28 analysts. The mean price target of $261.38 suggests a 19.5% upside potential from current levels.

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com