Why Waste Management Will Outperform in 2013

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, trash hauler Waste Management has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Waste Management and see what CAPS investors are saying about the stock right now.

Waste Management facts

Headquarters (Founded)

Houston (1987)

Market Cap

$16.4 billion

Industry

Environmental and facilities services

Trailing-12-Month Revenue

$13.6 billion

Management

CEO David Steiner (since 2004)
CFO Steven Preston (since 2011)

Return on Equity (Average, Past 3 Years)

15.4%

Cash/Debt

$398.0 million / $10.0 billion

Dividend Yield

4%

Competitors

Casella Waste Systems
Republic Services

Safety-Kleen


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 2,699 members who have rated Waste Management believe the stock will outperform the S&P 500 going forward.

Just last week, one of those bulls, Kenosh, succinctly summed up the Waste Management bull case for our community:

As the economy improves, so will the recycling markets and energy prices, two areas that [Waste Management] excels at and many do not see it. Now they are partnering with [waste-to-energy] companies. Charge to bury non-recylables on a per ton basis and then sell the same ton to turn it into energy? Sounds like a plan to me.

Of course, this short pitch doesn't even come close to telling the entire story for Waste Management. You're in luck, though. The Fool's brand-new premium report on Waste Management tells all sides of the story for one of the most compelling dividend stocks in the market. You can grab your copy now, which comes with free updates for 12 months, by just clicking here.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Waste Management Will Outperform in 2013 originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Republic Services and Waste Management and owns shares of Waste Management. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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