Analyst Adam Bubes of Goldman Sachs maintained a Buy rating on Waste Management, retaining the price target of $256.00.
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Adam Bubes’s rating is based on several promising developments within Waste Management’s operations. One of the key factors is the potential for accelerated landfill pricing, which is expected to improve as the company navigates landfill closures and extends landfill life through strategic expansions and volume relocations. Additionally, Waste Management is poised for revenue growth in 2026 compared to 2025, particularly through its Stericycle operations. This growth is supported by the anticipated inflection in free cash flow as green capital expenditures decrease and the company benefits from lower legacy business margins.
Furthermore, Waste Management’s strategic initiatives such as the ramp-up of higher margin renewable natural gas (RNG) plants, advancements in recycling automation, and continued route and fleet optimization are expected to drive margins. The transition from rear loaders to automated side loaders in residential areas, which has already achieved a 70% adoption rate, is a significant efficiency improvement. Additionally, the implementation of real-time route optimization technology in the industrial collection line enhances operational efficiency by adapting to traffic patterns. These factors collectively underpin the positive outlook and Buy rating for Waste Management’s stock.
In another report released on December 1, J.P. Morgan also maintained a Buy rating on the stock with a $265.00 price target.
Based on the recent corporate insider activity of 96 insiders, corporate insider sentiment is neutral on the stock.