Casella Waste (CWST) AI Stock Analysis

• Market Cap: $5.61B
• Dividend Yield: N/A
• Average Volume (3M): 582.58K
• Price to Earnings (P/E): 367.2
• Beta (1Y): 0.34
• Revenue Growth: 20.54%
• EPS Growth: 106.35%
• Country: US
• Employees: 5,100
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.42
• Shares Outstanding: 62,505,318
• 10 Day Avg. Volume: 676,854
• 30 Day Avg. Volume: 582,584
• PEG Ratio: -9.31
• Price to Book (P/B): 4.06
• Price to Sales (P/S): 4.05
• P/FCF Ratio: 80.68
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 3.94
• Enterprise Value/Gross Profit: 22.66
• Enterprise Value/Ebitda: 18.24
• 1Y Price Target: $118.17
• Price Target Upside: 34.16% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): 1.15
• Revenue Forecast (FY): $1.84B

• Rating: 61 Neutral
• Price Target: $87.00 ▼(-1.23% Downside)

Casella Waste's overall stock score is driven by strong earnings call performance and optimistic future projections, which are offset by financial challenges and technical indicators suggesting bearish momentum. The high P/E ratio raises concerns about overvaluation, while the lack of a dividend yield further impacts the valuation score.

Positive Factors

Revenue Growth

Strong revenue growth driven by acquisitions and organic expansion indicates a robust business model and market demand, supporting long-term financial health.

Successful Acquisitions

Strategic acquisitions enhance market position and revenue base, providing a platform for future growth and competitive advantage in the waste management sector.

Improved Leverage Management

Better leverage management strengthens the balance sheet, increasing financial flexibility and reducing risk, which is crucial for sustainable growth.

Negative Factors

Declining Margins

Declining margins suggest operational inefficiencies and cost pressures, which may affect long-term profitability and require strategic adjustments.

Cash Flow Challenges

Negative free cash flow growth indicates potential liquidity issues, limiting the company's ability to reinvest in growth opportunities and manage debt.

Labor Cost Pressures

Rising labor costs can erode profit margins and impact operational efficiency, necessitating cost management strategies to maintain competitiveness.

Casella Waste Business Overview & Revenue Model

Company Description

Casella Waste Systems, Inc. (CWST) is a leading provider of waste management services in the northeastern United States. The company operates in several sectors including solid waste collection, recycling, and disposal services. Casella offers a variety of core services such as residential and commercial waste collection, recycling programs, and landfill operations, focusing on sustainable waste management practices and environmental stewardship.

How the Company Makes Money

Casella Waste generates revenue primarily through its waste collection and disposal services, which include residential, commercial, and industrial waste management. The company's revenue model is based on service contracts and fee structures that vary by customer type and service level. Key revenue streams include tipping fees from landfills, revenue from recycling operations, and collection fees from waste management services. Casella also benefits from partnerships with municipalities and businesses, providing them with tailored waste solutions that contribute to the company's earnings. Additionally, the company's focus on sustainability and environmental compliance enhances its market position and attracts clients looking for eco-friendly waste management options.

Casella Waste Financial Statement Overview

Summary

Casella Waste demonstrates moderate financial health with stable revenue growth but faces challenges in profitability and cash flow generation. The company has improved its leverage position, but declining margins and low return on equity highlight areas for improvement. Continued focus on operational efficiency and cash flow management is essential for future growth.

Income Statement

Casella Waste shows moderate revenue growth with a TTM increase of 4.28% and a previous year growth of 23.15%. However, margins have been declining, with the gross profit margin dropping from 33.36% in 2022 to 17.79% in TTM. Net profit margin is low at 0.64% TTM, indicating profitability challenges. The EBIT and EBITDA margins have also decreased, reflecting operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio has improved from 1.68 in 2020 to 0.79 TTM, indicating better leverage management. However, the return on equity has decreased significantly from 25.16% in 2020 to 0.98% TTM, suggesting reduced profitability for shareholders. The equity ratio remains stable, reflecting a balanced asset structure.

Cash Flow

Operating cash flow has improved, with a TTM coverage ratio of 1.25, but free cash flow growth is negative at -13.97% TTM, indicating cash generation issues. The free cash flow to net income ratio is moderate at 0.27 TTM, showing some ability to convert income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.80B	1.56B	1.26B	1.09B	889.21M	774.58M
Gross Profit	312.16M	295.04M	261.80M	235.62M	203.22M	168.16M
EBITDA	387.82M	321.52M	274.17M	248.29M	208.78M	154.87M
Net Income	15.26M	13.54M	25.40M	53.08M	41.10M	91.11M
Balance Sheet
Total Assets	3.29B	3.33B	2.54B	1.45B	1.28B	1.19B
Cash, Cash Equivalents and Short-Term Investments	192.65M	383.30M	220.91M	71.15M	33.81M	154.34M
Total Debt	1.23B	1.21B	1.12B	658.33M	616.09M	609.18M
Total Liabilities	1.72B	1.78B	1.51B	951.32M	861.12M	831.76M
Stockholders Equity	1.57T	1.55B	1.02B	497.90M	422.46M	362.14M
Cash Flow
Free Cash Flow	78.31M	78.13M	78.19M	86.35M	59.44M	31.81M
Operating Cash Flow	342.97M	281.36M	233.09M	217.31M	182.74M	139.92M
Investing Cash Flow	-690.70M	-670.61M	-1.01B	-206.92M	-293.15M	-140.03M
Financing Cash Flow	21.41M	551.64M	922.30M	26.95M	-10.12M	150.98M

Casella Waste Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 88.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CWST, the sentiment is Negative. The current price of 88.08 is above the 20-day moving average (MA) of 87.91, below the 50-day MA of 90.08, and below the 200-day MA of 105.72, indicating a neutral trend. The MACD of -0.62 indicates Negative momentum. The RSI at 47.60 is Neutral, neither overbought nor oversold. The STOCH value of 74.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CWST.

Casella Waste Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLH	70 Outperform	$11.11B	28.85	14.64%	―	2.85%	-6.27%
WM	68 Neutral	$81.35B	31.82	29.31%	1.60%	15.88%	-3.11%
RSG	65 Neutral	$63.64B	30.56	18.24%	1.06%	4.33%	7.59%
MEG	65 Neutral	$915.95M	―	-4.17%	―	22.77%	44.73%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CWST	61 Neutral	$5.61B	367.15	0.98%	―	20.54%	106.35%
NVRI	47 Neutral	$983.10M	―	-35.66%	―	-0.83%	-61.90%

Casella Waste Corporate Events

Casella Waste Systems Reports Record Earnings and Positive Outlook

Casella Waste Systems’ recent earnings call painted a picture of robust performance and optimism for the future. The company reported record-breaking revenue and EBITDA figures, alongside successful acquisitions and positive growth projections. Despite facing challenges such as commodity price headwinds and integration issues in the Mid-Atlantic segment, the overall sentiment was optimistic, highlighting significant achievements and a promising outlook for 2026.

Casella Waste Remarkets $37.5M Revenue Bonds Successfully

On September 2, 2025, Casella Waste Systems successfully remarketed $37.5 million of New York State Environmental Facilities Corporation Solid Waste Disposal Revenue Bonds, originally issued in 2020. The remarketing, which included a redemption of $2.5 million in bonds, aims to support the company’s operations in New York, with the bonds guaranteed by its subsidiaries to ensure payment obligations are met.

The most recent analyst rating on (CWST) stock is a Hold with a $101.00 price target. To see the full list of analyst forecasts on Casella Waste stock, see the CWST Stock Forecast page.

Casella Waste Remarkets $37.5M Bonds at New Rate

On August 28, 2025, Casella Waste Systems announced the pricing of the remarketing of $37.5 million in New York State Environmental Facilities Corporation Solid Waste Disposal Revenue Bonds, originally issued in 2020. The remarketing, set for September 2, 2025, involves a new interest rate of 4.250% per annum and is aimed at qualified institutional buyers, with the bonds guaranteed by Casella’s subsidiaries.

The most recent analyst rating on (CWST) stock is a Hold with a $101.00 price target. To see the full list of analyst forecasts on Casella Waste stock, see the CWST Stock Forecast page.

Casella Waste Begins Remarketing $37.5M Bonds

On August 18, 2025, Casella Waste Systems, Inc. announced the commencement of remarketing $37.5 million of New York State Environmental Facilities Corporation Solid Waste Disposal Revenue Bonds, originally issued in 2020. The remarketing, expected to be effective on September 2, 2025, involves a mandatory tender and a new interest rate period, impacting the company’s financial strategy and market positioning.

The most recent analyst rating on (CWST) stock is a Hold with a $107.00 price target. To see the full list of analyst forecasts on Casella Waste stock, see the CWST Stock Forecast page.

Casella Waste Announces Leadership Transition with New CEO

On August 1, 2025, Casella Waste Systems announced a leadership transition with John W. Casella stepping down as CEO to become Executive Chairman, effective January 1, 2026. Edmond R. Coletta, the current President, will succeed him as CEO and join the Board as a Class II director. This transition marks a significant change in the company’s leadership, with Mr. Casella having been a pivotal figure in the company’s growth over the past 50 years. The appointment of Mr. Coletta, who has been with the company since 2004 and held various leadership roles, is expected to continue the company’s strategic development and commitment to sustainability and innovation.

The most recent analyst rating on (CWST) stock is a Hold with a $107.00 price target. To see the full list of analyst forecasts on Casella Waste stock, see the CWST Stock Forecast page.