SECURE Waste Infrastructure (SES) AI Stock Analysis

• Market Cap: C$3.71B
• Dividend Yield: 2.27%
• Average Volume (3M): 978.46K
• Price to Earnings (P/E): 38.1
• Beta (1Y): 1.41
• Revenue Growth: -1.47%
• EPS Growth: -79.68%
• Country: CA
• Employees: 1,817
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 0.00
• Shares Outstanding: 218,302,640
• 10 Day Avg. Volume: 1,130,078
• 30 Day Avg. Volume: 978,461
• PEG Ratio: 0.03
• Price to Book (P/B): 3.73
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 10.72
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$20.86
• Price Target Upside: 22.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: C$18.00 ▲(5.88% Upside)

The overall stock score of 61 reflects mixed financial performance and weak technical indicators, partially offset by strategic adaptability and stable cash flows highlighted in the earnings call. The stock's valuation suggests it may be overvalued, adding to the cautious outlook.

Positive Factors

Strategic Infrastructure Investments

Investments in long-cycle infrastructure projects, backed by 10-year agreements, promise stable cash flows and growth, enhancing SES's market position.

Cash Flow Stability

A high percentage of recurring EBITDA ensures predictable cash flows, supporting SES's financial stability and capacity to invest in growth opportunities.

Strategic Adaptability

SES's ability to adapt to market changes by redirecting shipments demonstrates strategic flexibility, crucial for long-term resilience and competitiveness.

Negative Factors

Revenue Decline

A decline in revenue, particularly from lower specialty chemical sales, indicates potential challenges in maintaining growth and market share.

Metal Recycling Challenges

Ongoing challenges in the metal recycling segment due to tariffs and weak demand could impact SES's profitability and require strategic adjustments.

Guidance Revision

Lowered EBITDA guidance reflects market challenges, potentially affecting investor confidence and SES's ability to meet financial targets.

SECURE Waste Infrastructure Business Overview & Revenue Model

Company Description

Secure Waste Infrastructure Corp., an energy services company, provides solutions to upstream oil and natural gas companies operating primarily in Western Canadian Sedimentary Basin and the United States. It operates through two segments, Midstream Infrastructure, and Environmental and Fluid Management. The company's Midstream Infrastructure segment provides services, such as clean oil terminalling, rail transloading, pipeline transportation, marketing and custom treating of crude oil, produced and waste water disposal, oilfield waste processing, and purchase/resale of oil services through its full service terminals, rail facilities, crude oil pipelines, crude oil terminalling facilities, water disposal facilities, and landfills. The Environmental and Fluid Management segment includes a network of owned, operated, and marketed industrial landfills, hazardous and non-hazardous waste management and disposal, onsite abandonment, and environmental solutions for site remediation and reclamation, bio-remediation, water treatment and recycling, emergency response, rail, and metal recycling services, as well as offers fluid management for drilling, completion, and production operations for oil and gas producers. This segment also designs and implements drilling fluid systems for producers drilling for oil, bitumen, and natural gas; provides naturally occurring radioactive material management services, as well as equipment and chemical solutions that optimize well production. Secure Energy Services Inc. is headquartered in Calgary, Canada.

How the Company Makes Money

SES generates revenue through multiple channels, including service fees for waste collection and disposal, recycling operations, and landfill operations. The company charges municipalities and businesses for waste management services, which includes regular collection schedules and on-demand services. Additionally, SES profits from the sale of recycled materials and byproducts generated from its recycling facilities. Strategic partnerships with local governments and industries enhance its revenue streams, as SES often enters long-term contracts for waste management services, providing a stable income base. Furthermore, SES may benefit from government incentives and grants aimed at promoting sustainable waste management practices, contributing to its overall earnings.

SECURE Waste Infrastructure Financial Statement Overview

Summary

SECURE Waste Infrastructure shows strong revenue growth and improved profitability, with a significant reduction in debt-to-equity ratio and robust cash flow generation. However, there are areas for cost optimization, particularly in managing gross profit margins.

Income Statement

SECURE Waste Infrastructure has shown consistent revenue growth over the years, with a notable increase of 2.12% in the latest year. The company has improved its profitability, as evidenced by a net profit margin increase to 5.45% from 2.37% the previous year. However, the gross profit margin has decreased, indicating potential cost management issues. Overall, the company demonstrates strong growth and improving profitability, but there are areas for cost optimization.

Balance Sheet

The company has significantly reduced its debt-to-equity ratio from 0.93 to 0.44, indicating improved financial stability and reduced leverage risk. Return on equity has increased to 55.85%, showcasing efficient use of equity to generate profits. The equity ratio remains stable, reflecting a balanced capital structure. While the reduction in debt is a positive sign, maintaining this trajectory will be crucial for long-term stability.

Cash Flow

SECURE Waste Infrastructure has shown strong cash flow performance, with a 42.35% increase in free cash flow, indicating robust cash generation capabilities. The operating cash flow to net income ratio is healthy, suggesting efficient conversion of income into cash. The free cash flow to net income ratio is also strong, highlighting effective cash management. The company is well-positioned to support its operations and growth initiatives with its cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.20B	10.67B	8.24B	8.00B	3.77B	1.82B
Gross Profit	394.00M	405.00M	491.00M	470.00M	187.00M	36.00M
EBITDA	384.00M	941.00M	556.00M	527.00M	-40.00M	60.00M
Net Income	104.00M	582.00M	195.00M	184.00M	-203.00M	-85.00M
Balance Sheet
Total Assets	2.54B	2.28B	2.84B	2.84B	2.94B	1.38B
Cash, Cash Equivalents and Short-Term Investments	24.00M	26.00M	12.00M	12.00M	10.00M	7.00M
Total Debt	1.01B	454.00M	1.10B	1.03B	1.32B	434.00M
Total Liabilities	1.77B	1.24B	1.66B	1.57B	1.83B	659.00M
Stockholders Equity	776.00M	1.04B	1.19B	1.27B	1.11B	687.00M
Cash Flow
Free Cash Flow	102.00M	363.00M	227.00M	315.00M	14.00M	78.00M
Operating Cash Flow	301.00M	497.00M	430.00M	411.00M	57.00M	149.00M
Investing Cash Flow	-314.00M	954.00M	-155.00M	-58.00M	-43.00M	-58.00M
Financing Cash Flow	21.00M	-1.44B	-272.00M	-346.00M	-9.00M	-92.00M

SECURE Waste Infrastructure Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SES, the sentiment is Positive. The current price of 17 is below the 20-day moving average (MA) of 17.12, below the 50-day MA of 17.48, and above the 200-day MA of 16.20, indicating a neutral trend. The MACD of -0.23 indicates Negative momentum. The RSI at 49.33 is Neutral, neither overbought nor oversold. The STOCH value of 71.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SES.

SECURE Waste Infrastructure Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WCN	75 Outperform	C$59.08B	67.45	7.61%	0.75%	10.49%	-32.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
SES	61 Neutral	C$3.71B	38.12	11.37%	2.27%	-1.47%	-79.68%
GFL	57 Neutral	C$21.27B	-13.43	<0.01%	0.14%	-10.87%	-168.62%
BLM	54 Neutral	C$81.72M	-118.55	-3.01%	―	63.49%	-133.70%
ANRG	54 Neutral	C$428.38M	-17.10	―	―	28.43%	80.34%

SECURE Waste Infrastructure Corporate Events

SECURE Waste Infrastructure Completes $300 Million Note Financing

SECURE Waste Infrastructure Corp. has successfully closed a $300 million private placement of 5.75% senior unsecured notes due in 2032. The proceeds from this offering will be used to repay existing debt and for general corporate purposes, potentially strengthening the company’s financial position and operational capabilities. This move is expected to have implications for SECURE’s market positioning, as it may enhance their ability to manage financial obligations and invest in future growth opportunities.

The most recent analyst rating on (TSE:SES) stock is a Hold with a C$21.50 price target. To see the full list of analyst forecasts on SECURE Waste Infrastructure stock, see the TSE:SES Stock Forecast page.

SECURE Waste Infrastructure Announces $300 Million Note Financing

SECURE Waste Infrastructure Corp. announced a $300 million senior unsecured note financing through a private placement, underwritten by major financial institutions. The proceeds will be used to repay existing debt and for general corporate purposes, potentially strengthening the company’s financial position and operational capabilities.

The most recent analyst rating on (TSE:SES) stock is a Hold with a C$21.50 price target. To see the full list of analyst forecasts on SECURE Waste Infrastructure stock, see the TSE:SES Stock Forecast page.

SECURE Waste Infrastructure Corp. Reports Strong Q3 2025 Results and Positive Outlook

SECURE Waste Infrastructure Corp. reported a third-quarter Adjusted EBITDA of $135 million, reflecting a 17% increase per share from the previous year. Despite a slight revenue decrease due to reduced drilling activity, the company expects solid growth in 2026, driven by strategic infrastructure projects and market repositioning. The company also maintained its financial flexibility and continued its capital allocation strategy, including share repurchases and dividends.

The most recent analyst rating on (TSE:SES) stock is a Buy with a C$22.00 price target. To see the full list of analyst forecasts on SECURE Waste Infrastructure stock, see the TSE:SES Stock Forecast page.