📊 WCN Key Takeaways
Is Waste Connections, Inc. (WCN) a Good Investment?
WCN exhibits stable operational performance with strong free cash flow generation ($249M, 10.5% margin) and solid operating margins (15.4%), reflecting a defensible waste management business. However, fundamentals are concerning: flat revenue and earnings growth, very weak capital returns (ROE 2.7%, ROA 1.0%), elevated leverage (Debt/Equity 1.13x), and liquidity constraints (Current Ratio 0.69x) limit upside potential and create refinancing risk.
Why Buy Waste Connections, Inc. Stock? WCN Key Strengths
- Strong free cash flow generation ($249M annually) and high conversion of revenue to operating cash flow ($545.6M)
- Solid operating margins (15.4%) and stable profitability (9.3% net margin) in defensive waste services industry
- Recurring revenue business model with essential services provides revenue stability and predictability
WCN Stock Risks: Waste Connections, Inc. Investment Risks
- Zero revenue and net income growth (0.0% YoY) indicates stalled organic growth and market maturity
- Extremely weak capital efficiency with ROE of 2.7% and ROA of 1.0% despite $21.2B in total assets
- Liquidity stress with Current Ratio of 0.69x and only $112.4M cash against $9.1B long-term debt; interest coverage of 4.6x provides limited cushion
Key Metrics to Watch
- Revenue growth rate and organic growth drivers (acquisitions masking stagnation)
- Free cash flow sustainability and capital allocation decisions (debt paydown vs. shareholder returns)
- Debt-to-EBITDA ratio and refinancing obligations given tight liquidity position
- Operating margin trajectory (monitor for margin compression or cost pressures)
- Working capital trends and current ratio improvement
Waste Connections, Inc. (WCN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
WCN Profit Margin, ROE & Profitability Analysis
WCN vs Market Sector: How Waste Connections, Inc. Compares
How Waste Connections, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Waste Connections, Inc. Stock Overvalued? WCN Valuation Analysis 2026
Based on fundamental analysis, Waste Connections, Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Waste Connections, Inc. Balance Sheet: WCN Debt, Cash & Liquidity
WCN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Waste Connections, Inc.'s revenue has grown significantly by 54% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.95 reflects profitable operations.
WCN Revenue Growth, EPS Growth & YoY Performance
WCN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $2.2B | N/A | $0.86 |
| Q3 2025 | $2.3B | $286.3M | $1.11 |
| Q2 2025 | $2.2B | $275.5M | $1.07 |
| Q1 2025 | $2.1B | $230.1M | $0.89 |
| Q3 2024 | $2.1B | $229.0M | $0.89 |
| Q2 2024 | $2.0B | $209.2M | $0.81 |
| Q1 2024 | $1.9B | $197.8M | $0.77 |
| Q3 2023 | $1.9B | $229.0M | $0.89 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Waste Connections, Inc. Dividends, Buybacks & Capital Allocation
WCN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Waste Connections, Inc. (CIK: 0001318220)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WCN
What is the AI rating for WCN?
Waste Connections, Inc. (WCN) has an AI rating of HOLD with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WCN's key strengths?
Claude: Strong free cash flow generation ($249M annually) and high conversion of revenue to operating cash flow ($545.6M). Solid operating margins (15.4%) and stable profitability (9.3% net margin) in defensive waste services industry.
What are the risks of investing in WCN?
Claude: Zero revenue and net income growth (0.0% YoY) indicates stalled organic growth and market maturity. Extremely weak capital efficiency with ROE of 2.7% and ROA of 1.0% despite $21.2B in total assets.
What is WCN's revenue and growth?
Waste Connections, Inc. reported revenue of $2.4B.
Does WCN pay dividends?
Waste Connections, Inc. pays dividends, with $88.7M distributed to shareholders in the trailing twelve months.
Where can I find WCN SEC filings?
Official SEC filings for Waste Connections, Inc. (CIK: 0001318220) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WCN's EPS?
Waste Connections, Inc. has a diluted EPS of $0.86.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is WCN a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Waste Connections, Inc. has a HOLD rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is WCN stock overvalued or undervalued?
Valuation metrics for WCN: ROE of 2.7% (sector avg: 15%), net margin of 9.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy WCN stock in 2026?
Our dual AI analysis gives Waste Connections, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WCN's free cash flow?
Waste Connections, Inc.'s operating cash flow is $545.6M, with capital expenditures of $296.6M. FCF margin is 10.5%.
How does WCN compare to other Market stocks?
Vs Default sector averages: Net margin 9.3% (avg: 12%), ROE 2.7% (avg: 15%), current ratio 0.69 (avg: 1.8).