Waste Management, Inc. WM

Competitive advantage analysis · industrials

Corporate Default
Overall moat score
81/100
Strong

About Waste Management, Inc.

Waste Management, Inc., through its subsidiaries, provides environmental solutions to residential, commercial, industrial, and municipal customers in the United States, Canada, Western Europe, and internationally. It offers collection services, including picking up and transporting waste and recyclable materials from where it was generated to a transfer station, recovery facility, or disposal site; owns and operates transfer stations; and owns, develops, … Full WM analysis →

Competitive advantage assessment

Key strengths

  • Margins Stable Across Cycles Operating margin volatility is low (stability score 1.00), demonstrating pricing resilience across cycles.
  • ROIC Sustainably Above Peers ROIC at 94.1th percentile exceeds peers and WACC, demonstrating superior capital allocation.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Strong
91

Where WM ranks in Waste Management

Waste Management, Inc. ranks #2 of 19 scored companies in Waste Management by moat score — the top 11%. The widest moat in the group is Republic Services, Inc. (RSG) at 88/100.

Moat scores for companies ranked near WM in Waste Management
# Company Moat score Rating
1 Republic Services, Inc. RSG 88/100 Strong
2 Waste Management, Inc. WM 81/100 Strong
3 Waste Connections, Inc. WCN 79/100 Strong
4 Clean Harbors, Inc. CLH 77/100 Strong
5 Casella Waste Systems, Inc. CWST 62/100 Moderate
6 Avalon Holdings Corporation AWX 61/100 Moderate
7 GFL Environmental Inc. Subordin GFL 59/100 Moderate
8 Montrose Environmental Group, I MEG 52/100 Moderate
9 Quest Resource Holding Corporat QRHC 46/100 Developing

See every General Corporate company ranked by moat score →

How WM scores on the Corporate Default defenses

Pricing Power

Score 90 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 88 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 85 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 85 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 59 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 72 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding WM's moat

What is Waste Management, Inc.'s moat score?

Waste Management, Inc. (WM) scores 81 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as strong. It ranks #2 of 19 scored companies in Waste Management, the top 11%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 18 companies in Waste Management. Its strongest defense is Pricing Power (90/100) and its weakest is Resilience (59/100).

How does Waste Management, Inc. compare with other Waste Management companies?

Waste Management, Inc. ranks #2 of 19 scored companies in Waste Management by moat score. The widest moat in Waste Management is Republic Services, Inc. (RSG) at 88/100. The companies ranked closest are Republic Services, Inc. (RSG) at 88 just above it and Waste Connections, Inc. (WCN) at 79 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 18 companies in Waste Management. The defenses are then weighted to produce the overall score out of 100.

Why is Waste Management, Inc. scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Waste Management, Inc.?

The Corporate Default template measures 6 defenses, and WM scores: Pricing Power (90), Cost Advantage (88), Customer Stickiness (85), Capital Efficiency (85), Resilience (59), Scale & Market Position (72). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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