TSE:WCN

Waste Connections (WCN.TO)

216.40
+2.33 (1.09%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
282 watching
0
Investor Insights
star iconJun 5, 2026, 12:00 am

This summary was created by AI, based on 14 opinions in the last 12 months.

Waste Connections (WCN) is regarded as a fundamentally solid company within the waste management sector, characterized by steady earnings and growth potential. Despite its strong operational track record and disciplined management, the stock is seen as expensive, trading at a forward PE of 27x, which has made some investors cautious. Analysts agree that while WCN has avenues for growth through acquisitions and a solid market position, the current market sentiments lean towards finding more exciting investment opportunities. The potential for double-digit earnings growth and the company’s commitment to employee safety and solid cash flows provides a robust long-term investment case, yet, the stock has been facing downward pressure partly due to challenges like environmental concerns and rising fuel costs. Overall, while potentially offering good long-term returns through stability, there's a consensus that it may be best to seek a pullback before entering a position.

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Consensus
Hold
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Valuation
Overvalued
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WM
TOP PICK
2nd largest player in Canada and 5th in North America. Issues with shorter life in their landfills should be resolved. Good history of increased distributions.
COMMENT
A great business with the ability to pass on price increases. Payout ratio of about 94%.
BUY
A core position in her funds. A great business. Good management. Have achieved 7%-9% organic growth over the last 3 or 4 years.
BUY
6th largest solid waste management company in North America. Have recovered quite nicely. Coming off very strong Q3 results. Expect they can grow quite nicely organically. Will benefit from a strengthening US$.
TOP PICK
A very defensive name. Garbage disposal. In five provinces of Canada and have expanded into the US. About 60% of their revenues and cash flow comes from the US now.
BUY
A good name to hold. Has possibilities to do some interesting things. 60% of its EBITDA comes from the US. Stable and good management.
TOP PICK
(A Top Pick June 23/06. Down 7.2%.) A good quality business trust. 4th or 5th largest waste management in North America. Q3 numbers show a 12% increase in Canada and 10% in the US.
PAST TOP PICK
(A Top Pick July 6/06. Up 7.8%.) Yields about 6%. The ideal business trust because of high barriers to entry, experienced management.
PAST TOP PICK
(A Top Pick May 5/06. Up 8.7%.) A quality name in the business trust area. Pretty fully valued at this point. Should continue to deliver pretty good growth.
PAST TOP PICK
(A Top Pick June 20/06. Up 13% plus the dividend.) A good solid business.
PAST TOP PICK
(A Top Pick July 6/06. Up 6.2%.) Nothing can be more boring, but stable, then hauling trash. Would still buy.
TOP PICK
(A Top Pick Dec 2/05. Down 4%.) In an economy where there may be some de-acceleration of earnings, this is a defensive holding. Is good at making acquisitions. Good landfill holdings.
TOP PICK
They have landfill capacity. Made a big acquisition in eastern US. Earnings were up 14%. A nice, stable, defensive, boring business. An ideal business as an income trust.
BUY
Has been flat for most of the year. Payout ratio has gone down and he expects distribution increases. Acquired the Ridge Landfill in Ontario and may be the only one that could be a solution for Toronto’s garbage problem. This could give a nice increase in cash flows.
BUY
Payout ratio is reasonable at 85%. Recession resistant business. Management has done a great job in acquiring/expanding landfill sites. Organic growth is good at around 6%. Made a big US acquisition and have integrated it extraordinarily well. Hedged their US currency exposure.
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