Latest Ratios: P/E Ratio 37.2x · EV/EBITDA 16.4x · ROE 13.4%. (1997–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $39.2B | $45.0B | $44.4B | $38.5B | $34.2B | $35.7B | $27.0B | $24.0B | $19.6B | $18.7B | $12.1B |
| Enterprise Value | $48.5B | $54.3B | $52.7B | $45.5B | $41.2B | $40.7B | $31.3B | $28.2B | $23.5B | $22.2B | $15.6B |
| P/E Ratio → | 37.18 | 41.95 | 71.79 | 50.60 | 40.91 | 57.74 | 131.50 | 41.46 | 35.87 | 32.54 | 48.96 |
| P/S Ratio | 4.12 | 4.73 | 4.98 | 4.80 | 4.74 | 5.80 | 4.97 | 4.46 | 3.99 | 4.05 | 3.59 |
| P/B Ratio | 4.84 | 5.46 | 5.65 | 5.01 | 4.81 | 5.10 | 3.94 | 3.46 | 3.04 | 2.99 | 2.14 |
| P/FCF | 32.12 | 36.87 | 37.84 | 32.30 | 30.82 | 37.39 | 36.35 | 27.46 | 22.69 | 26.48 | 26.87 |
| P/OCF | 16.23 | 18.63 | 19.91 | 18.12 | 16.91 | 21.00 | 19.20 | 15.59 | 13.91 | 15.79 | 15.22 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 5.72 | 5.91 | 5.67 | 5.72 | 6.62 | 5.75 | 5.24 | 4.77 | 4.80 | 4.61 |
| EV / EBITDA | 16.39 | 18.35 | 23.62 | 20.31 | 19.08 | 21.99 | 26.89 | 17.85 | 15.51 | 17.65 | 16.99 |
| EV / EBIT | 28.17 | 30.65 | 42.99 | 33.88 | 32.53 | 37.79 | 37.06 | 32.78 | 26.88 | 29.71 | 27.27 |
| EV / FCF | — | 44.54 | 44.94 | 38.13 | 37.15 | 42.70 | 42.10 | 32.29 | 27.13 | 31.40 | 34.56 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 39.0% | 39.0% | 41.8% | 40.9% | 39.9% | 40.6% | 39.8% | 40.6% | 41.8% | 41.6% | 42.0% |
| Operating Margin | 18.1% | 18.1% | 12.0% | 15.4% | 17.2% | 16.9% | 7.6% | 15.5% | 16.9% | 13.5% | 13.4% |
| Net Profit Margin | 11.4% | 11.4% | 6.9% | 9.5% | 11.6% | 10.0% | 3.8% | 10.5% | 11.1% | 12.5% | 7.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 13.4% | 13.4% | 7.9% | 10.3% | 11.8% | 8.9% | 3.0% | 8.5% | 8.6% | 9.7% | 6.4% |
| ROA | 5.3% | 5.3% | 3.3% | 4.4% | 5.3% | 4.3% | 1.5% | 4.3% | 4.4% | 5.0% | 3.0% |
| ROIC | 7.7% | 7.7% | 5.2% | 6.4% | 7.1% | 6.7% | 2.8% | 5.9% | 6.2% | 5.0% | 5.1% |
| ROCE | 9.3% | 9.3% | 6.2% | 7.8% | 8.5% | 7.9% | 3.2% | 6.8% | 7.3% | 5.8% | 6.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.14 | 1.14 | 1.07 | 0.91 | 1.00 | 0.75 | 0.71 | 0.65 | 0.64 | 0.62 | 0.64 |
| Debt / EBITDA | 3.17 | 3.17 | 3.76 | 3.14 | 3.28 | 2.81 | 4.20 | 2.87 | 2.75 | 3.11 | 3.95 |
| Net Debt / Equity | — | 1.14 | 1.06 | 0.90 | 0.99 | 0.72 | 0.62 | 0.61 | 0.59 | 0.55 | 0.61 |
| Net Debt / EBITDA | 3.16 | 3.16 | 3.73 | 3.10 | 3.25 | 2.73 | 3.67 | 2.67 | 2.54 | 2.76 | 3.78 |
| Debt / FCF | — | 7.67 | 7.10 | 5.82 | 6.32 | 5.31 | 5.75 | 4.82 | 4.43 | 4.91 | 7.69 |
| Interest Coverage | 5.34 | 5.34 | 4.20 | 5.17 | 6.32 | 5.94 | 4.66 | 6.04 | 6.96 | 5.90 | 6.72 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.62 | 0.62 | 0.65 | 0.68 | 0.74 | 0.84 | 1.37 | 1.12 | 1.23 | 1.47 | 1.07 |
| Quick Ratio | 0.58 | 0.58 | 0.62 | 0.64 | 0.70 | 0.80 | 1.33 | 1.12 | 1.23 | 1.47 | 1.07 |
| Cash Ratio | 0.02 | 0.02 | 0.03 | 0.05 | 0.05 | 0.12 | 0.60 | 0.32 | 0.36 | 0.54 | 0.22 |
| Asset Turnover | — | 0.45 | 0.45 | 0.45 | 0.42 | 0.42 | 0.39 | 0.39 | 0.39 | 0.39 | 0.30 |
| Inventory Turnover | 73.68 | 73.68 | 72.96 | 76.93 | 78.57 | 82.56 | 89.22 | — | — | — | — |
| Days Sales Outstanding | — | 41.00 | 39.80 | 40.27 | 44.38 | 45.74 | 45.60 | 44.90 | 45.19 | 43.71 | 52.45 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.8% | 0.7% | 0.7% | 0.7% | 0.7% | 0.6% | 0.7% | 0.7% | 0.8% | 0.7% | 0.8% |
| Payout Ratio | 30.9% | 30.9% | 48.9% | 35.5% | 29.1% | 35.6% | 97.7% | 30.9% | 27.9% | 22.9% | 37.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.7% | 2.4% | 1.4% | 2.0% | 2.4% | 1.7% | 0.8% | 2.4% | 2.8% | 3.1% | 2.0% |
| FCF Yield | 3.1% | 2.7% | 2.6% | 3.1% | 3.2% | 2.7% | 2.8% | 3.6% | 4.4% | 3.8% | 3.7% |
| Buyback Yield | 1.3% | 1.1% | 0.0% | 0.0% | 1.2% | 1.0% | 0.4% | 0.0% | 0.3% | 0.0% | 0.0% |
| Total Shareholder Yield | 2.1% | 1.9% | 0.7% | 0.7% | 2.0% | 1.6% | 1.1% | 0.7% | 1.1% | 0.7% | 0.8% |
| Shares Outstanding | — | $256M | $259M | $258M | $258M | $262M | $264M | $265M | $264M | $264M | $231M |
Includes 30+ ratios · 29 years · Updated daily
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Quick answers to the most common questions about buying WCN stock.
Waste Connections, Inc.'s current P/E ratio is 37.2x. The historical average is 42.7x. This places it at the 63th percentile of its historical range.
Waste Connections, Inc.'s current EV/EBITDA is 16.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 16.9x.
Waste Connections, Inc.'s return on equity (ROE) is 13.4%. The historical average is 6.0%.
Based on historical data, Waste Connections, Inc. is trading at a P/E of 37.2x. This is at the 63th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Waste Connections, Inc.'s current dividend yield is 0.84% with a payout ratio of 30.9%.
Waste Connections, Inc. has 39.0% gross margin and 18.1% operating margin. Operating margin between 10-20% is typical for established companies.
Waste Connections, Inc.'s Debt/EBITDA ratio is 3.2x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Chiquita Canyon cost overruns
Metrics are mathematically derived from official filings.
Premium Multiple Justified by Pricing Power
WCN trades at 40x trailing earnings and 17.4x EV/EBITDA, a premium to WM and RSG, as per reported multiples, suggesting the market prices in superior organic growth and margin durability.
The forward P/E of 29.9 implies the market expects earnings growth to normalize toward mid-teens, consistent with the company's historical ability to outpace inflation with price increases. The PEG of 1.0 indicates the premium is balanced against expected growth, but investors should monitor whether the premium compresses if organic growth decelerates further from the 6.5% reported in Q2 2026.
Gross Margin Stability Masks Operating Pressure
Gross margin held near 42% in Q2 2026, as reported, but operating margin slipped to 17.1% from 20.3% a year earlier, suggesting SG&A and Chiquita Canyon costs are eroding operating leverage.
The stability of gross margin indicates strong pricing power in secondary markets, yet the 310 basis point operating margin contraction over four quarters implies that cost pressures, particularly labor and remediation, are not fully passed through. Net margin of 11.6% remains healthy, but the trend warrants monitoring as the company's guidance raise suggests management expects improvement in the back half.
ROIC Compresses on Acquisition-Driven Growth
ROIC has declined from 2.2% in Q3 2024 to 1.9% in Q2 2026, based on reported quarterly figures, as debt-funded acquisitions expand the capital base faster than operating income grows.
The sub-2% quarterly ROIC, annualized to roughly 8%, is below the cost of capital, suggesting that recent M&A may be dilutive to returns in the near term. However, the company's strategy of acquiring small haulers at 6-8x EBITDA and integrating them into a platform trading at 17x EV/EBITDA should eventually lift returns if synergies materialize. Investors should track ROIC over a longer horizon to assess whether the acquisition engine is value-accretive.
Working Capital Efficiency Offsets Capital Intensity
DSO improved to 37 days in Q2 2026 from 40 days a year earlier, as per reported data, while DPO rose to 46 days, indicating the company is collecting faster and stretching payables, supporting cash flow.
The negative cash conversion cycle, when DIO is available, reflects a business that collects from customers before paying suppliers, a structural advantage in a recurring revenue model. Asset turnover of 0.12x is low due to the heavy landfill and goodwill base, but this is typical for the industry and should be evaluated against the high margins and cash conversion rather than in isolation.
Debt Creeps Higher but Coverage Remains Adequate
D/E rose to 1.21 in Q2 2026 from 1.04 a year earlier, as reported, while interest coverage of 5.2x remains comfortable, though D/EBITDA of 12.6x appears elevated and warrants scrutiny.
The increase in leverage reflects debt-funded tuck-in acquisitions, but the interest coverage ratio suggests that earnings comfortably service interest expense. The D/EBITDA figure of 12.6x is distorted by the depressed EBITDA in Q4 2024; on a trailing basis, it is likely closer to 3x, which is in line with peers. Investors should monitor the trajectory of leverage as the company continues its M&A strategy, especially if acquisition multiples rise.
Thin Liquidity Buffered by Strong Cash Generation
Current ratio of 0.67 in Q2 2026, as reported, indicates limited short-term liquidity, but operating cash flow consistently exceeds net income, providing a buffer that the balance sheet does not reflect.
The low current ratio is typical for the waste industry, where companies operate with minimal working capital due to efficient collections and payables management. The 40.2% FCF margin in Q2 2026, though volatile, demonstrates the company's ability to generate cash to fund capex and acquisitions. However, the thin cash balance of $98M leaves little room for unexpected cash needs, so investors should monitor the sustainability of cash conversion.
Misapplied Metric: Debt-to-Equity
The reported D/E of 1.21 understates true leverage because it excludes operating lease liabilities and off-balance-sheet obligations, as per financial statements, making it a misleading gauge of WCN's financial risk.
In a capital-intensive business with significant landfill retirement obligations and operating leases, D/E fails to capture the full extent of fixed commitments. A more appropriate metric is net debt to EBITDA, which, when adjusted for leases and LRO, likely exceeds the reported 3x and better reflects the company's ability to service debt from cash flows. Investors should use EV/EBITDA and interest coverage in conjunction with D/E to assess leverage accurately.