Waste Management (WM) is emerging as a compelling buy-on-the-dip candidate, especially as growth stocks, including AI names, have seen significant pullbacks in 2026. Despite a modest 3.5% decline over the past month, WM remains only 5.1% below its 52-week high, suggesting that investors may want to act before a deeper dip occurs. The company has consistently outperformed the industrial sector and the S&P 500, driven by strong fundamentals and a robust revenue trajectory, with last year’s figures reaching $25.2 billion, up from $14.91 billion in 2018.
WM’s strategic focus on recycling and renewable natural gas positions it well against competitors facing challenges in construction and industrial volumes. While the company carries $23.4 billion in debt, its leverage ratio is expected to improve, and it projects generating up to $19 billion in free cash flow through 2029. With a new $3 billion share repurchase program and a history of increasing dividends, WM presents a solid opportunity for long-term investors looking for stability in the current market landscape.
Source: fool.com