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DCF valuation

What is Waste Management Inc worth?

With the base-case assumptions below, a discounted cash flow model on Waste Management Inc's reported free cash flow gives $172.70 per share. The share price was $236.83 on November 10, 2026, 37% above that value.

Inputs from the filings

Free cash flow, fiscal 2025
$2.82B
Average free cash flow, last 5 years
$2.17B
Cash
$247M
balance sheet of September 30, 2026
Debt
$1.52B
balance sheet of September 30, 2026
Diluted shares, fiscal 2025
404,200,000
Revenue growth per year, last 5 years
10.6%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear5.5%4.0%2.0%10.0%$106.05-55%
Base10.5%6.5%2.5%9.0%$172.70-27%
Bull15.5%9.5%3.0%8.0%$305.54+29%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$223.12$238.67$257.68$281.44$311.98
8.0%$185.37$195.45$207.37$221.68$239.16
9.0%$157.84$164.74$172.70$181.98$192.95
10.0%$136.92$141.83$147.38$153.73$161.06
11.0%$120.51$124.10$128.12$132.64$137.77

Where the presets come from

Base: years 1 to 5 grow at Waste Management Inc's revenue growth rate over the last 5 fiscal years (10.6% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Waste Management Inc company page