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ACM vs. WM: A Head-to-Head Stock Comparison

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Here’s a clear look at ACM and WM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

WM’s market capitalization of 91.39 billion USD is significantly greater than ACM’s 15.31 billion USD, highlighting its more substantial market valuation.

With betas of 0.97 for ACM and 0.67 for WM, both stocks show similar sensitivity to overall market movements.

SymbolACMWM
Company NameAecomWaste Management, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryEngineering & ConstructionWaste Management
CEOW. Troy RuddJames C. Fish Jr.
Price115.75 USD227.1 USD
Market Cap15.31 billion USD91.39 billion USD
Beta0.970.67
ExchangeNYSENYSE
IPO DateMay 10, 2007June 22, 1988
ADRNoNo

Historical Performance

This chart compares the performance of ACM and WM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ACM vs. WM: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ACM

27.52%

Engineering & Construction Industry

Max
39.77%
Q3
28.08%
Median
13.64%
Q1
7.13%
Min
-14.48%

ACM’s Return on Equity of 27.52% is on par with the norm for the Engineering & Construction industry, indicating its profitability relative to shareholder equity is typical for the sector.

WM

33.09%

Waste Management Industry

Max
40.07%
Q3
22.07%
Median
11.65%
Q1
-3.10%
Min
-27.58%

In the upper quartile for the Waste Management industry, WM’s Return on Equity of 33.09% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ACM vs. WM: A comparison of their ROE against their respective Engineering & Construction and Waste Management industry benchmarks.

Return on Invested Capital

ACM

6.55%

Engineering & Construction Industry

Max
22.01%
Q3
12.65%
Median
8.09%
Q1
4.79%
Min
-2.53%

ACM’s Return on Invested Capital of 6.55% is in line with the norm for the Engineering & Construction industry, reflecting a standard level of efficiency in generating profits from its capital base.

WM

8.14%

Waste Management Industry

Max
9.07%
Q3
7.95%
Median
3.52%
Q1
1.30%
Min
-4.75%

In the upper quartile for the Waste Management industry, WM’s Return on Invested Capital of 8.14% signifies a highly effective use of its capital to generate profits when compared to its peers.

ACM vs. WM: A comparison of their ROIC against their respective Engineering & Construction and Waste Management industry benchmarks.

Net Profit Margin

ACM

3.85%

Engineering & Construction Industry

Max
11.23%
Q3
6.47%
Median
3.96%
Q1
2.79%
Min
-2.45%

ACM’s Net Profit Margin of 3.85% is aligned with the median group of its peers in the Engineering & Construction industry. This indicates its ability to convert revenue into profit is typical for the sector.

WM

11.67%

Waste Management Industry

Max
12.88%
Q3
11.97%
Median
6.76%
Q1
-0.76%
Min
-9.89%

WM’s Net Profit Margin of 11.67% is aligned with the median group of its peers in the Waste Management industry. This indicates its ability to convert revenue into profit is typical for the sector.

ACM vs. WM: A comparison of their Net Profit Margin against their respective Engineering & Construction and Waste Management industry benchmarks.

Operating Profit Margin

ACM

5.98%

Engineering & Construction Industry

Max
13.74%
Q3
8.50%
Median
6.20%
Q1
4.58%
Min
0.34%

ACM’s Operating Profit Margin of 5.98% is around the midpoint for the Engineering & Construction industry, indicating that its efficiency in managing core business operations is typical for the sector.

WM

17.97%

Waste Management Industry

Max
20.22%
Q3
13.63%
Median
7.87%
Q1
1.29%
Min
-5.01%

An Operating Profit Margin of 17.97% places WM in the upper quartile for the Waste Management industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ACM vs. WM: A comparison of their Operating Margin against their respective Engineering & Construction and Waste Management industry benchmarks.

Profitability at a Glance

SymbolACMWM
Return on Equity (TTM)27.52%33.09%
Return on Assets (TTM)5.24%6.01%
Return on Invested Capital (TTM)6.55%8.14%
Net Profit Margin (TTM)3.85%11.67%
Operating Profit Margin (TTM)5.98%17.97%
Gross Profit Margin (TTM)7.09%37.03%

Financial Strength

Current Ratio

ACM

--

Engineering & Construction Industry

Max
2.02
Q3
1.66
Median
1.38
Q1
1.24
Min
0.94

Current Ratio data for ACM is currently unavailable.

WM

0.83

Waste Management Industry

Max
2.37
Q3
1.98
Median
1.06
Q1
0.79
Min
0.66

WM’s Current Ratio of 0.83 aligns with the median group of the Waste Management industry, indicating that its short-term liquidity is in line with its sector peers.

ACM vs. WM: A comparison of their Current Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Debt-to-Equity Ratio

ACM

1.32

Engineering & Construction Industry

Max
1.76
Q3
0.91
Median
0.67
Q1
0.28
Min
0.01

ACM’s leverage is in the upper quartile of the Engineering & Construction industry, with a Debt-to-Equity Ratio of 1.32. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

WM

2.76

Waste Management Industry

Max
2.64
Q3
1.57
Median
1.12
Q1
0.87
Min
0.07

With a Debt-to-Equity Ratio of 2.76, WM operates with exceptionally high leverage compared to the Waste Management industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ACM vs. WM: A comparison of their D/E Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Interest Coverage Ratio

ACM

5.28

Engineering & Construction Industry

Max
20.20
Q3
11.91
Median
6.46
Q1
3.18
Min
-2.69

ACM’s Interest Coverage Ratio of 5.28 is positioned comfortably within the norm for the Engineering & Construction industry, indicating a standard and healthy capacity to cover its interest payments.

WM

5.88

Waste Management Industry

Max
6.06
Q3
5.49
Median
2.34
Q1
0.26
Min
-2.04

WM’s Interest Coverage Ratio of 5.88 is in the upper quartile for the Waste Management industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

ACM vs. WM: A comparison of their Interest Coverage against their respective Engineering & Construction and Waste Management industry benchmarks.

Financial Strength at a Glance

SymbolACMWM
Current Ratio (TTM)--0.83
Quick Ratio (TTM)--0.79
Debt-to-Equity Ratio (TTM)1.322.76
Debt-to-Asset Ratio (TTM)0.260.54
Net Debt-to-EBITDA Ratio (TTM)1.233.58
Interest Coverage Ratio (TTM)5.285.88

Growth

The following charts compare key year-over-year (YoY) growth metrics for ACM and WM. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ACM vs. WM: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ACM vs. WM: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ACM vs. WM: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ACM

0.86%

Engineering & Construction Industry

Max
1.31%
Q3
0.40%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 0.86%, ACM offers a more attractive income stream than most of its peers in the Engineering & Construction industry, signaling a strong commitment to shareholder returns.

WM

1.39%

Waste Management Industry

Max
1.38%
Q3
0.73%
Median
0.06%
Q1
0.00%
Min
0.00%

WM’s Dividend Yield of 1.39% is exceptionally high, placing it well above the typical range for the Waste Management industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

ACM vs. WM: A comparison of their Dividend Yield against their respective Engineering & Construction and Waste Management industry benchmarks.

Dividend Payout Ratio

ACM

20.16%

Engineering & Construction Industry

Max
32.30%
Q3
7.09%
Median
0.00%
Q1
0.00%
Min
0.00%

ACM’s Dividend Payout Ratio of 20.16% is in the upper quartile for the Engineering & Construction industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

WM

46.32%

Waste Management Industry

Max
49.31%
Q3
43.13%
Median
17.31%
Q1
0.26%
Min
0.00%

WM’s Dividend Payout Ratio of 46.32% is in the upper quartile for the Waste Management industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ACM vs. WM: A comparison of their Payout Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Dividend at a Glance

SymbolACMWM
Dividend Yield (TTM)0.86%1.39%
Dividend Payout Ratio (TTM)20.16%46.32%

Valuation

Price-to-Earnings Ratio

ACM

24.84

Engineering & Construction Industry

Max
95.41
Q3
56.70
Median
32.28
Q1
22.94
Min
4.72

ACM’s P/E Ratio of 24.84 is within the middle range for the Engineering & Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

WM

34.15

Waste Management Industry

Max
76.31
Q3
66.40
Median
35.51
Q1
32.40
Min
9.07

WM’s P/E Ratio of 34.15 is within the middle range for the Waste Management industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ACM vs. WM: A comparison of their P/E Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Forward P/E to Growth Ratio

ACM

2.51

Engineering & Construction Industry

Max
4.99
Q3
3.64
Median
2.51
Q1
1.64
Min
0.03

The Forward PEG Ratio is often not a primary valuation metric in the Engineering & Construction industry.

WM

4.12

Waste Management Industry

Max
6.52
Q3
4.74
Median
2.97
Q1
0.85
Min
0.06

WM’s Forward PEG Ratio of 4.12 is within the middle range of its peers in the Waste Management industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ACM vs. WM: A comparison of their Forward PEG Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Price-to-Sales Ratio

ACM

0.95

Engineering & Construction Industry

Max
3.34
Q3
2.05
Median
1.50
Q1
0.83
Min
0.44

ACM’s P/S Ratio of 0.95 aligns with the market consensus for the Engineering & Construction industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

WM

3.99

Waste Management Industry

Max
5.29
Q3
4.49
Median
3.59
Q1
1.82
Min
0.31

WM’s P/S Ratio of 3.99 aligns with the market consensus for the Waste Management industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ACM vs. WM: A comparison of their P/S Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Price-to-Book Ratio

ACM

6.71

Engineering & Construction Industry

Max
10.70
Q3
7.33
Median
4.69
Q1
2.53
Min
0.79

ACM’s P/B Ratio of 6.71 is within the conventional range for the Engineering & Construction industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

WM

10.56

Waste Management Industry

Max
10.62
Q3
6.13
Median
4.78
Q1
2.85
Min
1.68

WM’s P/B Ratio of 10.56 is in the upper tier for the Waste Management industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ACM vs. WM: A comparison of their P/B Ratio against their respective Engineering & Construction and Waste Management industry benchmarks.

Valuation at a Glance

SymbolACMWM
Price-to-Earnings Ratio (P/E, TTM)24.8434.15
Forward PEG Ratio (TTM)2.514.12
Price-to-Sales Ratio (P/S, TTM)0.953.99
Price-to-Book Ratio (P/B, TTM)6.7110.56
Price-to-Free Cash Flow Ratio (P/FCF, TTM)18.3149.75
EV-to-EBITDA (TTM)14.5117.44
EV-to-Sales (TTM)1.045.02