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

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Here’s a clear look at AME 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 AME’s 42.53 billion USD, highlighting its more substantial market valuation.

AME’s beta of 1.11 points to significantly higher volatility compared to WM (beta: 0.67), suggesting AME has greater potential for both gains and losses relative to market movements.

SymbolAMEWM
Company NameAMETEK, Inc.Waste Management, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryIndustrial - MachineryWaste Management
CEODavid A. ZapicoJames C. Fish Jr.
Price184.19 USD227.1 USD
Market Cap42.53 billion USD91.39 billion USD
Beta1.110.67
ExchangeNYSENYSE
IPO DateJuly 19, 1984June 22, 1988
ADRNoNo

Historical Performance

This chart compares the performance of AME 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.

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

Profitability

Return on Equity

AME

14.75%

Industrial - Machinery Industry

Max
36.51%
Q3
18.65%
Median
12.08%
Q1
4.75%
Min
-15.57%

AME’s Return on Equity of 14.75% is on par with the norm for the Industrial - Machinery 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.

AME vs. WM: A comparison of their ROE against their respective Industrial - Machinery and Waste Management industry benchmarks.

Return on Invested Capital

AME

11.22%

Industrial - Machinery Industry

Max
22.35%
Q3
12.64%
Median
9.33%
Q1
5.32%
Min
-5.42%

AME’s Return on Invested Capital of 11.22% is in line with the norm for the Industrial - Machinery 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.

AME vs. WM: A comparison of their ROIC against their respective Industrial - Machinery and Waste Management industry benchmarks.

Net Profit Margin

AME

20.43%

Industrial - Machinery Industry

Max
28.85%
Q3
15.25%
Median
10.02%
Q1
5.33%
Min
-8.75%

A Net Profit Margin of 20.43% places AME in the upper quartile for the Industrial - Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

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.

AME vs. WM: A comparison of their Net Profit Margin against their respective Industrial - Machinery and Waste Management industry benchmarks.

Operating Profit Margin

AME

26.20%

Industrial - Machinery Industry

Max
28.19%
Q3
19.04%
Median
14.62%
Q1
8.13%
Min
-5.76%

An Operating Profit Margin of 26.20% places AME in the upper quartile for the Industrial - Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

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.

AME vs. WM: A comparison of their Operating Margin against their respective Industrial - Machinery and Waste Management industry benchmarks.

Profitability at a Glance

SymbolAMEWM
Return on Equity (TTM)14.75%33.09%
Return on Assets (TTM)9.52%6.01%
Return on Invested Capital (TTM)11.22%8.14%
Net Profit Margin (TTM)20.43%11.67%
Operating Profit Margin (TTM)26.20%17.97%
Gross Profit Margin (TTM)36.18%37.03%

Financial Strength

Current Ratio

AME

1.41

Industrial - Machinery Industry

Max
4.18
Q3
2.75
Median
2.07
Q1
1.46
Min
0.46

AME’s Current Ratio of 1.41 falls into the lower quartile for the Industrial - Machinery industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

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.

AME vs. WM: A comparison of their Current Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Debt-to-Equity Ratio

AME

0.19

Industrial - Machinery Industry

Max
1.46
Q3
0.73
Median
0.48
Q1
0.17
Min
0.00

AME’s Debt-to-Equity Ratio of 0.19 is typical for the Industrial - Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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.

AME vs. WM: A comparison of their D/E Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Interest Coverage Ratio

AME

23.38

Industrial - Machinery Industry

Max
28.91
Q3
14.99
Median
9.11
Q1
3.95
Min
-11.30

AME’s Interest Coverage Ratio of 23.38 is in the upper quartile for the Industrial - Machinery industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

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.

AME vs. WM: A comparison of their Interest Coverage against their respective Industrial - Machinery and Waste Management industry benchmarks.

Financial Strength at a Glance

SymbolAMEWM
Current Ratio (TTM)1.410.83
Quick Ratio (TTM)0.860.79
Debt-to-Equity Ratio (TTM)0.192.76
Debt-to-Asset Ratio (TTM)0.130.54
Net Debt-to-EBITDA Ratio (TTM)0.733.58
Interest Coverage Ratio (TTM)23.385.88

Growth

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

Revenue Growth

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

Earnings Per Share (EPS) Growth

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

Free Cash Flow Growth

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

Dividend

Dividend Yield

AME

0.64%

Industrial - Machinery Industry

Max
4.40%
Q3
1.47%
Median
0.74%
Q1
0.00%
Min
0.00%

AME’s Dividend Yield of 0.64% is consistent with its peers in the Industrial - Machinery industry, providing a dividend return that is standard for its sector.

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.

AME vs. WM: A comparison of their Dividend Yield against their respective Industrial - Machinery and Waste Management industry benchmarks.

Dividend Payout Ratio

AME

18.74%

Industrial - Machinery Industry

Max
78.48%
Q3
36.22%
Median
20.24%
Q1
0.00%
Min
0.00%

AME’s Dividend Payout Ratio of 18.74% is within the typical range for the Industrial - Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

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.

AME vs. WM: A comparison of their Payout Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Dividend at a Glance

SymbolAMEWM
Dividend Yield (TTM)0.64%1.39%
Dividend Payout Ratio (TTM)18.74%46.32%

Valuation

Price-to-Earnings Ratio

AME

29.98

Industrial - Machinery Industry

Max
47.62
Q3
34.41
Median
27.36
Q1
21.62
Min
10.96

AME’s P/E Ratio of 29.98 is within the middle range for the Industrial - Machinery 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.

AME vs. WM: A comparison of their P/E Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Forward P/E to Growth Ratio

AME

4.01

Industrial - Machinery Industry

Max
6.15
Q3
3.53
Median
2.82
Q1
1.71
Min
0.09

The Forward PEG Ratio is often not a primary valuation metric in the Industrial - Machinery 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.

AME vs. WM: A comparison of their Forward PEG Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Price-to-Sales Ratio

AME

6.13

Industrial - Machinery Industry

Max
8.37
Q3
4.59
Median
3.34
Q1
1.83
Min
0.32

AME’s P/S Ratio of 6.13 is in the upper echelon for the Industrial - Machinery industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

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.

AME vs. WM: A comparison of their P/S Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Price-to-Book Ratio

AME

4.26

Industrial - Machinery Industry

Max
7.49
Q3
5.01
Median
3.41
Q1
2.45
Min
0.01

AME’s P/B Ratio of 4.26 is within the conventional range for the Industrial - Machinery 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.

AME vs. WM: A comparison of their P/B Ratio against their respective Industrial - Machinery and Waste Management industry benchmarks.

Valuation at a Glance

SymbolAMEWM
Price-to-Earnings Ratio (P/E, TTM)29.9834.15
Forward PEG Ratio (TTM)4.014.12
Price-to-Sales Ratio (P/S, TTM)6.133.99
Price-to-Book Ratio (P/B, TTM)4.2610.56
Price-to-Free Cash Flow Ratio (P/FCF, TTM)24.8249.75
EV-to-EBITDA (TTM)21.0017.44
EV-to-Sales (TTM)6.355.02