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HWM vs. RSG: A Head-to-Head Stock Comparison

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

Company Overview

HWM’s market capitalization stands at 72.53 billion USD, while RSG’s is 75.38 billion USD, indicating their market valuations are broadly comparable.

HWM’s beta of 1.43 points to significantly higher volatility compared to RSG (beta: 0.64), suggesting HWM has greater potential for both gains and losses relative to market movements.

SymbolHWMRSG
Company NameHowmet Aerospace Inc.Republic Services, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryIndustrial - MachineryWaste Management
CEOJohn C. Plant FCAJon Vander Ark
Price179.68 USD241.21 USD
Market Cap72.53 billion USD75.38 billion USD
Beta1.430.64
ExchangeNYSENYSE
IPO DateNovember 1, 2016July 1, 1998
ADRNoNo

Historical Performance

This chart compares the performance of HWM and RSG 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.

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

Profitability

Return on Equity

HWM

27.72%

Industrial - Machinery Industry

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

In the upper quartile for the Industrial - Machinery industry, HWM’s Return on Equity of 27.72% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RSG

18.40%

Waste Management Industry

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

RSG’s Return on Equity of 18.40% is on par with the norm for the Waste Management industry, indicating its profitability relative to shareholder equity is typical for the sector.

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

Return on Invested Capital

HWM

15.87%

Industrial - Machinery Industry

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

In the upper quartile for the Industrial - Machinery industry, HWM’s Return on Invested Capital of 15.87% signifies a highly effective use of its capital to generate profits when compared to its peers.

RSG

9.07%

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, RSG’s Return on Invested Capital of 9.07% signifies a highly effective use of its capital to generate profits when compared to its peers.

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

Net Profit Margin

HWM

16.64%

Industrial - Machinery Industry

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

A Net Profit Margin of 16.64% places HWM in the upper quartile for the Industrial - Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

RSG

12.88%

Waste Management Industry

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

A Net Profit Margin of 12.88% places RSG in the upper quartile for the Waste Management industry, signifying strong profitability and more effective cost management than most of its peers.

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

Operating Profit Margin

HWM

23.58%

Industrial - Machinery Industry

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

An Operating Profit Margin of 23.58% places HWM 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.

RSG

20.22%

Waste Management Industry

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

An Operating Profit Margin of 20.22% places RSG 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.

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

Profitability at a Glance

SymbolHWMRSG
Return on Equity (TTM)27.72%18.40%
Return on Assets (TTM)11.66%6.30%
Return on Invested Capital (TTM)15.87%9.07%
Net Profit Margin (TTM)16.64%12.88%
Operating Profit Margin (TTM)23.58%20.22%
Gross Profit Margin (TTM)30.46%36.53%

Financial Strength

Current Ratio

HWM

2.30

Industrial - Machinery Industry

Max
4.18
Q3
2.75
Median
2.07
Q1
1.46
Min
0.46

HWM’s Current Ratio of 2.30 aligns with the median group of the Industrial - Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

RSG

0.66

Waste Management Industry

Max
2.37
Q3
1.98
Median
1.06
Q1
0.79
Min
0.66

RSG’s Current Ratio of 0.66 falls into the lower quartile for the Waste Management industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

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

Debt-to-Equity Ratio

HWM

0.73

Industrial - Machinery Industry

Max
1.46
Q3
0.73
Median
0.48
Q1
0.17
Min
0.00

HWM’s Debt-to-Equity Ratio of 0.73 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.

RSG

1.16

Waste Management Industry

Max
2.64
Q3
1.57
Median
1.12
Q1
0.87
Min
0.07

RSG’s Debt-to-Equity Ratio of 1.16 is typical for the Waste Management industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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

Interest Coverage Ratio

HWM

10.35

Industrial - Machinery Industry

Max
28.91
Q3
14.99
Median
9.11
Q1
3.95
Min
-11.30

HWM’s Interest Coverage Ratio of 10.35 is positioned comfortably within the norm for the Industrial - Machinery industry, indicating a standard and healthy capacity to cover its interest payments.

RSG

6.06

Waste Management Industry

Max
6.06
Q3
5.49
Median
2.34
Q1
0.26
Min
-2.04

RSG’s Interest Coverage Ratio of 6.06 is in the upper quartile for the Waste Management industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

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

Financial Strength at a Glance

SymbolHWMRSG
Current Ratio (TTM)2.300.66
Quick Ratio (TTM)1.070.64
Debt-to-Equity Ratio (TTM)0.731.16
Debt-to-Asset Ratio (TTM)0.320.41
Net Debt-to-EBITDA Ratio (TTM)1.492.75
Interest Coverage Ratio (TTM)10.356.06

Growth

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

Revenue Growth

HWM vs. RSG: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

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

Free Cash Flow Growth

HWM vs. RSG: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

HWM

0.23%

Industrial - Machinery Industry

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

HWM’s Dividend Yield of 0.23% is consistent with its peers in the Industrial - Machinery industry, providing a dividend return that is standard for its sector.

RSG

1.18%

Waste Management Industry

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

With a Dividend Yield of 1.18%, RSG offers a more attractive income stream than most of its peers in the Waste Management industry, signaling a strong commitment to shareholder returns.

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

Dividend Payout Ratio

HWM

10.35%

Industrial - Machinery Industry

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

HWM’s Dividend Payout Ratio of 10.35% is within the typical range for the Industrial - Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RSG

33.57%

Waste Management Industry

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

RSG’s Dividend Payout Ratio of 33.57% is within the typical range for the Waste Management industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

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

Dividend at a Glance

SymbolHWMRSG
Dividend Yield (TTM)0.23%1.18%
Dividend Payout Ratio (TTM)10.35%33.57%

Valuation

Price-to-Earnings Ratio

HWM

57.94

Industrial - Machinery Industry

Max
47.62
Q3
34.41
Median
27.36
Q1
21.62
Min
10.96

At 57.94, HWM’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Industrial - Machinery industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

RSG

36.22

Waste Management Industry

Max
76.31
Q3
66.40
Median
35.51
Q1
32.40
Min
9.07

RSG’s P/E Ratio of 36.22 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.

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

Forward P/E to Growth Ratio

HWM

3.29

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.

RSG

3.71

Waste Management Industry

Max
6.52
Q3
4.74
Median
2.97
Q1
0.85
Min
0.06

RSG’s Forward PEG Ratio of 3.71 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.

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

Price-to-Sales Ratio

HWM

9.61

Industrial - Machinery Industry

Max
8.37
Q3
4.59
Median
3.34
Q1
1.83
Min
0.32

With a P/S Ratio of 9.61, HWM trades at a valuation that eclipses even the highest in the Industrial - Machinery industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

RSG

4.66

Waste Management Industry

Max
5.29
Q3
4.49
Median
3.59
Q1
1.82
Min
0.31

RSG’s P/S Ratio of 4.66 is in the upper echelon for the Waste Management 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.

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

Price-to-Book Ratio

HWM

15.19

Industrial - Machinery Industry

Max
7.49
Q3
5.01
Median
3.41
Q1
2.45
Min
0.01

At 15.19, HWM’s P/B Ratio is at an extreme premium to the Industrial - Machinery industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

RSG

6.47

Waste Management Industry

Max
10.62
Q3
6.13
Median
4.78
Q1
2.85
Min
1.68

RSG’s P/B Ratio of 6.47 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.

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

Valuation at a Glance

SymbolHWMRSG
Price-to-Earnings Ratio (P/E, TTM)57.9436.22
Forward PEG Ratio (TTM)3.293.71
Price-to-Sales Ratio (P/S, TTM)9.614.66
Price-to-Book Ratio (P/B, TTM)15.196.47
Price-to-Free Cash Flow Ratio (P/FCF, TTM)71.3932.08
EV-to-EBITDA (TTM)38.1818.16
EV-to-Sales (TTM)10.005.49