There's Nothing Trashy About This Company
Humans will likely never stop throwing things away -- and Waste Management (NYSE: WM) will be there to pick it up. This North American company collects, transfers, stores, and recycles a large portion of the U.S. and Canada's trash. Its market share and financial position, combined with sustained demand from consumers, make a business that will likely stick around and continue to pay out its shareholders for many years to come.
Waste Management was able to perform well during the second quarter, flexing its strong market share. The company grew revenue by 25.7%, primarily driven by an increase in volume -- how much trash it hauled -- of 9.6%. Either it's gaining market share, or society is making more trash; both are good signs for Waste Management. It also grew operating income by 50%, resulting in GAAP earnings growth of 15% to $0.83 per share.
As one of the biggest and best trash collectors, Waste Management seems likely to continue this strong performance. In 2020, it managed 26% of all the landfill volume in the United States, trailing only municipalities -- meaning every single town and city in the United States, combined. Its main competitor, Republic Services (NYSE: RSG), had just 19% of the landfill volume last year.
Source Fool.com
