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Waste Connections, Inc. (WCN) Stock Fundamental Analysis & AI Rating 2026

WCN NYSE Refuse Systems A6 CIK: 0001318220
Recently Updated • Analysis: Apr 19, 2026 • SEC Data: 2025-12-31
HOLD
77% Conf
Pending
Analysis scheduled

📊 WCN Key Takeaways

Revenue: $9.5B
Net Margin: 11.4%
Free Cash Flow: $1.2B
Current Ratio: 0.62x
Debt/Equity: 1.07x
EPS: $4.17
AI Rating: HOLD with 77% confidence
Waste Connections, Inc. (WCN) receives a HOLD rating with 77% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $9.5B, net profit margin of 11.4%, and return on equity (ROE) of 13.1%, Waste Connections, Inc. demonstrates mixed fundamentals in the Market sector. Below is our complete WCN stock analysis for 2026.

Is Waste Connections, Inc. (WCN) a Good Investment?

Claude

Waste Connections demonstrates solid operational fundamentals with strong profitability margins (18.1% operating, 11.4% net) and excellent cash flow generation ($2.4B operating CF, $1.2B FCF), supported by an exceptional 21.8x interest coverage ratio. However, stagnant revenue and net income growth (both 0.0% YoY) combined with a critically low cash position ($46M) and weak current ratio (0.62x) relative to $8.8B debt create material headwinds that warrant a cautious stance despite the company's proven ability to service its obligations.

Why Buy Waste Connections, Inc. Stock? WCN Key Strengths

Claude
  • + Strong and stable operating margins (18.1%) and net margins (11.4%) indicating pricing power and operational efficiency in mature waste management sector
  • + Robust cash flow generation with $2.4B operating cash flow and $1.2B free cash flow, demonstrating the resilience of recurring revenue model
  • + Exceptional debt service capacity with 21.8x interest coverage ratio, indicating very low financial distress risk despite high absolute debt levels

WCN Stock Risks: Waste Connections, Inc. Investment Risks

Claude
  • ! Zero revenue and net income growth (0.0% YoY) signals market maturation or increased competitive pressure with limited organic expansion opportunities
  • ! Critical liquidity position with current ratio of 0.62x and only $46M cash against $12.9B liabilities raises concerns about near-term operational flexibility
  • ! High leverage (1.07x Debt/Equity, $8.8B long-term debt) combined with capital-intensive business model ($1.2B annual capex) limits financial flexibility and acquisition capacity

Key Metrics to Watch

Claude
  • * Organic revenue growth trajectory and pricing power in next 2-3 quarters to determine if stagnation is cyclical or structural
  • * Cash position and working capital management to address liquidity concerns and ensure adequate operational cushion
  • * Free cash flow sustainability and capital allocation priorities, particularly debt reduction vs. shareholder returns vs. strategic growth investments

Waste Connections, Inc. (WCN) Financial Metrics & Key Ratios

Revenue
$9.5B
Net Income
$1.1B
EPS (Diluted)
$4.17
Free Cash Flow
$1.2B
Total Assets
$21.1B
Cash Position
$46.0M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

WCN Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin 18.1%
Net Margin 11.4%
ROE 13.1%
ROA 5.1%
FCF Margin 13.0%

WCN vs Market Sector: How Waste Connections, Inc. Compares

How Waste Connections, Inc. compares to Market sector averages

Net Margin
WCN 11.4%
vs
Sector Avg 12.0%
WCN Sector
ROE
WCN 13.1%
vs
Sector Avg 15.0%
WCN Sector
Current Ratio
WCN 0.6x
vs
Sector Avg 1.8x
WCN Sector
Debt/Equity
WCN 1.1x
vs
Sector Avg 0.7x
WCN Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Waste Connections, Inc. Stock Overvalued? WCN Valuation Analysis 2026

Based on fundamental analysis, Waste Connections, Inc. has mixed fundamental signals relative to the Market sector in 2026.

Return on Equity
13.1%
Sector avg: 15%
Net Profit Margin
11.4%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
1.07x
Sector avg: 0.7x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Waste Connections, Inc. Balance Sheet: WCN Debt, Cash & Liquidity

Current Ratio
0.62x
Quick Ratio
0.62x
Debt/Equity
1.07x
Debt/Assets
61.0%
Interest Coverage
21.79x
Long-term Debt
$8.8B

WCN Revenue & Earnings Growth: 5-Year Financial Trend

WCN 5-year financial data: Year 2021: Revenue $6.2B, Net Income $566.8M, EPS $2.14. Year 2022: Revenue $7.2B, Net Income $204.7M, EPS $0.78. Year 2023: Revenue $8.0B, Net Income $618.0M, EPS $2.36. Year 2024: Revenue $8.9B, Net Income $835.7M, EPS $3.24. Year 2025: Revenue $9.5B, Net Income $762.8M, EPS $2.95.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Waste Connections, Inc.'s revenue has grown significantly by 54% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.95 reflects profitable operations.

WCN Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
13.0%
Free cash flow / Revenue

WCN Quarterly Earnings & Performance

Quarterly financial performance data for Waste Connections, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $2.3B $286.3M $1.11
Q2 2025 $2.2B $275.5M $1.07
Q1 2025 $2.1B $230.1M $0.89
Q3 2024 $2.1B $229.0M $0.89
Q2 2024 $2.0B $209.2M $0.81
Q1 2024 $1.9B $197.8M $0.77
Q3 2023 $1.9B $229.0M $0.89
Q2 2023 $1.8B $209.2M $0.81

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Waste Connections, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$2.4B
Cash generated from operations
Stock Buybacks
$505.5M
Shares repurchased (TTM)
Capital Expenditures
$1.2B
Investment in assets
Dividends Paid
$333.8M
Returned to shareholders

WCN SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Waste Connections, Inc. (CIK: 0001318220)

📋 Recent SEC Filings

Date Form Document Action
Apr 3, 2026 4 xslF345X06/primarydocument.xml View →
Apr 2, 2026 DEF 14A tm2529435-2_def14a.htm View →
Mar 18, 2026 8-K tm269110d1_8k.htm View →
Mar 16, 2026 8-K tm268779d2_8k.htm View →
Mar 6, 2026 4 xslF345X05/primarydocument.xml View →

Frequently Asked Questions about WCN

What is the AI rating for WCN?

Waste Connections, Inc. (WCN) has an AI rating of HOLD with 77% confidence, based on fundamental analysis of SEC EDGAR filings.

What are WCN's key strengths?

Claude: Strong and stable operating margins (18.1%) and net margins (11.4%) indicating pricing power and operational efficiency in mature waste management sector. Robust cash flow generation with $2.4B operating cash flow and $1.2B free cash flow, demonstrating the resilience of recurring revenue model.

What are the risks of investing in WCN?

Claude: Zero revenue and net income growth (0.0% YoY) signals market maturation or increased competitive pressure with limited organic expansion opportunities. Critical liquidity position with current ratio of 0.62x and only $46M cash against $12.9B liabilities raises concerns about near-term operational flexibility.

What is WCN's revenue and growth?

Waste Connections, Inc. reported revenue of $9.5B.

Does WCN pay dividends?

Waste Connections, Inc. pays dividends, with $333.8M distributed to shareholders in the trailing twelve months.

Where can I find WCN SEC filings?

Official SEC filings for Waste Connections, Inc. (CIK: 0001318220) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is WCN's EPS?

Waste Connections, Inc. has a diluted EPS of $4.17.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is WCN a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Waste Connections, Inc. has a HOLD rating with 77% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is WCN stock overvalued or undervalued?

Valuation metrics for WCN: ROE of 13.1% (sector avg: 15%), net margin of 11.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy WCN stock in 2026?

Our dual AI analysis gives Waste Connections, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is WCN's free cash flow?

Waste Connections, Inc.'s operating cash flow is $2.4B, with capital expenditures of $1.2B. FCF margin is 13.0%.

How does WCN compare to other Market stocks?

Vs Default sector averages: Net margin 11.4% (avg: 12%), ROE 13.1% (avg: 15%), current ratio 0.62 (avg: 1.8).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 19, 2026 | Data as of: 2025-12-31 | Powered by Claude AI