Is Republic Services, Inc. overvalued or undervalued?

As of 9 April 2025, the valuation grade for Republic Services, Inc. has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a P/E ratio of 38, an EV to EBITDA of 18.15, and a PEG ratio of 2.40. In comparison, its peer Waste Management, Inc. has a significantly higher P/E ratio of 54.89, indicating that Republic Services is more attractively priced relative to its industry counterpart.
The company's return on equity (ROE) stands at 18.10%, which is strong, and the dividend yield is notably high at 90.51%. Although Republic Services has outperformed the S&P 500 over the past year with a return of 30.66% compared to the index's 10.26%, the current valuation suggests that it is appropriately priced in the market.